On this page of StockholderLetter.com we present the latest annual shareholder letter from Berry Corp (bry) — ticker symbol BRY. Reading current and past BRY letters to shareholders can bring important insights into the investment thesis.

 •  4/7/2025 Letter Continued (Full PDF)
 •  4/10/2023 BRY Stockholder Letter
 •  4/10/2024 BRY Stockholder Letter
 •  More "Miscellaneous" Category Stockholder Letters
 •  BRY Benford's Law Stock Score = 95

BRY Shareholder/Stockholder Letter Transcript:

Catalysts to
Drive Sustainable
Value Creation
2024
2024 ANNUAL
ANNUAL REPORT
REPORT
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In 2024, we improved on our top-tier
capital efficiency, and we entered
2025 well positioned to drive further
efficiencies and stronger cash flow
generation.
FERNANDO ARAUJO

Dear Shareholders,
2024 was an exciting year for Berry, marked by strong operational and financial performance,
taking steps to unlock potentially significant value drivers in California and Utah, and a successful
refinancing. We delivered on key goals, and our financial and operational results demonstrate the
strength of our business plan and our ability to drive long-term shareholder value and generate
sustainable free cash flow. Underpinning our strategy is a dedicated team managing our high-quality
assets with superior technical expertise and the highest health, safety and environmental standards.
Through the successful execution of our business plan in 2024,
methane detection technology in California and expanding our
we have positioned Berry for greater future success in 2025
methane leak detection and repair program in Utah. We are also
and beyond. We optimized development plans of our low decline,
engaging with other operators in California with carbon capture
low capital intensity and high-quality California asset base.
projects, to deliver our CO2 emissions to them.
We currently have an inventory of more than 200 high-return
sidetrack opportunities that are executable over the next few
years, and for which permits have been and should continue
to be available. In 2024, we improved on our top-tier capital
efficiency, and we entered 2025 well positioned to drive further
efficiencies and stronger cash flow generation.
In terms of strategic growth, our goals are clear, and we are ready
to execute. We are actively pursuing scale and diversification    
both geographic and product         and evaluating accretive deals
both large and small. With our refinancing complete, exciting
value creation opportunities underway in California and Utah, a
proven track record of successful operations and confidence in
In 2024, we also took steps toward proving up the substantial
our ability to generate free cash flow, Berry offers an exciting
value of our 100,000-acre Uinta Basin position, where we
value proposition, and we are well positioned to be opportunistic.
have high operational control, and more than 90% is held by
production. Through two horizontal farm-ins in and adjacent to
our footprint, we began to de-risk and accelerate the appraisal
phase of our Uinta assets. While our analysis is still evolving,
we have identified approximately 200 potential horizontal
locations. In 2025, we started drilling our first operated horizontal
pad and are targeting to have those wells on production before
the end of the third quarter. Additionally, we have a unique,
significant cost advantage in the basin that includes extensive
We are excited about Berry   s future! With a successful 2024
behind us, the stage is set for us to continue this momentum
into 2025. Our team has a proven track record of delivering on
key objectives through commodity cycles and regulatory
challenges, and we have a compelling pipeline of value-enhancing
opportunities in front of us. Berry has the right team, quality
asset base and financial strength to continue to execute on our
proven strategy and deliver value to our shareholders.
existing infrastructure, the ability to utilize lease gas to fuel
our drilling and completion operations, and no entry costs or
time pressures from lease expirations.
On the sustainability front, we achieved our goal to reduce
methane emissions by 80% compared to a 2022 baseline, more
than a year ahead of schedule. We are also exploring further
FERNANDO ARAUJO
Chief Executive Officer & Board Member
options to mitigate our environmental impact in a way that
enhances our operations and adds value to the business. New
initiatives planned for 2025 include deploying continuous field
2024 ANNUAL REPORT
1

Performance
We delivered strong financial and operational results in 2024, demonstrating the quality of our assets
and our teams. We delivered on key goals and ended the year better than the midpoint of guidance
on production, operational expenses, G&A and capital expenditures.
We also created two catalysts for sustainable value creation:
1. Unlocked the development potential from our thermal
diatomite reservoir in California.
Additionally, in 2024 we successfully refinanced our debt and
entered into a new $450 million term loan facility. We also entered
into a three-year reserve-based credit facility, which provides a
$95 million borrowing base, giving us the working capital
2. Laid the groundwork for our horizontal well program
in the Uinta Basin.
and liquidity to support our development plans. At year end,
Berry had liquidity of $110 million.
As we focus on maximizing these value-enhancing opportunities,
Throughout 2024, we maintained a relentless focus on managing
Berry is well positioned financially and operationally to advance
our cost structure. We reduced LOE (net of hedges)(1) by 12%
its strategic goals and deliver sustainable shareholder returns.
year-over-year and lowered Adjusted G&A(1) by 6%.
FINANCIAL
SHAREHOLDER RETURN MODEL
For the year, Berry generated net income of $19 million, operating
In 2024, we paid total dividends of $0.58 per share. In October
cash flow of $210 million, free cash flow(1) of $108 million, and
2024, in conjunction with our refinancing, we transitioned to a
$292 million of Adjusted EBITDA(1). Adjusted EBITDA(1) increased
capital allocation framework that prioritizes debt reduction and
9% from 2023, driven primarily by sustained production levels
facilitates our operating strategy while enabling investment in
and lower operating costs.
development opportunities. Accordingly, beginning with the
Capital expenditures totaled $102 million for the full year, in line
third quarter in 2024, our go-forward dividend policy targets
with guidance. We drilled a total of 56 wells in 2024, which was
a fixed dividend rate of 12 cents per share annually.
five more than our original plan.
COMPARISON OF 5-YEAR CUMULATIVE TOTAL RETURN*
Among Berry Corporation, Vanguard Energy ETF, the S&P Small Cap 600 Index and the Dow Jones U.S. E&P Index
$250
$200
$150
$100
$50
$0
12/19
12/20
Berry Corporation (BRY)
12/21
Vanguard Energy ETF (VDE)
12/22
S&P Small Cap 600 (SP600)
12/23
12/24
Dow Jones U.S. E&P (DJUS0S)
*$100 Invested on December 31, 2019 in stock or index, including reinvestments of dividends. Fiscal year ending December 31.
(1) See https://ir.bry.com/ for a discussion of these performance and non-GAAP measures, including a reconciliation of the most closely related GAAP measure.
2
2024 ANNUAL REPORT

4/7/2025 Letter Continued (Full PDF)

 

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