Barnwell Industries, Inc. (BRN) reported first‑quarter 2026 results that ended December 31 2025, showing revenue of $2.746 million and a net loss from continuing operations of $1.412 million, or $0.13 per share. The loss per share widened from $0.16 in the same quarter a year earlier, reflecting a 31.6% increase in losses.
Revenue fell 30.2% year‑over‑year, from $3.934 million in Q1 2025 to $2.746 million in Q1 2026. The decline was driven largely by lower production volumes and weaker commodity prices in the company’s Canadian oil and natural gas segment, which accounted for the bulk of revenue. While the Canadian segment’s operating results improved by $84,000 due to lower impairment and reduced operating expenses, the overall impact of commodity price weakness outweighed these gains.
The widening loss was primarily caused by a $453,000 increase in general and administrative (G&A) expenses. Higher personnel costs, a CFO share‑based expense, and professional fees pushed G&A up, eroding profitability even as operating costs were partially offset by the Canadian segment’s improved operating performance. This expense increase highlights a key cost‑control challenge for the company as it seeks to streamline operations and focus on its Canadian assets.
Barnwell’s strategic shift is evident in its recent divestiture of U.S. oil and natural gas assets and the planned wind‑down of its Hawaii office. The company is concentrating its operations in Calgary, Alberta, where it is expanding the Twining Field. These moves are intended to concentrate capital on higher‑return opportunities, but the current results underscore the short‑term financial pressure associated with the transition.
Management emphasized the need to manage G&A spending while pursuing growth in Canadian operations. The company’s guidance for the remainder of 2026 remains unchanged, indicating confidence in its strategic focus despite the current loss. Investors will likely monitor the company’s ability to control operating expenses and the trajectory of commodity prices as key factors influencing future profitability.
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