Vista Energy, S.A.B. de C.V. 6K Current report | VIST 24 Apr 24

Exhibit 1

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VISTA ENERGY, S.A.B. DE C.V.

Unaudited interim condensed consolidated financial statements as of March 31, 2024 and

December 31, 2023 and for the three-month periods ended March 31, 2024 and 2023

VISTA ENERGY, S.A.B. DE C.V.

Unaudited interim condensed consolidated financial statements as of March 31, 2024 and December 31, 2023 and for the three-month periods ended March 31, 2024 and 2023

TABLE OF CONTENTS

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Unaudited interim condensed consolidated statements of profit or loss and other comprehensive income for the three-month periods ended March 31, 2024 and 2023

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Unaudited interim condensed consolidated statements of financial position as of March 31, 2024 and December 31, 2023

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Unaudited interim condensed consolidated statements of changes in equity for the three-month periods ended March 31, 2024 and 2023

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Unaudited interim condensed consolidated statements of cash flows for the three-month periods ended March 31, 2024 and 2023

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Notes to the unaudited interim condensed consolidated financial statements as of March 31, 2024 and December 31, 2023 and for the three-month periods ended March 31, 2024 and 2023

VISTA ENERGY, S.A.B. DE C.V.

Unaudited interim condensed consolidated statements of profit or loss and other comprehensive income for the three-month periods ended March 31, 2024 and 2023

(Amounts expressed in thousands of US Dollars)


	Notes	Period from January 1, through March 31, 2024			Period from January 1, through March 31, 2023
Revenue from contracts with customers	4		317,352			317,190
Cost of sales:
Operating costs	5.1		(21,618	)		(30,144	)
Crude oil stock fluctuation	5.2		1,209			(4,722	)
Depreciation, depletion and amortization	12/13/14		(82,373	)		(64,372	)
Royalties and others	5.3		(44,782	)		(48,972	)
Other non-cash costs related to the transfer of conventional assets			(9,105	)		(3,233	)

Gross profit			160,683			165,747

Selling expenses	6		(18,839	)		(16,717	)
General and administrative expenses	7		(22,110	)		(17,011	)
Exploration expenses	8		(31	)		(222	)
Other operating income	9.1		9,497			95,315
Other operating expenses	9.2		(115	)		(963	)

Operating profit			129,085			226,149

Interest income	10.1		481			287
Interest expense	10.2		(4,897	)		(6,137	)
Other financial income (expense)	10.3		(22,630	)		(14,315	)

Financial income (expense), net			(27,046	)		(20,165	)

Profit before income tax			102,039			205,984

Current income tax (expense)	15		(63,789	)		(47,568	)
Deferred income tax benefit (expense)	15		40,401			(29,682	)

Income tax (expense)			(23,388	)		(77,250	)

Profit for the period, net			78,651			128,734

Other comprehensive income
Other comprehensive income that shall not be reclassified to profit (loss) in subsequent periods
- Profit from actuarial remeasurement related to employee benefits	25		49			109
- Deferred income tax (expense)	15		(17	)		(38	)

Other comprehensive income that shall not be reclassified to profit in subsequent periods, net of taxes			32			71

Total comprehensive profit for the period			78,683			128,805

Earnings per share
Basic (in US Dollars per share)	11		0.819			1.431
Diluted (in US Dollars per share)	11		0.792			1.315

Notes 1 through 29 are an integral part of these unaudited interim condensed consolidated financial statements.

VISTA ENERGY, S.A.B. DE C.V.

Unaudited interim condensed consolidated statements of financial position as of March 31, 2024 and December 31, 2023

(Amounts expressed in thousands of US Dollars)


	Notes		As of March 31, 2024			As of December 31, 2023
Assets
Noncurrent assets
Property, plant and equipment		12		2,091,011			1,927,759
Goodwill		13		22,576			22,576
Other intangible assets		13		9,487			10,026
Right-of-use assets		14		55,336			61,025
Investments in associates				8,491			8,619
Trade and other receivables		16		143,129			136,351
Deferred income tax assets				5,743			5,743

Total noncurrent assets				2,335,773			2,172,099

Current assets
Inventories		18		5,404			7,549
Trade and other receivables		16		302,849			205,102
Cash, bank balances and other short-term investments		19		151,653			213,253

Total current assets				459,906			425,904

Total assets				2,795,679			2,598,003

Equity and liabilities
Equity
Capital stock		20.1		517,874			517,874
Other equity instruments				32,144			32,144
Legal reserve				8,233			8,233
Share-based payments				21,574			42,476
Share repurchase reserve				79,324			79,324
Other accumulated comprehensive income (losses)				(4,395	)		(4,427	)
Accumulated profit (losses)				650,042			571,391

Total equity				1,304,796			1,247,015

Liabilities
Noncurrent liabilities
Deferred income tax liabilities				342,744			383,128
Lease liabilities		14		33,655			35,600
Provisions		21		13,796			12,339
Borrowings		17.1		576,282			554,832
Employee benefits		25		5,678			5,703

Total noncurrent liabilities				972,155			991,602

Current liabilities
Provisions		21		4,118			4,133
Lease liabilities		14		30,194			34,868
Borrowings		17.1		89,774			61,223
Salaries and payroll taxes		22		10,123			17,555
Income tax liability				51,451			3
Other taxes and royalties		23		35,433			36,549
Trade and other payables		24		297,635			205,055

Total current liabilities				518,728			359,386

Total liabilities				1,490,883			1,350,988

Total equity and liabilities				2,795,679			2,598,003

Notes 1 through 29 are an integral part of these unaudited interim condensed consolidated financial statements.

VISTA ENERGY, S.A.B. DE C.V.

Unaudited interim condensed consolidated statement of changes in equity for the three-month period ended March 31, 2024

(Amounts expressed in thousands of US Dollars)


	Capital stock		Other equity instruments		Legal reserve		Share-based payments			Share repurchase reserve		Other accumulated comprehensive income (losses)			Accumulated profit (losses)		Total equity
Amounts as of December 31, 2023		517,874		32,144		8,233		42,476			79,324		(4,427	)		571,391		1,247,015

Profit for the period		—		—		—		—			—		—			78,651		78,651
Other comprehensive income for the period		—		—		—		—			—		32			—		32

Total comprehensive income		—		—		—		—			—		32			78,651		78,683

Share-based payments		—		—		—		(20,902	)⁽¹⁾		—		—			—		(20,902	)

Amounts as of March 31, 2024		517,874		32,144		8,233		21,574			79,324		(4,395	)		650,042		1,304,796

⁽¹⁾	Including 6,643 share-based payments (Note 7), net of tax charges.

Notes 1 through 29 are an integral part of these unaudited interim condensed consolidated financial statements.

VISTA ENERGY, S.A.B. DE C.V.

Unaudited interim condensed consolidated statement of changes in equity for the three-month period ended March 31, 2023

(Amounts expressed in thousands of US Dollars)


	Capital stock		Other equity instruments		Legal reserve		Share-based payments			Share repurchase reserve		Other accumulated comprehensive income (losses)			Accumulated profit (losses)		Total equity
Amounts as of December 31, 2022		517,873		32,144		2,603		40,744			49,465		(8,694	)		209,925		844,060

Profit for the period		—		—		—		—			—		—			128,734		128,734
Other comprehensive income for the period		—		—		—		—			—		71			—		71

Total comprehensive income		—		—		—		—			—		71			128,734		128,805

Share-based payments		1		—		—		(4,816	)⁽¹⁾		—		—			—		(4,815	)

Amounts as of March 31, 2023		517,874		32,144		2,603		35,928			49,465		(8,623	)		338,659		968,050

⁽¹⁾	Including 5,039 share-based payments (Note 7), net of tax charges.

Notes 1 through 29 are an integral part of these unaudited interim condensed consolidated financial statements.

VISTA ENERGY, S.A.B. DE C.V.

Unaudited interim condensed consolidated statements of cash flows for the three-month periods ended March 31, 2024 and 2023

(Amounts expressed in thousands of US Dollars)


	Notes	Period from January 1, through March 31, 2024			Period from January 1, through March 31, 2023
Cash flows from operating activities:
Profit for the period, net			78,651			128,734

Adjustments to reconcile net cash flows
Items related to operating activities:
Other non-cash costs related to the transfer of conventional assets			9,105			3,233
Share-based payments	7		6,643			5,039
Net increase (decrease) in provisions	9.2		115			(567	)
Net changes in foreign exchange rate	10.3		12,288			(6,570	)
Discount for well plugging and abandonment	10.3		254			499
Interest expense on lease liabilities	10.3		858			388
Discount of assets and liabilities at present value	10.3		(371	)		709
Income tax expense	15		23,388			77,250
Employee benefits	25		81			153

Items related to investing activities:
Gain related to the transfer of conventional assets	9.1		—			(89,659	)
Gain from farmout agreement	9.1		—			(5,656	)
Interest income	10.1		(481	)		(287	)
Changes in the fair value of financial assets	10.3		8,635			3,202
Depreciation and depletion	12/14		81,085			63,434
Amortization of intangible assets	13		1,288			938

Items related to financing activities:
Interest expense	10.2		4,897			6,137
Amortized cost	10.3		317			364
Remeasurement in borrowings	10.3		—			13,690
Other financial income (expense)	10.3		649			2,033

Changes in working capital:
Trade and other receivables			(116,534	)		(12,854	)
Inventories	5.2		(1,209	)		4,722
Trade and other payables			(3,854	)		4,082
Payments of employee benefits	25		(57	)		(75	)
Salaries and payroll taxes			(34,899	)		(25,892	)
Other taxes and royalties			(8,747	)		(12,018	)
Provisions			(94	)		(529	)
Income tax payment			(8,763	)		(1,737	)

Net cash flows provided by operating activities			53,245			158,763

VISTA ENERGY, S.A.B. DE C.V.

Unaudited interim condensed consolidated statements of cash flows for the three-month periods ended March 31, 2024 and 2023

(Amounts expressed in thousands of US Dollars)


	Notes		Period from January 1, through March 31, 2024			Period from January 1, through March 31, 2023
Cash flows from investing activities:
Payments for acquisitions of property, plant and equipment				(147,654	)		(132,948	)
Payments for the acquisition of AFBN assets				—			(6,250	)
Payments for acquisitions of other intangible assets		13		(749	)		(840	)
Proceeds from (payments for) acquisitions of investments in associates				128			(532	)
Proceeds from farmout agreement		9.1		—			6,250
Proceeds from the transfer of conventional assets				10,734			10,000
Interest received		10.1		481			287

Net cash flows (used in) investing activities				(137,060	)		(124,033	)

Cash flows from financing activities:
Proceeds from borrowings		17.2		95,876			135,000
Payment of borrowings cost		17.2		(357	)		(728	)
Payment of borrowings principal		17.2		(45,000	)		(22,500	)
Payment of borrowings interest		17.2		(5,678	)		(7,877	)
Payment of lease		14		(11,011	)		(9,894	)
Payments of other financial expense		10.3		(933	)		(2,033	)

Net cash flow provided by financing activities				32,897			91,968

Net (decrease) increase in cash and cash equivalents				(50,918	)		126,698
Cash and cash equivalents at beginning of the period		19		209,516			241,956
Effect of exposure to changes in the foreign currency rate and other financial results of cash and cash equivalents				(13,836	)		(20,989	)
Net (decrease) increase in cash and cash equivalents				(50,918	)		126,698

Cash and cash equivalents at end of the period		19		144,762			347,665

Significant transactions that generated no cash flows
Acquisition of property, plant and equipment through increase in trade and other payables				235,096			160,965
Changes in well plugging and abandonment with an impact in property, plant and equipment		12		1,601			(2,904	)

Notes 1 through 29 are an integral part of these unaudited interim condensed consolidated financial statements.

VISTA ENERGY, S.A.B. DE C.V.

Notes to the unaudited interim condensed consolidated financial statements as of March 31, 2024 and December 31, 2023 and for the three-month periods ended March 31, 2024 and 2023

(Amounts expressed in thousands of US Dollars, except otherwise indicated)

Note 1. Group information

1.1 Company general information, structure and activities

Vista Energy, S.A.B. de C.V. (“VISTA”, the “Company” or the “Group”), formerly known as Vista Oil & Gas, S.A.B. de C.V., was organized as a variable-capital stock company on March 22, 2017, under the laws of the United Mexican States (“Mexico”). The Company adopted the public corporation or “Sociedad Anónima Bursátil de Capital Variable” (“S.A.B. de C.V.”) on July 28, 2017.

It is listed on the New York Stock Exchange (“NYSE”) under ticker symbol “VIST” as from July 26, 2019.

On April 26, 2022, Vista Oil & Gas, S.A.B. de C.V. changed the Company’s corporate name to “Vista Energy, S.A.B. de C.V.”.

Its main office is located in the City of Mexico, Mexico, at Pedregal 24, floor 4, Colonia Molino del Rey, Alcaldía Miguel Hidalgo, zip code 11040.

Through its subsidiaries, the Company engages in oil and gas exploration and production (upstream segment).

These unaudited interim condensed consolidated financial statements were approved for publication by the Board of Directors on April 24, 2024.

There were no changes in the Group’s structure and activities as from the date of issuance of the annual consolidated financial statements as of December 31, 2023.

Note 2. Basis of preparation and material accounting policies

2.1 Bases of preparation and presentation

The unaudited interim condensed consolidated financial statements as of March 31, 2024 and December 31, 2023, and for the three-month periods ended March 31, 2024 and 2023 were prepared in accordance with the International Accounting Standard (“IAS”) 34 – “Interim Financial Reporting”, issued by the International Accounting Standards Board (“IASB”). The Company prepared its interim financial statements on a condensed basis pursuant to IAS 34. Certain explanatory notes are included to describe the events and transactions that are relevant to understand the changes in the financial position as of March 31, 2024, and the results of operations for the three-month period ended March 31, 2024. Therefore, these interim condensed consolidated financial statements do not include all the information and disclosures required in the annual financial statements and should be read together with the annual consolidated financial statements as of December 31, 2023.

These unaudited interim condensed consolidated financial statements were prepared using the same accounting policies as used in preparing the Company’s consolidated financial statements as of December 31, 2023, except for the income tax expense that is recognized in each interim period based on the best estimate of the weighted average annual income tax rate expected for the full financial year.

They were prepared on a historical cost basis, except for certain financial assets and liabilities that were measured at fair value. The figures contained herein are stated in US Dollars (“USD”) and are rounded to the nearest thousand, unless otherwise stated.

2.2 New effective accounting standards, amendments and interpretations issued by the IASB adopted by the Company

The Group has not early adopted any standard, interpretation or amendment that has been issued but is not yet effective.

2.3 Basis of consolidation

These unaudited interim condensed consolidated financial statements contain the financial statements of the Company and its subsidiaries. There were no changes in interest in Company subsidiaries during the three-month period ended March 31, 2024.

VISTA ENERGY, S.A.B. DE C.V.

Notes to the unaudited interim condensed consolidated financial statements as of March 31, 2024 and December 31, 2023 and for the three-month periods ended March 31, 2024 and 2023

(Amounts expressed in thousands of US Dollars, except otherwise indicated)

2.4 Summary of material accounting policies

2.4.1 Impairment testing of goodwill and nonfinancial assets other than goodwill

Nonfinancial assets, including identifiable intangible assets, are tested for impairment at the lowest level in which there are separately identifiable cash flows largely independent of the cash flows of other groups of assets or Cash Generating Units (“CGUs”).

As of March 31, 2024, and December 31, 2023, the Company identified 2 (two) CGUs in Argentina: (i) operated exploitation concessions of unconventional oil and gas exploration and production; and (ii) non-operating concessions of conventional oil and gas exploration and production.

The Company also identified only 1 (one) CGUs in Mexico: (i) operated exploitation concessions of conventional oil and gas exploration and production, as of March 31, 2024, and December 31, 2023.

The Company conducts its impairment test of nonfinancial assets when there is an indication that the carrying amount may be impaired. Moreover, Goodwill is tested every December. The Company bases the impairment test on the calculation of value in use and reviews the relationship between the recoverable amount and the carrying amount of its assets.

As of March 31, 2024, the Company did not identify indications of impairment or reversal of impairment related with goodwill and nonfinancial assets other than goodwill.

2.5 Regulatory framework

A-	Argentina

2.5.1 General

2.5.1.1 Exports Increase Program

For the three-month period ended March 31, 2024, the Company recognized 7,441 in “Other operating income” under “Gain from Exports Increase Program” (Note 9.1).

2.5.2 Gas market

2.5.2.1 Argentine promotion plan to stimulate natural gas production: 2020-2024 supply and demand system (“Gas IV Plan”)

For the three-month period ended March 31, 2024 and 2023, the Company received a net amount of 326 and 1,340, respectively.

As of March 31, 2024, and December 31, 2023, the receivables related to such plan stand at 1,847 and 1,245, respectively (Note 16).

Other than mentioned above, there have been no significant changes in Argentina’s regulatory framework for the three-month period ended March 31, 2024 (see Note 2.5 to the annual consolidated financial statements as of December 31, 2023).

B-	Mexico

There have been no significant changes in Mexico’s regulatory framework during the three-month period ended March 31, 2024 (see Note 2.5 to the annual consolidated financial statements as of December 31, 2023).

2.6 Comparative Information

As of December 31, 2023 the Company has made a change in the “Export Duties” presentation in the “Royalties and others” (Note 5.3), which was previously included in “Revenues from contract with customers”.

The comparative information for the three-month period ended March 31, 2023, has been reclassified to ensure consistent filing with the unaudited interim condensed consolidated financial statements as of March 31, 2024.

VISTA ENERGY, S.A.B. DE C.V.

Notes to the unaudited interim condensed consolidated financial statements as of March 31, 2024 and December 31, 2023 and for the three-month periods ended March 31, 2024 and 2023

(Amounts expressed in thousands of US Dollars, except otherwise indicated)

“Revenues from contract with customers” and “Royalties and others” increased by 13,977 for the three-month periods ended March 31, 2023.

These changes had no effect on the net profit for the three-month period ended March 31, 2023.

Note 3. Segment information

The Chief Operating Decision Maker (the “Committee” or “CODM”) is in charge of allocating resources and assessing the performance of the operating segment. It supervises operating profit (loss) and the performance of the indicators related to its oil and gas properties on an aggregate basis to make decisions regarding the location of resources, negotiate with international suppliers and determine the method for managing contracts with customers.

The CODM considers as a single segment the exploration and production of crude oil, natural gas and LPG (including Exploration and Production commercial activities), through its own activities, subsidiaries and interests in joint operations and based on the nature of the business, customer portfolio and risks involved. The Company aggregated no segment as it has only one.

For the three-month periods ended March 31, 2024, and 2023, the Company generated 99% and 1% of its revenues related to assets located in Argentina and Mexico, respectively.

The accounting criteria used by the subsidiaries to measure profit or loss, assets and liabilities of the segments are consistent with those used in these unaudited interim condensed consolidated financial statements.

The following chart summarizes noncurrent assets per geographical area:


	As of March 31, 2024		As of December 31, 2023
Argentina		2,286,854		2,122,735
Mexico		48,919		49,364

Total noncurrent assets		2,335,773		2,172,099

Note 4. Revenue from contracts with customers


	Period from January 1, through March 31, 2024		Period from January 1, through March 31, 2023
Goods sold		317,352		317,190

Total revenue from contracts with customers		317,352		317,190

Recognized at a point in time		317,352		317,190

4.1 Information broken down by revenue from contracts with customers


Type of products	Period from January 1, through March 31, 2024		Period from January 1, through March 31, 2023
Revenues from crude oil sales		302,485		293,913
Revenues from natural gas sales		14,666		21,867
Revenues from LPG sales		201		1,410

Total revenue from contracts with customers		317,352		317,190


Distribution channels	Period from January 1, through March 31, 2024		Period from January 1, through March 31, 2023
Local crude oil for refineries		174,021		110,923
Exports of crude oil		128,464		182,990
Exports of natural gas		7,145		12,722
Local natural gas for industries		3,120		5,949
Local natural gas for electric power generation		2,313		1,470
Local natural gas for retail distribution companies		2,088		1,726
LPG sales		201		1,410

Total revenue from contracts with customers		317,352		317,190

VISTA ENERGY, S.A.B. DE C.V.

Notes to the unaudited interim condensed consolidated financial statements as of March 31, 2024 and December 31, 2023 and for the three-month periods ended March 31, 2024 and 2023

(Amounts expressed in thousands of US Dollars, except otherwise indicated)

Note 5. Cost of sales

5.1 Operating costs


	Period from January 1, through March 31, 2024		Period from January 1, through March 31, 2023
Fees and compensation for services		11,917		16,746
Salaries and payroll taxes		5,327		4,941
Employee benefits		1,495		1,618
Consumption of materials and spare parts		734		2,422
Easements and fees		658		1,790
Transport		610		1,483
Other		877		1,144

Total operating costs		21,618		30,144

5.2 Crude oil stock fluctuation


	Period from January 1, through March 31, 2024			Period from January 1, through March 31, 2023
Crude oil stock at beginning of the period (Note 18)		2,664			4,722
Less: Crude oil stock at end of the period (Note 18)		(3,873	)		—

Total crude oil stock fluctuation		(1,209	)		4,722

Note 5.3 Royalties and others


	Period from January 1, through March 31, 2024		Period from January 1, through March 31, 2023
Royalties		35,228		34,995
Export duties		9,554		13,977

Total royalties and others		44,782		48,972

Note 6. Selling expenses


	Period from January 1, through March 31, 2024		Period from January 1, through March 31, 2023
Transport		8,671		9,116
Taxes, rates and contributions		5,595		3,795
Tax on bank account transactions		2,459		2,241
Fees and compensation for services		2,114		1,565

Total selling expenses		18,839		16,717

Note 7. General and administrative expenses


	Period from January 1, through March 31, 2024		Period from January 1, through March 31, 2023
Salaries and payroll taxes		9,714		6,787
Share-based payments		6,643		5,039
Fees and compensation for services		3,147		2,516
Employee benefits		902		968
Taxes, rates and contributions		429		263
Institutional promotion and advertising		329		543
Other		946		895

Total general and administrative expenses		22,110		17,011

Note 8. Exploration expenses


	Period from January 1, through March 31, 2024		Period from January 1, through March 31, 2023
Geological and geophysical expenses		31		222

Total exploration expenses		31		222

VISTA ENERGY, S.A.B. DE C.V.

Notes to the unaudited interim condensed consolidated financial statements as of March 31, 2024 and December 31, 2023 and for the three-month periods ended March 31, 2024 and 2023

(Amounts expressed in thousands of US Dollars, except otherwise indicated)

Note 9. Other operating income and expenses

9.1 Other operating income


	Period from January 1, through March 31, 2024		Period from January 1, through March 31, 2023
Gain from Exports Increase Program		7,441		—
Other services income ⁽¹⁾		2,056		—
Gain related to the transfer of conventional assets⁽²⁾		—		89,659
Gain from farmout agreement ⁽³⁾		—		5,656

Total other operating income		9,497		95,315

⁽¹⁾	Services not directly related to the Company’s main activity.

⁽²⁾	See Note 1.2.1 to the annual consolidated financial statements as of December 31, 2023.

⁽²⁾

For the three-month period ended March 31, 2023, including 6,250 of payments received by Trafigura Argentina S.A., related to the farmout agreement celebrated on June 28, 2021 (“farmout agreement I”), net of disposals of oil and gas properties and goodwill for 551, and 43, respectively. See Note 12 and 13.

9.2 Other operating expenses


	Period from January 1, through March 31, 2024			Period from January 1, through March 31, 2023
(Provision for) environmental remediation ⁽¹⁾		(144	)		(322	)
Reversal of provision for materials and spare parts obsolescence ⁽¹⁾		91			879
(Provision for) Reversal of contingencies ⁽¹⁾		(62	)		10
Restructuring and reorganization expenses ⁽²⁾		—			(271	)
Other charges		—			(1,259	)

Total other operating expenses		(115	)		(963	)

⁽¹⁾	These transactions did not generate cash flows.

⁽²⁾	The Company booked restructuring expenses including payments, fees and transaction costs related to the changes in the Group’s structure.

Note 10. Financial income (expense), net

10.1 Interest income


	Period from January 1, through March 31, 2024		Period from January 1, through March 31, 2023
Financial interest		481		287

Total interest income		481		287

10.2 Interest expense


	Period from January 1, through March 31, 2024			Period from January 1, through March 31, 2023
Borrowings interest (Note 17.2)		(4,897	)		(6,137	)

Total interest expense		(4,897	)		(6,137	)

10.3 Other financial income (expense)


	Period from January 1, through March 31, 2024			Period from January 1, through March 31, 2023
Amortized cost (Note 17.2)		(317	)		(364	)
Net changes in foreign exchange rate		(12,288	)		6,570
Discount of assets and liabilities at present value		371			(709	)
Changes in the fair value of financial assets		(8,635	)		(3,202	)
Interest expense on lease liabilities (Note 14)		(858	)		(388	)
Discount for well plugging and abandonment		(254	)		(499	)
Remeasurement in borrowings ⁽¹⁾		—			(13,690	)
Other ⁽²⁾		(649	)		(2,033	)

Total other financial income (expense)		(22,630	)		(14,315	)

⁽¹⁾	Related to borrowings in purchasing value units (“UVA”, by Spanish acronym) adjusted by the benchmark stabilization coefficient (“CER”, by its Spanish acronym) (Note 17.2).

⁽²⁾	For the three-month period ended March 31, 2024, including 284 of non-cash income.

VISTA ENERGY, S.A.B. DE C.V.

Notes to the unaudited interim condensed consolidated financial statements as of March 31, 2024 and December 31, 2023 and for the three-month periods ended March 31, 2024 and 2023

(Amounts expressed in thousands of US Dollars, except otherwise indicated)

Note 11. Earnings per share

Basic

Basic earnings per share is calculated by dividing the Company’s profit by the weighted average number of ordinary shares outstanding during the period.


	Period from January 1, through March 31, 2024		Period from January 1, through March 31, 2023
Profit for the period, net		78,651		128,734
Weighted average number of ordinary shares		95,976,064		89,937,525

Basic earnings per share		0.819		1.431

b)	Diluted

Diluted earnings per share is calculated by dividing the Company’s profit by the weighted average number of ordinary shares outstanding during the period, plus the weighted average of dilutive potential ordinary shares.

Potential ordinary shares will be considered dilutive when their conversion to ordinary shares may reduce earnings per share or increase losses per share. They will be considered antidilutive when their conversion to ordinary shares may result in an increase in earnings per share or a reduction in loss per share.

The calculation of diluted earnings per share does not involve a conversion; the exercise or other issue of shares that may have an antidilutive effect on loss per share, or when the exercise price is higher than the average price of ordinary shares during the period, no dilution effect is booked, as diluted earnings per share is equal to basic earnings per share.


	Period from January 1, through March 31, 2024		Period from January 1, through March 31, 2023
Profit for the period, net		78,651		128,734
Weighted average number of ordinary shares ⁽¹⁾		99,292,985		97,920,497

Diluted earnings per share		0.792		1.315

⁽¹⁾	As of March 31, 2024, the Company has 97,190,835 outstanding shares (Note 20.1) that cannot exceed 98,781,028 shares.

Likewise, in accordance with IFRS the average number of ordinary shares with a potential dilutive effect amounts to 99,292,985.

As of March 31, 2024, the Company holds 5,123,346 Series A shares to be used in the Long-Term Incentive Plan (“LTIP”), that, on the date of this unaudited interim condensed consolidated financial statements, are currently unvested. Consequently, they are not included in the weighted average number of ordinary shares to calculate diluted earnings per share.

VISTA ENERGY, S.A.B. DE C.V.

Notes to the unaudited interim condensed consolidated financial statements as of March 31, 2024 and December 31, 2023 and for the three-month periods ended March 31, 2024 and 2023

(Amounts expressed in thousands of US Dollars, except otherwise indicated)

Note

12. Property, plant and equipment

The changes in property, plant and equipment for the three- month period ended March 31, 2024 are as follows:


	Land and buildings			Vehicles, machinery, facilities, computer hardware and furniture and fixtures			Oil and gas properties			Production wells and facilities			Works in progress			Materials and spare parts			Total
Cost
Amounts as of December 31, 2023		12,574			43,524			498,707			2,036,644			123,015			44,955			2,759,419

Additions		—			—			—			1,601	⁽¹⁾		185,494			55,071			242,166
Transfers		445			265			—			164,722			(117,604	)		(47,828	)		—
Disposals		—			(284	)		—			—			—			—			(284	)

Amounts as of March 31, 2024		13,019			43,505			498,707			2,202,967			190,905			52,198			3,001,301

Accumulated depreciation
Amounts as of December 31, 2023		(232	)		(15,239	)		(80,655	)		(735,534	)		—			—			(831,660	)

Depreciation		—			(1,386	)		(3,977	)		(73,420	)		—			—			(78,783	)
Disposals		—			153			—			—			—			—			153

Amounts as of March 31, 2024		(232	)		(16,472	)		(84,632	)		(808,954	)		—			—			(910,290	)

Net value

Amounts as of March 31, 2024		12,787			27,033			414,075			1,394,013			190,905			52,198			2,091,011

Amounts as of December 31, 2023		12,342			28,285			418,052			1,301,110			123,015			44,955			1,927,759

⁽¹⁾	Related to the re-estimation of well plugging and abandonment. This transaction did not generate cash flows.

VISTA ENERGY, S.A.B. DE C.V.

Notes to the unaudited interim condensed consolidated financial statements as of March 31, 2024 and December 31, 2023 and for the three-month periods ended March 31, 2024 and 2023

(Amounts expressed in thousands of US Dollars, except otherwise indicated)

Note 13. Goodwill and other intangible assets

Below are the changes in goodwill and other intangible assets for the three-month period ended March 31, 2024:


	Goodwill		Other intangible assets
Cost
Amounts as of December 31, 2023		22,576		24,396
Additions		—		749

Amounts as of March 31, 2024		22,576		25,145

Accumulated amortization
Amounts as of December 31, 2023		—		(14,370	)
Amortization		—		(1,288	)

Amounts as of March 31, 2024		—		(15,658	)

Net value
Amounts as of March 31, 2024		22,576		9,487

Amounts as of December 31, 2023		22,576		10,026

Note 14. Right-of-use assets and lease liabilities

The carrying amount of the Company’s right-of-use assets and lease liabilities, as well as the changes for the three-month period ended March 31, 2024, are detailed below:


	Right-of-use assets									Total lease liabilities
	Buildings			Plant and machinery			Total			Total lease liabilities
Amounts as of December 31, 2023		388			60,637			61,025			(70,468	)
Reestimation		1,275			950			2,225			(2,299	)
Depreciation ⁽¹⁾		(160	)		(7,754	)		(7,914	)		—
Payments		—			—			—			11,011
Interest expense ⁽²⁾		—			—			—			(2,093	)

Amounts as of March 31, 2024		1,503			53,833			55,336			(63,849	)

⁽¹⁾	Including the depreciation of drilling services capitalized as “Works in progress” for 5,612.

⁽²⁾	Including drilling agreements capitalized as “Works in progress” for 1,235.

Short-term and low-value lease agreements were recognized under “General and administrative expenses” in the statements of profit or loss and other comprehensive income for 14 and 16 for the three-month periods ended March 31, 2024 and 2023, respectively.

Note 15. Income tax

The most significant components of the income tax expense in the statements of profit or loss and other comprehensive income of these interim condensed consolidated financial statements are as follows:


	Period from January 1, through March 31, 2024			Period from January 1, through March 31, 2023
Income tax
Current income tax		(63,789	)		(47,568	)
Deferred income tax		40,401			(29,682	)

Income tax (expense) charged in the statement of profit or loss		(23,388	)		(77,250	)

Deferred income tax charged to other comprehensive income		(17	)		(38	)

Total income tax (expense)		(23,405	)		(77,288	)

VISTA ENERGY, S.A.B. DE C.V.

Notes to the unaudited interim condensed consolidated financial statements as of March 31, 2024 and December 31, 2023 and for the three-month periods ended March 31, 2024 and 2023

(Amounts expressed in thousands of US Dollars, except otherwise indicated)

For the three-month period ended March 31, 2024, the Company’s effective rate was 23%. The differences between the effective and statutory rate mainly include: (i) the application of the tax adjustment for inflation in Argentina; (ii) the depreciation of the Argentine peso (“ARS”) with respect to the USD affecting the Company’s tax deductions of nonmonetary assets; and (iii) the accumulative tax losses not recognized in the period. (See Note 30 to the annual consolidated financial statements as of December 31, 2023).

Note 16. Trade and other receivables


	As of March 31, 2024		As of December 31, 2023
Noncurrent
Other receivables:
Prepayments, tax receivables and other:
Midstream prepaid expenses ⁽¹⁾		58,874		34,660
Receivables related to the transfer of conventional assets		54,334		70,526
Prepaid expenses and other receivables		27,116		27,414
Turnover tax		7		5
Value added tax (“VAT”)		—		462

		140,331		133,067
Financial assets:
Receivables from joint operations		2,571		2,936
Loans to employees		227		348

		2,798		3,284

Total noncurrent trade and other receivables		143,129		136,351

Current
Trade:
Oil and gas accounts receivable (net of allowance for expected credit losses)		149,071		59,787

		149,071		59,787
Other receivables:
Prepayments, tax credits and other:
Receivables related to the transfer of conventional assets		80,719		86,043
VAT		35,001		19,713
Income tax		10,412		13,409
Prepaid expenses and other receivables		9,723		9,381
Turnover tax		32		385

		135,887		128,931
Financial assets:
Accounts receivable from third parties		9,067		7,804
Receivables from joint operations		6,348		6,581
Gas IV Plan (Note 2.5.2.1)		1,847		1,245
Advances to directors and loans to employees		403		557
Other		226		197

		17,891		16,384

Other receivables		153,778		145,315

Total current trade and other receivables		302,849		205,102

⁽¹⁾	Related to the Duplicar Plus Project implemented by Oleoductos del Valle S.A. and the project to expand the Puerto Rosales maritime terminal and pumping station implemented by Oiltanking Ebytem S.A. (See Note 28.1 and 28.2 to the annual consolidated financial statements as of December 31, 2023)

Due to the short-term nature of current trade and other receivables, it carrying amount is considered similar to its fair value. The fair values of noncurrent trade and other receivables do not differ significantly from it carrying amounts either.

As of March 31, 2024, in general, accounts receivable has a 17-day term for sales of crude oil and a 50-day term for sales of natural gas and LPG.

VISTA ENERGY, S.A.B. DE C.V.

Notes to the unaudited interim condensed consolidated financial statements as of March 31, 2024 and December 31, 2023 and for the three-month periods ended March 31, 2024 and 2023

(Amounts expressed in thousands of US Dollars, except otherwise indicated)

The Company sets up a provision for trade receivables when there is information showing that the debtor is facing severe financial difficulties and that there is no realistic probability of recovery, for example, when the debtor goes into liquidation or files for bankruptcy proceedings. Trade receivables that are derecognized are not subject to compliance activities. The Company recognized an allowance for expected credit losses of 100% against all trade receivables that are 90 days past due because based on its history these receivables are generally not recovered.

As of March 31, 2024, and December 31, 2023, an allowance for expected credit losses was recorded in trade and other receivables for 49 and 52 respectively.

As of the date of these interim condensed consolidated financial statements, maximum exposure to credit risk is related to the carrying amount of each class of accounts receivable.

Note 17. Financial assets and liabilities

17.1 Borrowings


	As of March 31, 2024		As of December 31, 2023
Noncurrent
Borrowings		576,282		554,832

Total noncurrent		576,282		554,832

Current
Borrowings		89,774		61,223

Total current		89,774		61,223

Total Borrowings		666,056		616,055

Below are the maturity dates of Company borrowings (excluding lease liabilities) and their exposure to interest rates:


	As of March 31, 2024		As of December 31, 2023
Fixed interest
Less than 1 year		89,390		60,373
From 1 to 2 years		68,349		81,900
From 2 to 5 years		432,586		392,550
Over 5 years		50,347		55,382

Total		640,672		590,205

Variable interest
Less than 1 year		384		850
From 1 to 2 years		—		—
From 2 to 5 years		25,000		25,000
Over 5 years		—		—

Total		25,384		25,850

Total Borrowings		666,056		616,055

See Note 17.4 for information on the fair value of the borrowings.

VISTA ENERGY, S.A.B. DE C.V.

Notes to the unaudited interim condensed consolidated financial statements as of March 31, 2024 and December 31, 2023 and for the three-month periods ended March 31, 2024 and 2023

(Amounts expressed in thousands of US Dollars, except otherwise indicated)

The carrying amount of borrowings as of March 31, 2024 and December 31, 2023 of the Company through its subsidiary Vista Argentina, is as follows:

Company

Execution
date

Currency

Principal

Interest

Annual
rate

Maturity
date

As of March 31,
2024

As of
December 31,
2023

Santander International

January, 2021

USD

11,700

Fixed

1.80%

January, 2026

^{(1) (3)}

⁽¹⁾

Santander International

July, 2021

USD

43,500

Fixed

2.05%

July, 2026

^{(1) (3)}

⁽¹⁾

Santander International

January, 2022

USD

13,500

Fixed

2.45%

January, 2027

^{(1) (3)}

⁽¹⁾

ConocoPhillips Company

January, 2022

USD

25,000

Variable

SOFR ⁽²⁾

+ 2.01%

September, 2026

25,384

25,850

Eurobanco Bank Ltd.

March, 2024

USD

40,000

Fixed

11.40%

April, 2024

165

^(1) (3)

—

Banco Provincia

March, 2024

ARS

9,294,745

Fixed

59.00%

April, 2024

10,984

—

Total

36,652

26,025

⁽¹⁾	The carrying amount is related to interest, and the principal is collateralized.

⁽²⁾	Secured Overnight Financing Rate (“SOFR”).

⁽³⁾	See Note 29.

Moreover, Vista Argentina issued ON, under the name “Programa de Notas” approved by the National Securities Commission in Argentina (“CNV” by its Spanish acronym). The following chart shows the carrying amount of ON of March 31, 2024 and December 31, 2023:


Instrument	Execution date	Currency	Principal			Interest	Annual rate			Maturity date	As of March 31, 2024			As of December 31, 2023
ON VI	December, 2020	USD-linked ⁽¹⁾		10,000		Fixed		3.24	%	December, 2024		10,004			9,997
ON XI	August, 2021	USD-linked ⁽¹⁾		9,230		Fixed		3.48	%	August, 2025		9,235			9,231
ON XII	August, 2021	USD-linked ⁽¹⁾		100,769		Fixed		5.85	%	August, 2031		101,067			102,556
ON XIII	June, 2022	USD		43,500		Fixed		6.00	%	August, 2024		43,519			43,458
ON XIV	November, 2022	USD		40,511		Fixed		6.25	%	November, 2025		37,079			36,484
ON XV	December, 2022	USD		13,500		Fixed		4.00	%	January, 2025		13,492			13,476
ON XVI	December, 2022	USD-linked ⁽¹⁾		63,450		Fixed		0.00	%	June, 2026		63,281			63,231
ON XVI	May, 2023	USD-linked ⁽¹⁾		40,785	⁽²⁾	Fixed		0.00	%	June, 2026		40,525			40,525
ON XVII	December, 2022	USD-linked ⁽¹⁾		39,118		Fixed		0.00	%	December, 2026		38,961			38,948
ON XVIII	March, 2023	USD-linked ⁽¹⁾		118,542		Fixed		0.00	%	March, 2027		118,023			117,979
ON XIX	March, 2023	USD-linked ⁽¹⁾		16,458		Fixed		1.00	%	March, 2028		16,401			16,396
ON XX	June, 2023	USD		13,500		Fixed		4.50	%	July, 2025		13,387			13,357
ON XXI	August, 2023	USD-linked ⁽¹⁾		70,000		Fixed		0.99	%	August, 2028		69,766			69,749
ON XXII	December, 2023	USD		14,669		Fixed		5,00	%	June, 2026		14,806			14,643
ON XXIII	March, 2024	USD		60,000		Fixed		6,50	%	March, 2027		39,858	⁽³⁾		—

										Total		629,404			590,030

								Total Borrowings				666,056			616,055

⁽¹⁾	Subscribed in USD, payable in ARS at the exchange rate applicable on maturity date.

⁽²⁾	On May 29, 2023, the Company settled ON VII by: (i) issuing additional ON XVI for 40,785 (which generated no cash flows); and (ii) paid remind principal and interest. The Company recognized 819 related to the loss from the issuance of the swap mentioned (Note 10.3).

⁽³⁾	The carrying amount includes 20,000 ON repurchased by the Company.

VISTA ENERGY, S.A.B. DE C.V.

Notes to the unaudited interim condensed consolidated financial statements as of March 31, 2024 and December 31, 2023 and for the three-month periods ended March 31, 2024 and 2023

(Amounts expressed in thousands of US Dollars, except otherwise indicated)

Under the aforementioned program, Vista Argentina may list ON in Argentina for a total principal up to 800,000 or its equivalent in other currencies at any time.

17.2 Changes in liabilities from financing activities

Changes in the borrowings were as follows:


	As of March 31, 2024			As of December 31, 2023
Amounts at beginning of period		616,055			549,332
Proceeds from borrowings ⁽¹⁾		95,876			358,954
Borrowings interest ⁽²⁾ (Note 10.2)		4,897			21,879
Payment of borrowings cost		(357	)		(1,779	)
Payment of borrowings interest		(5,678	)		(22,993	)
Payment of borrowings principal ⁽¹⁾		(45,000	)		(252,284	)
Amortized cost ⁽²⁾ (Note 10.3)		317			1,810
Remeasurement in borrowings ^{(2) (3)} (Note 10.3)		—			72,044
Changes in foreign exchange rate ^{(2) (3)}		(54	)		(111,727	)
Other financial expense ⁽²⁾ (Note 10.3)		—			819

Amounts at end of period		666,056			616,055

⁽¹⁾	As of December 31, 2023, borrowings received, and principal payments include 40,785 related to the ON swapping mentioned in Note 17.1. These transactions did not generate cash flows.

⁽²⁾	These transactions did not generate cash flows.

⁽³⁾	Related to ON VIII and X, which amounts were in UVA and adjusted by CER. As of December 31, 2023, they were pre- settled by the Company.

17.3 Financial instruments by category

The following chart includes the financial instruments broken down by category:


As of March 31, 2024	Financial assets / liabilities at amortized cost		Financial assets / liabilities at fair value		Total financial assets / liabilities
Assets
Plan assets (Note 25)		—		5,180		5,180
Trade and other receivables (Note 16)		2,798		—		2,798

Total noncurrent financial assets		2,798		5,180		7,978

Cash, bank balances and other short-term investments (Note 19)		87,842		49,127		136,969
Trade and other receivables (Note 16)		166,962		—		166,962

Total current financial assets		254,804		49,127		303,931

Liabilities
Borrowings (Note 17.1)		576,282		—		576,282
Lease liabilities (Note 14)		33,655		—		33,655

Total noncurrent financial liabilities		609,937		—		609,937

Borrowings (Note 17.1)		89,774		—		89,774
Trade and other payables (Note 24)		297,635		—		297,635
Lease liabilities (Note 14)		30,194		—		30,194

Total current financial liabilities		417,603		—		417,603

VISTA ENERGY, S.A.B. DE C.V.

Notes to the unaudited interim condensed consolidated financial statements as of March 31, 2024 and December 31, 2023 and for the three-month periods ended March 31, 2024 and 2023

(Amounts expressed in thousands of US Dollars, except otherwise indicated)


As of December 31, 2023	Financial assets / liabilities at amortized cost		Financial assets / liabilities at fair value		Total financial assets / liabilities
Assets
Plan assets (Note 25)		—		5,438		5,438
Trade and other receivables (Note 16)		3,284		—		3,284

Total noncurrent financial assets		3,284		5,438		8,722

Cash, bank balances and other short-term investments (Note 19)		35,292		156,163		191,455
Trade and other receivables (Note 16)		76,171		—		76,171

Total current financial assets		111,463		156,163		267,626

Liabilities
Borrowings (Note 17.1)		554,832		—		554,832
Lease liabilities (Note 14)		35,600		—		35,600

Total noncurrent financial liabilities		590,432		—		590,432

Borrowings (Note 17.1)		61,223		—		61,223
Trade and other payables (Note 24)		205,055		—		205,055
Lease liabilities (Note 14)		34,868		—		34,868

Total current financial liabilities		301,146		—		301,146

Below are income, expenses, profit, or loss from each financial instrument:

For the three-month period ended March 31, 2024:


	Financial assets/liabilities at amortized cost			Financial assets/liabilities at fair value			Total financial assets / liabilities
Interest income (Note 10.1)		481			—			481
Interest expense (Note 10.2)		(4,897	)		—			(4,897	)
Amortized cost (Note 10.3)		(317	)		—			(317	)
Net changes in foreign exchange rate (Note 10.3)		(12,288	)		—			(12,288	)
Discount of assets and liabilities at present value (Note 10.3)		371			—			371
Changes in the fair value of financial assets (Note 10.3)		—			(8,635	)		(8,635	)
Interest expense on lease liabilities (Note 10.3)		(858	)		—			(858	)
Discount for well plugging and abandonment (Note 10.3)		(254	)		—			(254	)
Other (Note 10.3)		(649	)		—			(649	)

Total		(18,411	)		(8,635	)		(27,046	)

For the three-month period ended March 31, 2023:


	Financial assets/liabilities at amortized cost			Financial assets/liabilities at fair value			Total financial assets / liabilities
Interest income (Note 10.1)		287			—			287
Interest expense (Note 10.2)		(6,137	)		—			(6,137	)
Amortized cost (Note 10.3)		(364	)		—			(364	)
Net changes in foreign exchange rate (Note 10.3)		6,570			—			6,570
Discount of assets and liabilities at present value (Note 10.3)		(709	)		—			(709	)
Changes in the fair value of financial assets (Note 10.3)		—			(3,202	)		(3,202	)
Interest expense on lease liabilities (Note 10.3)		(388	)		—			(388	)
Discount for well plugging and abandonment (Note 10.3)		(499	)		—			(499	)
Remeasurement in borrowings (Note 10.3)		(13,690	)		—			(13,690	)
Other (Note 10.3)		(2,033	)		—			(2,033	)

Total		(16,963	)		(3,202	)		(20,165	)

VISTA ENERGY, S.A.B. DE C.V.

Notes to the unaudited interim condensed consolidated financial statements as of March 31, 2024 and December 31, 2023 and for the three-month periods ended March 31, 2024 and 2023

(Amounts expressed in thousands of US Dollars, except otherwise indicated)

17.4 Fair value

This note includes information on the Company’s method for assessing the fair value of its financial assets and liabilities.

17.4.1 Fair value of the Company’s financial assets and liabilities measured at fair value on a recurring basis

The Company classifies the measurements at fair value of financial instruments using a fair value hierarchy, which shows the relevance of the variables applied to carry out these measurements. The fair value hierarchy has the following levels:

•

Level 1: quoted (unadjusted) prices in active markets for identical assets or liabilities.

•

Level 2: data other than the quoted prices included in Level 1 that are observable for assets or liabilities, either directly (that is prices) or indirectly (that is derived from prices).

•

Level 3: data on the asset or liability that are based on information that cannot be observed in the market (that is, non-observable data).

The following chart shows the Company’s financial assets measured at fair value as of March 31, 2024 and December 31, 2023:


As of March 31, 2024	Level 1		Level 2		Level 3		Total
Assets
Financial assets at fair value through profit or loss
Plan assets		5,180		—		—		5,180
Short-term investments		49,127		—		—		49,127

Total assets		54,307		—		—		54,307


As of December 31, 2023	Level 1		Level 2		Level 3		Total
Assets
Financial assets at fair value through profit or loss
Plan assets		5,438		—		—		5,438
Short-term investments		156,163		—		—		156,163

Total assets		161,601		—		—		161,601

The value of financial instruments traded in active markets is based on quoted market prices as of the date of these accompanying unaudited interim condensed consolidated financial statements. A market is considered active when quoted prices are available regularly through a stock exchange, a broker, a specific sector entity or regulatory agency, and these prices reflect regular and current market transactions between parties at arm’s length. The quoted market price used for financial assets held by the Company is the current offer price. These instruments are included in Level 1.

For financial instruments not traded in an active market, the fair value is determined using appropriate valuation techniques. These valuation techniques maximize the use of observable market data, when available, and minimize the use of Company’s specific estimates. Should all significant variables used to establish the fair value of a financial instrument be observable, the instrument is included in Level 2.

Should one or more variables used in determining the fair value not be observable in the market, the financial instrument is included in Level 3.

There were no transfers between Level 1 and Level 2 from December 31, 2023, through March 31, 2024.

17.4.2 Fair value of financial assets and liabilities that are not measured at fair value (but require fair value disclosures)

Except for the information included in the following chart, the Company considers that the carrying amounts of financial assets and liabilities recognized in the interim condensed consolidated financial statements approximate to its fair values, as explained in the related notes.

VISTA ENERGY, S.A.B. DE C.V.

Notes to the unaudited interim condensed consolidated financial statements as of March 31, 2024 and December 31, 2023 and for the three-month periods ended March 31, 2024 and 2023

(Amounts expressed in thousands of US Dollars, except otherwise indicated)

As of March 31, 2024

Carrying amount

Fair value

Level

Liabilities

Borrowings

666,056

582,703

Total liabilities

666,056

582,703

17.5 Risk management objectives and policies concerning financial instruments

17.5.1 Financial risk factors

The Company’s activities are exposed to several financial risks: market risk (including exchange rate risk, interest rate risk and price risk), credit risk and liquidity risk.

Financial risk management is included in the Company’s global policies, and it adopts a comprehensive risk management policy focused on tracking risks affecting the entire Company. This strategy aims at striking a balance between profitability targets and risk exposure levels. Financial risks are derived from the financial instruments to which the Company is exposed during period-end or as of every period-end.

The Company’s financial department, controls financial risk by identifying, assessing and covering financial risks. The risk management systems and policies are reviewed regularly to show the changes in market conditions and the Company’s activities.

The Company reviewed its exposure to financial risk factors and identified no significant changes in the risk analysis included in its annual consolidated financial statements as of December 31, 2023, except for the following:

17.5.1.1 Market risk

Exchange rate risk

The Company’s financial position and results of operations are sensitive to exchange rate changes between USD and ARS. As of March, 31, 2024 and 2023, the Company performed foreign exchange currency hedge transactions, and the impact in the results of the period is recognized in “Other financial income (expense)”.

Most Company sales are denominated in USD, or the changes in sales follow the changes in USD listed price.

During the three-month period ended March 31, 2024, and for the year ended December 31, 2023, ARS depreciated by about 6% and 356%, respectively.

The following chart shows the sensitivity to a modification in the exchange rate of ARS to USD while maintaining the remainder variables constant. Impact on profit before taxes is related to changes in the fair value of monetary assets and liabilities denominated in currencies other than the USD, the Company’s functional currency. The Company’s exposure to changes in foreign exchange rates for the remainder currencies is immaterial.


		As of March 31, 2024
Changes in exchange rate:		+/-10%
Effect on profit before income taxes		4,085 /(4,085)
Effect on equity before income taxes		4,085 /(4,085)

Interest rate risk

For the three-month periods ended March 31, 2024, and 2023, the average interest rate was 100% and 76%, respectively.

The purpose of interest rate risk management is to minimize finance costs and limit the Company’s exposure to interest rate increases.

VISTA ENERGY, S.A.B. DE C.V.

Notes to the unaudited interim condensed consolidated financial statements as of March 31, 2024 and December 31, 2023 and for the three-month periods ended March 31, 2024 and 2023

(Amounts expressed in thousands of US Dollars, except otherwise indicated)

Variable-rate indebtedness exposes the Company’s cash flows to interest rate risk due to the potential volatility. Fixed-rate indebtedness exposes the Company to interest rate risk on the fair value of its liabilities as they could be considerably higher than variable rates. As of March 31, 2024, and December 31, 2023, about 4% of indebtedness was subject to variable interest rates.

For the three-month period ended March 31, 2024, and for the year ended December 31, 2023, the variable interest rate of loans denominated in USD stood at 9.60% and 9.32%, respectively.

The Company expects to lessen its interest rate exposure by analyzing and assessing (i) the different sources of liquidity available in domestic and international financial and capital markets (if available); (ii) alternative (fixed or variable) interest rates, currencies and contractual terms available for companies in a sector, industry and risk similar to the Company’s; and (iii) the availability, access and cost of interest rate hedge contracts. Hence, the Company assesses the impact on profit or loss of each strategy on the obligations that represent the main positions to the main interest-bearing positions.

In the case of fixed rates and in view of current market conditions, the Company considers that the risk of an increase in interest rates is low; therefore, it does not expect substantial fixed rate debt risk.

For the three-month period ended March 31, 2024, and for the year ended December 31, 2023, the Company did not use derivative financial instruments to mitigate interest rate risks.

Note 18. Inventories


	As of March 31, 2024		As of December 31, 2023
Crude oil stock (Note 5.2)		3,873		2,664
Materials and spare parts		1,531		4,651
Assigned crude oil stock		—		234

Total inventories		5,404		7,549

Note 19. Cash, bank balances and other short-term investments


	As of March 31, 2024		As of December 31, 2023
Money market funds		87,842		35,292
Mutual funds		42,236		152,426
Cash in banks		14,684		21,798
Government bonds		6,891		3,737

Total cash, banks balances and other short-term investments		151,653		213,253

Cash and cash equivalents include cash on hand and at bank and investments maturing within 3 (three) months. For the consolidated statement of cash flows purposes below is the reconciliation between cash, bank and short-term investments and cash and cash equivalents:


	As of March 31, 2024			As of December 31, 2023
Cash, bank balances and other short-term investments		151,653			213,253
Less
Government bonds		(6,891	)		(3,737	)

Cash and cash equivalents		144,762			209,516

Note 20. Equity

20.1 Capital stock

During the three-month period ended March 31, 2024, 1,835,403 Series A shares were issued as part of the LTIP granted to Company employees.

As of March 31, 2024, and December 31,2023, the Company’s variable capital stock amounts to 97,190,833 and 95,355,430 fully subscribed and paid Series A shares with no face value, respectively, each entitled to one vote.

VISTA ENERGY, S.A.B. DE C.V.

Notes to the unaudited interim condensed consolidated financial statements as of March 31, 2024 and December 31, 2023 and for the three-month periods ended March 31, 2024 and 2023

(Amounts expressed in thousands of US Dollars, except otherwise indicated)

As of March 31, 2024 and December 31, 2023, the Company’s authorized capital includes 31,601,406 and 33,436,809 Series A ordinary shares, respectively, held in Treasury.

As of March 31, 2024 the Company holds the 2 (two) outstanding Series C shares.

See Note 21 to the annual consolidated financial statements as of December 31, 2023.

Note 21. Provisions


	As of March 31, 2024		As of December 31, 2023
Noncurrent
Well plugging and abandonment		13,649		12,191
Environmental remediation		147		148

Total noncurrent provisions		13,796		12,339

Current
Well plugging and abandonment		2,968		3,096
Environmental remediation		993		936
Contingencies		157		101

Total current provisions		4,118		4,133

Note 22. Salaries and payroll taxes


	As of March 31, 2024		As of December 31, 2023
Current
Salaries and social security contributions		5,933		4,898
Provision for bonuses and incentives		4,190		12,657

Total current salaries and payroll taxes		10,123		17,555

Note 23. Other taxes and royalties


	As of March 31, 2024		As of December 31, 2023
Current
Royalties and others		31,703		33,862
Tax withholdings		2,274		1,603
Other		1,456		1,084

Total current other taxes and royalties		35,433		36,549

Note 24. Trade and other payables


	As of March 31, 2024		As of December 31, 2023
Current
Accounts payable:
Suppliers		295,170		204,696

Total current accounts payables		295,170		204,696

Other accounts payables:
Payables to third parties		1,703		—
Payables to partners of joint operations		522		197
Extraordinary fee for Gas IV Plan		240		162

Total other current accounts payables		2,465		359

Total current trade and other payables		297,635		205,055

Other than mentioned above, due to the short-term nature of current trade and other payables, their carrying amount is deemed to be the same as its fair value. The carrying amount of noncurrent trade and other payable does not differ considerably from its fair value.

VISTA ENERGY, S.A.B. DE C.V.

Notes to the unaudited interim condensed consolidated financial statements as of March 31, 2024 and December 31, 2023 and for the three-month periods ended March 31, 2024 and 2023

(Amounts expressed in thousands of US Dollars, except otherwise indicated)

Note 25. Employee benefits

The following chart summarizes net expense components and the changes in the liability for long-term employee benefits in the unaudited interim condensed consolidated financial statements:


	Period from January 1, through March 31, 2024			Period from January 1, through March 31, 2023
Cost of services		(2	)		(6	)
Cost of interest		(79	)		(147	)

Total		(81	)		(153	)


	As of March 31, 2024
	Present value of the obligation			Plan assets			Net liabilities
Amounts at beginning of period		(11,295	)		5,592			(5,703	)
Items classified as loss or profit
Cost of services		(2	)		—			(2	)
Cost of interest		(135	)		56			(79	)
Items classified in other comprehensive income
Actuarial remeasurement gain		—			49			49
Payment of contributions		362			(305	)		57

Amounts at end of period		(11,070	)		5,392			(5,678	)

The fair value of plan assets as of every year end per category, is as follows:


	As of March 31, 2024		As of December 31, 2023
US government bonds		5,180		5,438
Cash and cash equivalents		212		154

Total		5,392		5,592

See Note 23 to the annual consolidated financial statements as of December 31, 2023.

Note 26. Related parties’ transactions and balances

As of March 31, 2024 and December 31, 2023, the Company carries no balances with related parties and relevant transactions other than those included in Note 27 to the annual consolidated financial statements as of December 31, 2023.

Note 2.3 to the annual consolidated financial statements as of December 31, 2023, provides information on the Group’s structure, including information on Company subsidiaries.

Note 27. Commitments and contingencies

There were no significant changes in commitments and contingencies for the three-month period ended March 31, 2024 (See Notes 28 and 29 to the annual consolidated financial statements as of December 31, 2023).

Note 28. Tax regulations

There were no significant changes in Argentina’s and Mexico’s tax regulations during the three-month period ended March 31, 2024 (See Note 30 to the annual consolidated financial statements as of December 31, 2023).

VISTA ENERGY, S.A.B. DE C.V.

Notes to the unaudited interim condensed consolidated financial statements as of March 31, 2024 and December 31, 2023 and for the three-month periods ended March 31, 2024 and 2023

(Amounts expressed in thousands of US Dollars, except otherwise indicated)

Note 29. Subsequent events

The Company assessed events subsequent to March 31, 2024, to determine the need of a potential recognition or disclosure in these interim condensed consolidated financial statements. The Company assessed such events through April 24, 2024, date in which these financial statements were made available for issue.

•

On April 4, 2024, Vista Argentina paid interest for an amount of 53 corresponding to loan agreements signed with Banco Santander International in July 2021 and January 2022.

•

On April 5, 2024, Vista Argentina paid interest for an amount of 58 corresponding to loan agreement signed with Banco Santander International in January 2021.

•

On April 17, 2024, Vista Argentina canceled the agreement signed with Eurobanco Bank Ltd. for a total amount of 40,380.

There are no other events or transactions between the closing date and the date of issuance of these unaudited interim condensed consolidated financial statements that could significantly affect the Company’s financial position or profit or loss.

Vista Energy, S.A.B. de C.V. (VIST) 6-KCurrent report (foreign)