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Murphy Oil (MUR) Beats Q1 Earnings and Revenue Estimates

Zacks Equity Research

Murphy Oil Corporation MUR reported first-quarter 2019 adjusted earnings of 15 cents per share, which beat the Zacks Consensus Estimate of 10 cents by 50%. However, the bottom line declined from the year-ago quarter’s level of 96 cents. On a GAAP basis, net income was 23 cents.

Revenues

In the quarter, Murphy Oil generated revenues of $591 million, which beat the Zacks Consensus Estimate of $546 million by 8.2%. The top line increased 57.7% 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 Quote

Operational Highlights

On Mar 21, 2019, the company announced the divestiture of its Malaysia assets for $2.127 billion cash. The operation will be reported as discontinued from the first quarter.

The company produced 148,000 barrels of oil equivalent per day (boe/d) in the first quarter   from continuing operations.

Murphy Oil’s total costs and expenses amounted to $506.4 million, up 42.2% from $355.8 million in the year-ago quarter.

Operating income from continuing operations came in at $84.5 million, higher than $18. 9 million in the prior-year quarter.  

The company incurred interest charges of $46.1 million, up from $44.5 million in the prior-year quarter.

Financial Condition

Murphy Oil had cash and cash equivalents of $286.3 million as of Mar 31, 2019 compared with $359.9 million as of Dec 31, 2018.

Net cash provided by continuing operations activities in the first quarter was $217.2 million, higher than $110.8 million in the year-ago quarter.

Guidance

Murphy Oil expects net production including non-controlling interest for second-quarter 2019 in the range of 155,000-159,000 boe/d.

The company expects 2019 capital expenditure budget in the range of $1.15- $1.35 billion.

Zacks Rank

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

Oils-Energy Releases

TOTAL S.A. TOT delivered first-quarter 2019 operating earnings of $1.02 per share (€0.90 per share), which lagged the Zacks Consensus Estimate of $1.09 by 6.4%

Anadarko Petroleum Corporation APC generated first-quarter 2019 adjusted earnings of 53 cents per share, which beat the Zacks Consensus Estimate of 30 cents by 76.67%.

Devon Energy Corp DVN generated first-quarter 2019 adjusted earnings per share of 36 cents, which surpassed the Zacks Consensus Estimate of 30 cents by 20%.

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