Freehold Royalties Announces 2025 Results and 2026 Guidance

Executive Summary

• Freehold Royalties reported record annual production of 16,294 boe/d (‑9% vs. 2024) and total revenue of $313 M for 2025.
• Funds from operations reached $235 M ($1.43 per share), a 2 % increase YoY; the company returned $177 M in dividends (payout ratio 75%).
• The firm lowered long‑term debt by $18 M to $283 M and announced 2026 production guidance of 15,500–16,300 boe/d.

Key Details

• Production:
• FY 2025 total 16,294 boe/d (9 % YoY increase).
• U.S. production 7,700 boe/d (+31 % YoY), Canada 8,594 boe/d (‑9 % YoY).

• Q4 2025 production 16,294 boe/d (+6 % QoQ); crude & NGLs 10,765 bbl/d (+9 %).

• Financial Performance:

• Revenue $313 M (up from $309.5 M in 2024).
• Funds from operations $235 M ($1.43/share), +2 % YoY.
• Net income $14.1 M for Q4; FY net income $14.1 M.

• Dividend declared: $0.09 per share payable Apr 15 2026 (eligible dividend).

• Debt & Liquidity:

• Long‑term debt reduced by $18 M to $283 M year‑end.

• Net debt $268 M; net‑debt‑to‑FFO ratio 1.1×.

• Reserves & Replacement:

• Reserve replacement ratio 103 % (U.S.); total proved + probable reserves 63 MMboe (‑3 % YoY).

• Drilling Activity:

• 235 gross wells drilled in Q4 (71 Canada, 164 U.S.).

• FY 2025: 1,110 gross wells (13.3 net) vs. 1,140 gross (20.0 net) in 2024.

• Acquisitions & Capital Expenditure:

• Acquired $38 M of additional crude‑focused royalty interests in 2025.

• Integrated $378 M of U.S. acquisitions completed in 2024.

• Guidance for 2026:

• Expected average production 15,500–16,300 boe/d.

• Commodity price assumptions: WTI $65/bbl, NYMEX gas $3.50/mcf, AECO $2.00/mcf.

• Webcast:

• Investor webcast scheduled for March 12 2026 at 9:30 AM MT (registration link provided).

Notable Quotes

“We delivered our fifth consecutive year of annual production growth… Our liquids‑weighted asset base will continue to generate meaningful cash flows supporting sustainable dividends.” – David M. Spyker, President & CEO.