Third Quarter 2024 Earnings Presentation October 30, 2024 Christopher Stavros – President & CEO Brian Corales – Senior Vice President & CFO Tom Fitter – Director, Investor Relations Third Quarter 2024 Earnings Presentation 2 Disclaimer FORWARD LOOKING STATEMENTS The information in this press release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements, other than sta ...

Core Viewpoint - Magnolia Oil & Gas Corp reported quarterly earnings of $0.52 per share, exceeding the Zacks Consensus Estimate of $0.48 per share, but down from $0.54 per share a year ago, indicating an earnings surprise of 8.33% [1][2] Financial Performance - The company achieved revenues of $333.14 million for the quarter ended September 2024, surpassing the Zacks Consensus Estimate by 0.51% and showing an increase from $315.68 million year-over-year [2] - Over the last four quarters, Magnolia Oil & Gas has exceeded consensus EPS estimates three times and topped revenue estimates twice [2] Stock Performance - Since the beginning of the year, Magnolia Oil & Gas shares have increased by approximately 18.8%, while the S&P 500 has gained 22.3% [3] - The stock currently holds a Zacks Rank 5 (Strong Sell), indicating expectations of underperformance in the near future due to unfavorable estimate revisions [6] Future Outlook - The current consensus EPS estimate for the upcoming quarter is $0.49, with projected revenues of $336.55 million, and for the current fiscal year, the EPS estimate is $1.99 on revenues of $1.32 billion [7] - The outlook for the oil and gas industry, particularly the Zacks Oil and Gas - Exploration and Production - United States sector, is currently in the bottom 8% of over 250 Zacks industries, which may impact stock performance [8]

Financial Performance - Magnolia reported a net income of $105.9 million for Q3 2024, a decrease of 10% compared to $117.5 million in Q3 2023[2]. - Adjusted net income for the quarter was $100.3 million, down 15% from $117.5 million year-over-year[2]. - For the quarter ended September 30, 2024, total revenues were $333,135 thousand, an increase from $315,678 thousand in the same quarter of 2023, representing a growth of 5.8%[23]. - Operating income for the quarter was $129,012 thousand, down from $148,133 thousand in the same quarter of 2023, a decrease of 12.9%[23]. - Net income attributable to Class A common stock for the quarter was $99,784 thousand, compared to $102,030 thousand in the same quarter of 2023, a decline of 2.4%[23]. - Net income for the quarter ended September 30, 2024, was $105,912, a decrease of 9.5% from $117,477 in the same quarter of 2023[26]. - Adjusted net income for the quarter was $100,256, down from $117,477 in the same quarter of 2023, a decline of 14.6%[35]. Production and Operations - Average daily production increased by 10% year-over-year to 90.7 thousand barrels of oil equivalent per day (Mboe/d), including 38.9 thousand barrels of oil per day (Mbbls/d)[5]. - Oil production for the quarter was 3,579 MBbls, up from 3,024 MBbls in the same quarter of 2023, reflecting an 18.3% increase[21]. - Average daily oil production increased to 38,902 Bbls/d from 32,867 Bbls/d, marking an 18.4% rise year-over-year[21]. - Total production volumes for Q4 2024 are projected to be approximately 93 Mboe/d, indicating high single-digit year-over-year growth[13]. Expenses and Costs - Lease operating expenses declined to $5.33 per barrel oil equivalent, an 11% decrease from Q1 2024 levels[4]. - Lease operating expenses for the quarter were $44,444 thousand, up from $35,893 thousand in the same quarter of 2023, an increase of 24.3%[23]. - Total operating expenses for the quarter were $204,123 thousand, compared to $167,545 thousand in the same quarter of 2023, an increase of 21.8%[23]. - Average sales price for oil per Bbl decreased to $74.23 from $80.56, a drop of 7.9% year-over-year[21]. - Total adjusted cash operating costs for the quarter were $10.83 per boe, slightly up from $10.68 per boe in the prior year, indicating an increase of 1.4%[39]. - Non-cash costs increased to $13.64 per boe from $11.35 per boe, marking an increase of 20.1%[39]. - General and administrative expenses remained stable at $2.04 per boe, slightly down from $2.06 per boe in the same quarter of 2023[39]. Cash Flow and Investments - Free cash flow generated during the quarter was $126.1 million, with operating income as a percentage of revenue at 39%[5]. - The company repurchased 2.5 million shares for $61.7 million, returning approximately $87.8 million to shareholders, or 70% of free cash flow[6][8]. - Net cash provided by operating activities for the quarter was $217,893, compared to $187,310 in the same quarter last year, an increase of 16.3%[26]. - The company reported a net cash used in investing activities of $129,567, a decrease from $162,390 in the prior year, reflecting a reduction of 20.2%[26]. - Additions to oil and natural gas properties were $104.87 million, compared to $106.67 million in the same quarter of 2023, showing a decrease of 1.7%[42]. - Changes in working capital associated with additions to oil and natural gas properties resulted in a cash outflow of $9.83 million, contrasting with a cash inflow of $17.74 million in the previous year[42]. Capital Expenditures - Capital expenditures for drilling and completions (D&C) were $103.1 million, approximately 42% of adjusted EBITDAX of $243.6 million[3]. - Fourth quarter D&C capital is expected to be approximately $125 million, bringing total capital spending for 2024 to around $470 million[13]. - Magnolia completed approximately $15 million in small royalty and leasehold acquisitions during the quarter to enhance future development areas[10]. Balance Sheet and Financial Position - Cash and cash equivalents at the end of the period were $276,139, down from $401,121 at the end of 2023, representing a decline of 31.2%[28]. - Total assets increased to $2,810,957 as of September 30, 2024, compared to $2,756,216 at the end of 2023, marking a growth of 2.0%[28]. - Total liabilities and equity remained stable at $2,810,957, consistent with total assets, indicating a balanced financial position[28]. - The company’s long-term debt increased slightly to $394,793 from $392,839, reflecting a marginal rise of 0.5%[28].

Core Viewpoint - Magnolia Oil & Gas Corp reported a mixed performance in its recent earnings, with adjusted net profit exceeding estimates but total revenues falling short due to lower natural gas revenues. The company is focusing on maintaining operational efficiency and growth in production while managing costs effectively [2][3][9]. Financial Performance - The adjusted net profit for Q2 2024 was 56 cents per share, surpassing the Zacks Consensus Estimate of 51 cents [2]. - Total revenues were $336.7 million, missing the Zacks Consensus Estimate of $341 million, primarily due to lower natural gas revenues of $18.6 million compared to the consensus mark of $24.3 million [3]. - Year-over-year, total revenues increased by 4.4% from $280.3 million [3]. - Net cash from operating activities was $269.4 million, with free cash flow of $96.7 million, and operating income constituted 40% of revenues [4]. Shareholder Returns - The company distributed approximately $130 million to shareholders in Q2 2024 through dividends and share repurchases [5]. - Magnolia repurchased 4 million shares for $102.7 million during the quarter, with a remaining share repurchase authorization of $5.9 million [4][5]. Production and Pricing - Average daily total output was 90,207 barrels of oil equivalent per day (boe/d), up from 81,881 boe/d year-over-year, exceeding estimates [6]. - Oil production increased by 11.4% to 37,943 barrels per day (bpd), while natural gas volumes rose by 8.7% to 164,641 thousand cubic feet per day (Mcf/d) [6]. - The average realized crude oil price was $79.74 per barrel, a 10.8% increase from the previous year, while natural gas prices decreased by 17.9% to $1.24 per thousand cubic feet [7]. Balance Sheet and Capital Expenditure - As of June 30, Magnolia had cash and cash equivalents of $275.7 million and long-term debt of $394.1 million, with a total debt-to-total capital ratio of 17% [8]. - The company spent $123.4 million on its capital program in the reported quarter, with operating expenses rising to $202.4 million from $159 million year-over-year [8]. Future Guidance - Magnolia plans to maintain its current operational tempo with two drilling rigs and one completion crew throughout 2024, focusing on multi-well pads in the Giddings area [9]. - Capital expenditures for drilling and completion are projected to range from $450 to $480 million for the full year, with Q3 estimates at $120 million [10]. Market Position - Magnolia Oil & Gas Corp holds a Zacks Rank 3 (Hold), indicating an expectation of in-line returns in the coming months, despite a downward trend in estimates [13].

Financial Performance - Magnolia Oil & Gas Corporation (MGY) reported a second-quarter 2024 net profit of 51 cents per share, an increase from 48 cents in the prior-year quarter, driven by higher production volumes and oil prices [1] - Total revenues for the quarter were $336.7 million, missing the Zacks Consensus Estimate of $341 million, primarily due to lower-than-expected natural gas revenues, which totaled $18.6 million against a consensus of $24.3 million; however, this figure represented a 4.4% increase from $280.3 million in the year-ago period [2] - The company recorded $269.4 million in net cash from operating activities and achieved a free cash flow of $96.7 million, with operating income constituting 40% of revenues [3] Shareholder Returns - Magnolia declared a cash dividend of 13 cents per share for Class A common stock and Class B units, payable on September 3, to shareholders of record as of August 9 [3] - The company distributed approximately $130 million to shareholders in the second quarter through dividends and share repurchases, having repurchased 4 million shares for $102.7 million [4][5] Production and Pricing - The average daily total output was 90,207 barrels of oil equivalent per day (boe/d), up from 81,881 boe/d in the year-ago quarter, exceeding estimates of 89,000 boe/d; oil production increased by 11.4% to 37,943 barrels per day (bpd) [6] - The average realized crude oil price was $79.74 per barrel, a 10.8% increase from $71.98 a year ago, while natural gas prices decreased by 17.9% to $1.24 per thousand cubic feet [7] Balance Sheet and Capital Expenditure - As of June 30, Magnolia had cash and cash equivalents of $275.7 million and long-term debt of $394.1 million, with a total debt-to-total capital ratio of 17% [8] - The company spent $123.4 million on its capital program in the reported quarter, with operating expenses rising to $202.4 million from $159 million in the previous year [8] Future Guidance - Magnolia plans to maintain its current operating tempo of two drilling rigs and one completion crew throughout 2024, expecting significant cost reductions and operational enhancements to drive high-margin growth [9] - The company anticipates full-year 2024 capital spending to range from $450 to $480 million, projecting high single-digit growth in total production compared to 2023 [11] - Third-quarter D&C capital expenditures are estimated at $120 million, with total production expected to reach 91 thousand boe/d [12]

Financial Data and Key Metrics Changes - Magnolia Oil & Gas reported total GAAP net income attributable to Class A common stock of $96 million and total adjusted net income of $104 million, equating to $0.52 per diluted share [14] - Adjusted EBITDAX for the quarter was $246 million, with total capital expenditures (CapEx) of $123 million, representing 50% of adjusted EBITDAX [14] - Free cash flow for the second quarter was $97 million, with approximately $130 million returned to shareholders, including $103 million for share repurchases [8][14] Business Line Data and Key Metrics Changes - Total company production reached approximately 90,000 barrels of oil equivalent per day, a record for the company, reflecting a 10% increase year-over-year and a 6% increase sequentially [6][15] - Oil production was nearly 38,000 barrels per day, an 11% increase from the previous year, with Giddings production accounting for approximately 77% of total volumes [7][15] - Giddings production grew 21% year-over-year, with oil production in Giddings increasing by 28% [7] Market Data and Key Metrics Changes - The company ended the quarter with $276 million in cash and $400 million in senior notes maturing in 2026, providing total liquidity of approximately $726 million [17] - Total adjusted cash operating costs were $11.10 per BOE, a 7% increase compared to the previous year, primarily due to higher lease operating expenses (LOE) from acquisitions [18] Company Strategy and Development Direction - Magnolia aims to be the most efficient operator of oil and gas assets, focusing on generating high returns while minimizing capital employed for drilling and completing wells [5] - The company plans to continue returning a substantial portion of free cash flow to shareholders through share repurchases and dividends, with a growing base dividend announced at $0.13 per share [17] - The recent bolt-on acquisition for $125 million added 27,000 net acres adjacent to Giddings, enhancing development opportunities [8][9] Management Comments on Operating Environment and Future Outlook - Management expressed confidence in the resilience of oil production for the remainder of the year, with expectations for continued strong performance from Giddings [7][28] - The company anticipates maintaining low field-level costs through the second half of the year, supporting operating margins and free cash flow [12] - Management reiterated guidance for 2024 D&C capital spending in the range of $450 million to $480 million, with production growth expected in the high single digits [19] Other Important Information - The company has successfully reduced LOE to $5.40 per BOE, a 10% sequential decline, through field-level optimization and cost reduction initiatives [12] - Magnolia's average return on capital employed was reported at 18% over five years, with an annualized ROCE of 23% for the first half of 2024 [13] Q&A Session Summary Question: Variability in Giddings Development Acreage - Management acknowledged variability in Giddings acreage but noted that within the core development area, variability is less pronounced [21] Question: Reinvestment Rate and Capital Return - The company expects to maintain a reinvestment rate of around 47%, with no significant changes anticipated in capital return methodology [25] Question: Oil Mix Trends - Management indicated that oil production should remain steady, with no significant changes expected in the oil mix for the upcoming quarters [28] Question: Cash Return Methodology Post-Sale of Stock - Management stated that ongoing share repurchase programs are important, and they will consider market conditions when making decisions [31][33] Question: Non-Operated Activity and Production - Management indicated that while there may be an uptick in non-operated activity, it is too early to provide specific guidance for 2025 [40]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ___________ to ___________ Commission File Number: 001-38083 Magnolia Oil & Gas Corporation (Exact Name of Registrant as Specified in its Charter) Delaware 81-53 ...

Exhibit 99.1 Second Quarter 2024 Highlights: Magnolia Oil & Gas Corporation Announces Second Quarter 2024 Results HOUSTON, TX, July 31, 2024 - Magnolia Oil & Gas Corporation ("Magnolia," "we," "our," or the "Company") (NYSE: MGY) today announced its financial and operational results for the second quarter of 2024. | --- | --- | --- | --- | --- | --- | |-------------------------------------------------------|----------|----------------------------------|-----------|------------------------------------------- ...

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