Murphy Oil Reports $46M 2Q Profit

by Kyle Massey  on Thursday, Aug. 9, 2018 8:22 am   2 min read

Murphy Oil Corp. of El Dorado reported a second-quarter profit of $46 million, or 26 cents per share, in financial results submitted Wednesday to the Securities & Exchange Commission.

The oil exploration and production giant had adjusted income of 36 cents per diluted share and had revenue of $655 million, up 37 percent from the same period last year, significantly topping most analysts’ expectations.

The company produced the equivalent of 171,000 barrels of oil per day, exceeding the high end of guidance numbers it had given to investors, and returned 13 percent of its operating cash flow to shareholders through a dividend of 25 cents per share.

The quarter followed a $168 million profit in the first quarter of 2018, attributed in part to benefits of the corporate tax cut passed in Washington in late 2017. Murphy had a $17.5 million loss in the second quarter of 2017. 

"We continue to implement our 2018 plan, with annual production guidance being increased for the second consecutive quarter," President and Chief Executive Officer Roger W. Jenkins said in a statement. "Our high-margin offshore fields continue to lead the way in production performance. We continue to implement our 2018 plan, with annual production guidance being increased for the second consecutive quarter. Our high-margin offshore fields continue to lead the way in production performance. By successfully executing our operating and financial goals, we are able to deliver cash to our shareholders through our competitive dividend yield and generate significant cash returns on our invested capital."

Murphy stock (NYSE: MUR) closed Wednesday at $32.51, down 87 cents.

The oil and gas producer posted revenue of $618.2 million in the period, also topping Street forecasts. Four analysts surveyed by Zacks expected $597.8 million.

The company's shares have risen about 5 percent since Jan. 1, and over the last year, the stock has climbed 25 percent.

The company will host a conference call to discuss the results at 10 a.m. Thursday.  The call can be heard via the Internet at ir.murphyoilcorp.com or by dialing toll free 1-888-886-7786, reservation number 37250021.

 

 

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