0HGC.L
APA Corporation
Q1 2025 Report
APA Corporation (0HGC.L) Financial Results for QQ1 2025: Resilience Amidst Industry Headwinds...
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Executive Summary
In Q2 2025, APA Corporation reported a revenue of $2.18 billion, marking a 14.35% decline year-over-year and a 17.37% sequential drop. The company faced significant challenges with a gross profit turning negative, indicating pressures from increased operational costs and market volatility. Nevertheless, net income improved by 11.46% YoY to $603 million, driven by effective cost management and strategic operational adjustments. Management emphasized renewed focus on core assets and evolving market conditions in the energy sector during the earnings call, suggesting potential stabilization in the latter half of 2025.
The decline in revenue reflects broader industry challenges but demonstrates APA's commitment to navigating through adverse conditions successfully. Management's commentary suggested optimism regarding upcoming projects and cost-reduction strategies aiming to enhance profitability and cash flow in the near term.
Key Performance Indicators
Revenue
2.18B
QoQ: -17.37% | YoY:-14.35%
Gross Profit
-1.01B
-46.28% margin
QoQ: -207.35% | YoY:-195.36%
Operating Income
-773.00M
QoQ: -200.78% | YoY:-186.47%
Net Income
603.00M
QoQ: 73.78% | YoY:11.46%
EPS
1.66
QoQ: 74.74% | YoY:13.70%
Revenue Trend
Margin Analysis
Key Insights
- **Revenue**: $2.18 billion (YoY -14.35%, QoQ -17.37%)
- **Gross Profit**: -$1.01 billion (YoY -195.36%, QoQ -207.35%)
- **Operating Income**: -$773 million (YoY -186.47%, QoQ -200.78%)
- **Net Income**: $603 million (YoY +11.46%, QoQ +73.78%)