During Q3, Paramount Resources (PRMRF) generated a total netback close to 0 before taking the unfavorable hedges into account. Thus, with the depressed Canadian oil prices, the total netback was largely negative during Q4, before and after hedges.
Despite the lack of profitability over the last quarters, management repurchased shares instead of limiting the increase in the net debt.
In any case, the company needs higher oil and gas prices than during Q3 and Q4 to become profitable and justify the current valuation.
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