Overview

* Freehold Q2 revenue at C$78 mln, funds from operations C$57 mln

* Total production increased 9% yr/yr, driven by U.S. asset growth

* Average realized price per boe C$50.36

Outlook

* Freehold expects improved Canadian natural gas pricing with LNG Canada starting up

* Freehold sees focus on oil-weighted plays in Mannville, Clearwater, and southeast Saskatchewan

Result Drivers

* U.S. PRODUCTION GROWTH - U.S. assets delivered meaningful production growth of 7% over the first quarter, driven by improved well productivity in Permian and Eagle Ford basins

* ROYALTY INTEREST - Higher royalty interest developments magnified production impact, contributing to increased output

* LEASING REVENUE - Active leasing program generated C$1.9 mln in revenue during the quarter, boosting overall financial performance

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Net C$6.20

Income mln

Q2 FFO C$56.60

mln

Q2 FFO C$0.35

Per

Share

Q2 Net C$270.60

Debt mln

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 7 "strong buy" or "buy", 6 "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the oil & gas exploration and production peer group is "buy"

* Wall Street's median 12-month price target for Freehold Royalties Ltd ( FRHLF ) is C$15.00, about 9.5% above its July 29 closing price of C$13.58

* The stock recently traded at 16 times the next 12-month earnings vs. a P/E of 12 three months ago

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)