Stonegate Capital Partners has initiated coverage on Pedevco Corp. (NYSE: PED), highlighting the company's transformation into a larger, oil-weighted Rockies platform following its merger with Juniper. The announcement, made on April 7, 2026, underscores key financial and operational metrics from fiscal year 2025, including a 35% year-over-year increase in production to 910.1 Mboe (2,494 Boe/d), a 16% rise in revenue to $45.8M, and an 18% increase in adjusted EBITDA to $27.0M. These gains occurred despite a 19% decline in realized crude oil prices.
However, PEDEVCO reported a net loss of $(10.4)M for FY25, compared to net income of $12.3M in FY24. The loss was attributed to merger costs, accelerated share-based compensation, new interest expense, a note write-off, and tax expense. Stonegate noted that the fourth quarter of 2025, the first full quarter reflecting the combined platform, showed substantial growth: production increased 143% year-over-year to 483.2 Mboe (5,310 Boe/d), revenue more than doubled to $23.1M, and adjusted EBITDA nearly tripled to $15.4M.
Management emphasized that the fourth quarter included only two months of contribution from the acquired assets, suggesting that normalized earnings power provides a clearer view of the company's potential. The merger-close bridge to over 6,500 Boe/d and roughly 310,000 net acres helps frame the larger earnings base now embedded in the portfolio. Key takeaways from the release include that PEDEVCO now holds 32.1 MMBoe of proved reserves, a PV-10 of $357.7M, and over 1,000 locations beyond proved reserves. Additionally, an estimated $10M to $13M in optimization work could reduce lease operating expenses (LOE) by up to $1M per month, supporting meaningful margin upside.
Stonegate Capital Partners, a leading capital markets advisory firm, provides investor relations, equity research, and institutional investor outreach services. The full announcement, including downloadable images and bios, is available here.
