It will be interesting to see how this ages after of release of earning after the bell today:
HOUSTON, April 29, 2024--(BUSINESS WIRE)--SilverBow Resources, Inc. (NYSE: SBOW) ("SilverBow" or the "Company") today released an investor presentation and mailed a letter to shareholders in connection with the Company’s 2024 Annual Meeting of Shareholders (the "2024 Annual Meeting"). Both will be filed with the U.S. Securities and Exchange Commission. Additional company resources for the 2024 Annual Meeting can be found at www.futureofsilverbow.com.
Highlights include:
SilverBow Has a Strong Track Record of Outperformance: Since 2021, our total shareholder return is 503%, compared to 193% for the XOP E&P Index.1
Management Is Successfully Executing its Proven Strategy: We are generating strong operating results and recently set quarterly records for free cash flow and adjusted EBITDA.2 We expect this momentum to continue; and
The Board Is Acting in Shareholders’ Best Interests: Our Board is composed of independent directors that bring direct industry expertise and public company board and executive leadership experience.
The full text of the letter follows:
Dear Fellow Shareholders,
SilverBow Resources’ Board and management team remain laser-focused on positioning the business to continue driving value for ALL shareholders. Our stock has significantly outperformed the XOP Index over the last several years.
On the other hand, Kimmeridge Energy Management Company, LLC, is running a costly proxy fight to gain control of your Company without paying you a premium for your investment. Kimmeridge has one goal: to force a dilutive, value-destructive combination with Kimmeridge Texas Gas (KTG).
Shareholders should note:
SilverBow Has a Strong Track Record of Outperformance: Since 2021, our total shareholder return is 503%, compared to 193% for the XOP E&P Index. 1
Management Is Successfully Executing its Proven Strategy: We are generating strong operating results and recently set quarterly records for free cash flow and adjusted EBITDA.2 We expect this momentum to continue.
The Board Is Acting in Shareholders’ Best Interests: Our Board is composed of independent directors that bring direct industry expertise and public company board and executive leadership experience.
To protect the value of your investment, using the WHITE proxy card, please vote "FOR" all SilverBow director nominees: Gabriel L. Ellisor, Kathleen McAllister and Charles W. Wampler.
You can learn more about the quality of our Board, positive governance changes and SilverBow’s value creation opportunity at www.futureofsilverbow.com.
Additional information that outlines our strategy can be found in the investor presentation SilverBow recently published at www.futureofsilverbow.com/investor-presentation.
SilverBow’s Proven Strategy Is Delivering Results
Our Board has been overseeing a clear and proven strategy to drive shareholder value by:
Building a scaled and durable portfolio characterized by a deep inventory of drilling opportunities and commodity diversity;
Driving efficiencies and enhancing margins to capture sustainable capital efficiencies and greater margins;
Delivering profitable growth through continued execution of our returns-focused strategy; and
Strengthening the balance sheet and deepening liquidity, with strong free cash flow generation.
The results of this strategy:
Secured decade+ of high-quality drilling inventory with about 1,000 locations across our 220,000 net acres;
Executed a transformative South Texas acquisition in late 2023 that enhanced scale and added important capital allocation flexibility;
Achieved peer-leading cost structure (opex 40%+ lower than peer average and cash G&A 65%+ lower than peer average) and best-in-class margin profile (EBITDA margin 20%+ higher than peer average);
Posted 21% average ROCE (2021-23);
Generated four consecutive years of free cash flow through ongoing capital discipline;
Improved our capital structure through a lower debt, higher liquidity focus; and
Optimized 2024 plan to maximize free cash flow and fund high-return oil and liquids developments.
Our success is being recognized by the market. The Company has outpaced the XOP E&P index since 2021, delivering total shareholder returns of 503% compared to 193% for the XOP E&P Index, as well as outsized returns over one-, three- and five-year periods.1,