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Murphy Oil (MUR) Beats Q2 Earnings and Revenue Estimates

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Murphy Oil Corporation (MUR - Free Report) reported second-quarter 2019 adjusted earnings of 21 cents per share, which beat the Zacks Consensus Estimate of 18 cents by 16.5%. The company incurred a loss of 5 cents in the year-ago quarter. On a GAAP basis, earnings were 54 cents compared with 25 cents in the year-ago quarter.

Revenues

In the quarter, Murphy Oil generated revenues of $709 million, which beat the Zacks Consensus Estimate of $606 million by 17%. The top line surged 82% on a year-over-year basis.

Murphy Oil Corporation Price, Consensus and EPS Surprise

 

Murphy Oil Corporation Price, Consensus and EPS Surprise

Murphy Oil Corporation price-consensus-eps-surprise-chart | Murphy Oil Corporation Quote

 

Highlights of the Release

In the third quarter, the company completed the divestiture of its Malaysia assets, which generated cash proceeds worth $2 billion.

The company closed a deep water Gulf of Mexico transactionfor net cash consideration of $1.2 billion.

The company produced 159,000 barrels of oil equivalent per day (boe/d) in the second quarter   from continuing operations.

Murphy Oil’s total costs and expenses amounted to $538 million, up 46.6% from $367.1 million in the year-ago quarter.

Operating income from continuing operations came in at $171 million, higher than $22.5 million in the prior-year quarter.  

The company incurred interest charges of $54.1 million, up from $44.3 million in the prior-year quarter.

Financial Condition

Murphy Oil had cash and cash equivalents of $326 million as of Jun 30, 2019 compared with $792.7 million as of Jun 30, 2018.

Net cash provided by continuing operations activities in the second quarter was $438.2 million, higher than $220.8 million in the year-ago quarter.

Guidance

Murphy Oil expects net production including non-controlling interest for third-quarter 2019 in the range of 192,000-196,000 boe/d.

The company expects 2019 capital expenditure budget in the range of $1.35- $1.45 billion.

Zacks Rank

Murphy Oil currently holds a Zacks Rank #5 (Strong Sell).

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Oils-Energy Releases

WPX Energy Inc.’s second-quarter 2019 earnings of 9 cents per share surpassed the Zacks Consensus Estimate of 7 cents by 28.6%. It carries a Zacks Rank #3 (Hold).

EQT Corporation (EQT - Free Report) reported second-quarter 2019 adjusted earnings of 9 cents per share against the Zacks Consensus Estimate of a loss of 4 cents. It carries a Zacks Rank #3.

Cabot Oil & Gas Corporation’s second-quarter 2019 earnings per share of 36 cents surpassed the Zacks Consensus Estimate of 33 cents. It has a  Zacks Rank of #3.

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