Murphy Oil Corporation (NYSE: MUR) has announced its financial and operational results for Q2 2024. The company reported net income of $128 million, or $0.83 per diluted share. Excluding discontinued operations and other adjustments, adjusted net income was $124 million, or $0.81 per diluted share.
Q2 2024 Highlights:
- Production averaged 181 thousand barrels of oil equivalent per day (MBOEPD), including 91 thousand barrels of oil per day (MBOPD).
- Achieved a record peak gross production rate of 496 million cubic feet per day (MMCFD) at Tupper Montney.
- Discovered a new find at the Ocotillo #1 exploration well in Mississippi Canyon 40, Gulf of Mexico.
- Repurchased $56 million in stock (1.4 million shares) at an average price of $41.03 per share.
- Repurchased $50 million of senior notes due in 2027 and 2028.
- Maintained a quarterly dividend of $0.30 per share, or $1.20 annually.
Post-Q2 Developments:
- Revised capital allocation framework to “Murphy 3.0” to enhance shareholder returns while aiming to maintain a $1.0 billion long-term debt target.
- Repurchased $44 million in stock (1.1 million shares) at an average price of $38.62 per share.
- Increased share repurchase authorization by $500 million, with $800 million remaining.
- Released its sixth annual sustainability report.
Roger W. Jenkins, CEO, stated, “We’ve made significant progress on our Delever, Execute, Explore, Return priorities. Our strong cash flow has enabled stock and debt repurchases, and we’re excited about the exploration success in the Gulf of Mexico and upcoming projects in Vietnam. Moving to Murphy 3.0 will allow us to further increase shareholder returns while keeping our long-term debt goals in sight.”
Financial Summary:
- Net income: $128 million ($0.83 per share)
- Adjusted net income: $124 million ($0.81 per share)
- EBITDA: $389 million
- EBITDAX: $431 million
- Adjusted EBITDA: $396 million
- Adjusted EBITDAX: $438 million
Production for the quarter surpassed guidance by 5.4 MBOEPD, with onshore gains offsetting some downtime in the Gulf of Mexico and Terra Nova. Capital expenditures for Q2 2024 totaled $292 million.
