Riley Exploration Permian, Inc. (REPX) announced that its Board of Directors has authorized a share repurchase program of up to $100 million to be executed over a 24‑month period. The program allows the company to buy back shares in the open market, through block trades, or in privately negotiated transactions, subject to regulatory compliance and liquidity considerations.
The authorization follows the completion of the company’s midstream sale of Dovetail Midstream, LLC to Targa Northern Delaware LLC for approximately $111 million in cash, which closed on December 4 2025. The proceeds have strengthened Riley Permian’s balance sheet, reduced debt obligations, and provided a cash cushion that enables the share‑buyback while still funding ongoing capital development projects.
Riley Permian reported Q3 2025 earnings of $0.77 per share, missing consensus estimates of $1.16 by 33.6%. Revenue of $107 million beat the $105.5 million forecast by $1.5 million. The earnings miss was driven by a decline in Adjusted EBITDA margin from 66% to 59%, reflecting higher operating costs and a modest drop in production volumes. The revenue beat was largely supported by robust demand in the company’s core drilling and completion services, offsetting weaker performance in the midstream segment that had been sold.
CEO Bobby Riley said, “We are excited to introduce a share repurchase program as another means of returning capital to shareholders in addition to our quarterly dividends. With the closing of Riley Permian’s midstream sale, we are well positioned to pursue opportunities to unlock value and maximize shareholder returns.” He added that the program underscores confidence in the company’s continued operational performance and financial strength.
The share repurchase will reduce the outstanding share count, which should support earnings per share and provide a modest upside to investors. At the same time, the company’s management has emphasized maintaining sufficient liquidity to fund future development, indicating that the buyback is part of a broader strategy to balance capital return with growth investment. The midstream sale’s cash inflow and reduced debt load give the company flexibility to pursue this program without compromising its long‑term capital allocation priorities.
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