Murphy Oil Corporation MUR posted second-quarter 2021 adjusted net income of 59 cents per share, beating the Zacks Consensus Estimate of 26 cents by 127%. Also, the bottom line bounced back from the year-ago quarter’s loss per share of 71 cents.
Including the one-time charges and losses, the company incurred a net loss of 41 cents per share in the reported quarter, comparing favorably with the $2.06 loss in the prior-year quarter.
In the quarter under review, Murphy Oil’s revenues of $549.6 million missed the Zacks Consensus Estimate of $582 million by 5.6%. However, the top line improved 160% from the prior-year quarter’s $211.5 million.
Murphy Oil Corporation Price, Consensus and EPS Surprise
Murphy Oil Corporation price-consensus-eps-surprise-chart | Murphy Oil Corporation Quote
The company produced 171,000 barrels of oil equivalent per day (MBOEPD) in the second quarter, which exceed the expected number of 100,000 MBOEPD. It comprised 58% of oil and 64% of liquids.
In the quarter under review, Murphy Oil’s total costs and expenses amounted to $539.9 million, down 7.8% from $585.7 million in the prior-year quarter.
Operating income from continuing operations came in at $9.8 million against the loss of $374.1 million in the prior-year quarter.
The company incurred net interest charges of $43.4 million, up 12.4% from $38.6 million in the prior-year quarter.
Murphy Oil hedged 45,000 barrels of oil per day (Bbl/d) at an average price of $42.77 per barrel for 2021. Also, for 2022, it hedged 20,000 Bbl/d at an average price of $44.88 per barrel.
In the reported quarter, the company completed constructing King’s Quay floating production system.
Murphy Oil had cash and cash equivalents of $418.1 million as of Jun 30, 2021 compared with $310.6 million as of Dec 31, 2020. At the end of the quarter, total liquidity of the company was $2 billion.
Long-term debt summed $2,762.9 million on Jun 30, 2021 compared with $2,988.1 million as of Dec 31, 2020.
Net cash provided by continuing operations activities in the first six months of 2021 was $686.3 million compared with $369.4 million in the comparable period of 2020.
The company adjusted its production expectation to 157.5-165.5 MBOEPD for 2021. It tightened its current-year planned capital expenditures in the range of $685-$715 million from the prior guidance of $675-$725 million excluding the Gulf of Mexico’s noncontrolling interest.
For the third quarter of 2021, it expects net production to be 162-170 MBOEPD (including the impact of storm).
Murphy Oil currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Occidental Petroleum Corporation OXY reported second-quarter 2021 earnings of 32 cents per share. Te Zacks Consensus Estimate was of a breakeven.
CNX Resources Corporation CNX reported second-quarter 2021 adjusted earnings of 18 cents per share, which lagged the Zacks Consensus Estimate of 25 cents by 28%.
Continental Resources CLR reported second-quarter 2021 adjusted earnings of 91 cents, beating the Zacks Consensus Estimate of 57 cents per share by 59.6%.
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