Granite Ridge Director Buys 5,000 Shares, Hedges 60% Production, Braces for $71M Burn
Director Everard Michele J purchased 5,000 Granite Ridge shares at $5.17 each, raising his stake to 71,143 shares. The company forecasts a $71 million cash burn in 2026, has hedged 60% of next year’s oil output and reported $69.5 million of adjusted EBITDAX, targeting free cash flow by 2027.
1. Insider Purchase Signals Confidence
Director Everard Michele J purchased 5,000 shares at $5.17 each, raising his stake to 71,143 shares.
2. Cash Burn and Hedging Strategy
Granite Ridge anticipates a $71 million cash burn in 2026, having hedged 60% of its 2026 oil production and planning to increase hedges to 75%–80% in the second quarter.
3. Production and Financial Performance
Total production rose 27% in 2025 to 35,120 barrels of oil equivalent per day, yet the company reported a $25.1 million net loss, offset by $69.5 million of adjusted EBITDAX and $1.5 million of adjusted net income.
4. Liquidity Position and Future Outlook
With $339.5 million of liquidity, $127.5 million of capital investment, a net debt to adjusted EBITDAX ratio of 1.2x and a $0.11 per-share dividend, Granite Ridge aims to achieve free cash flow generation by 2027.