Vital Energy Reports $353M Q3 Loss Amid Impairment; Crescent Energy Plans $3.1B Acquisition

Vital Energy reported third-quarter 2025 revenue of $420.8 million, missing market expectations, and a net loss of $353.5 million largely due to a significant non-cash impairment loss on oil and gas properties. Despite the loss, the company achieved an adjusted net income of $57.6 million, strong cash flow from operations, and exceeded production guidance, while focusing on cost discipline and debt reduction. Vital Energy is in the process of being acquired by Crescent Energy for $3.1 billion in an all-stock transaction, which is expected to create one of the top mid-cap independent operators in the U.S. energy sector. Crescent Energy reported strong financials in Q3 2025, including $473 million in operating cash flow, positive free cash flow, and has improved its 2025 guidance, reflecting operational efficiencies and strategic divestitures. Analysts generally maintain a hold rating on Vital Energy with a price target around $18 to $30, while Crescent Energy holds a buy rating with a $15 price target. The merger and operational improvements underpin a cautiously optimistic outlook despite Vital Energy's ongoing financial challenges and distress indicators.