BKV Corporation reported third‑quarter 2025 results that included net income of $76.9 million, or $0.90 per diluted share, and total revenue of $277.9 million. Operating cash flow rose to $74.5 million, while capital expenditures reached $79.6 million, reflecting a significant increase in development spending.
The company’s adjusted earnings per share of $0.50 surpassed the consensus estimate of $0.13, a beat of $0.37 or 285 %. Revenue also exceeded the FactSet estimate of $210.7 million, outpacing expectations by $67.2 million or 32 %. The strong performance was driven by higher commodity prices—an average realized natural gas price of $2.50 per MMBtu and an average realized NGL price of $15.64 per barrel—and by improved operating performance in both the upstream and power segments.
Year‑over‑year, net income grew from $12.9 million in Q3 2024 to $76.9 million in Q3 2025, a 594 % increase. Sequentially, the company’s net income fell from $104.6 million in Q2 2025 to $76.9 million in Q3 2025, while revenue declined from $322.0 million to $277.9 million. The sequential drop reflects a 13 % decline in upstream production, offset by a 5 % increase in power‑generation revenue.
Production in the third quarter reached 828.5 MMcfe/d, up 8.5 % from 762.6 MMcfe/d in Q3 2024, and above the mid‑point of the company’s guidance range. The upstream segment contributed $180.3 million to revenue, while the power segment added $97.6 million, reflecting a shift toward higher‑margin power generation.
For the fourth quarter, BKV guided production to 885–935 MMcfe/d and reaffirmed its target leverage ratio of 1.0x–1.5x. The company also confirmed that it will continue to fund its integrated energy strategy, repay debt, and invest in upstream development and CCUS projects.
CEO Chris Callan highlighted the company’s progress in its “closed‑loop energy strategy” and the successful completion of the Bedrock acquisition, which expanded BKV’s footprint in the Barnett Shale. He emphasized that the company remains confident in meeting its leverage targets and driving shareholder value. Market participants responded positively to the earnings beat, revenue beat, and the company’s guidance, underscoring confidence in BKV’s execution and growth prospects.
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