First Quarter 2024 Results Overview [Financial and Operational Highlights](index=1&type=section&id=Financial%20and%20Operational%20Highlights) The company reported a 7% production increase and 5% Adjusted EBITDAX growth, generating $117.1 million in free cash flow despite lower net income Key Financial and Operational Metrics | (In millions, except per share data) | March 31, 2024 | March 31, 2023 | Percentage increase (decrease) | | :--- | :--- | :--- | :--- | | Net income | $97.6 | $106.7 | (9)% | | Adjusted net income | $101.0 | $119.3 | (15)% | | Earnings per share - diluted | $0.46 | $0.50 | (8)% | | Adjusted EBITDAX | $227.8 | $216.9 | 5 % | | Capital expenditures - D&C | $119.0 | $139.7 | (15)% | | Average daily production (Mboe/d) | 84.8 | 79.3 | 7 % | | Cash balance as of period end | $399.3 | $667.3 | (40)% | | Diluted weighted average total shares outstanding | 204.3 | 213.9 | (5)% | - Total production grew **7%** year-over-year to **84.8 Mboe/d**, with production from the Giddings and Other area growing **17%**[5](index=5&type=chunk) - The company generated **$117.1 million in free cash flow** and maintained capital discipline with D&C capital at **$119.0 million**, a **15% decrease** from Q1 2023[5](index=5&type=chunk) - Returned **$79.2 million (68% of free cash flow)** to shareholders through **$52.4 million in share repurchases** and a declared dividend of **$0.13 per share**[5](index=5&type=chunk)[6](index=6&type=chunk) [Management Commentary and Strategy](index=2&type=section&id=Management%20Commentary%20and%20Strategy) Management emphasized disciplined capital spending, bolt-on acquisitions, and a new cost reduction program to enhance returns - A key strategic objective is to use excess cash for **attractive bolt-on oil and gas property acquisitions** to enhance returns[7](index=7&type=chunk) - The company initiated a cost reduction program aiming for a **5% to 10% reduction in cash operating costs per boe** in the second half of 2024[5](index=5&type=chunk)[8](index=8&type=chunk) [Operational Update and Acquisitions](index=2&type=section&id=Operational%20Update%20and%20Acquisitions) Production growth was driven by the Giddings area, supported by a two-rig program and a recent $125 million acquisition - Q1 2024 total production averaged **84.8 Mboe/d**, with production from Giddings and Other increasing by **17% YoY** to **61.4 Mboe/d**[9](index=9&type=chunk) - Magnolia continues to operate **two drilling rigs** and one completion crew, focusing on multi-well pads with longer laterals in the Giddings area[10](index=10&type=chunk) - The company acquired approximately **27,000 net acres** in Giddings for about **$125 million**, adding **1,000 Mboe/d** of production[5](index=5&type=chunk)[11](index=11&type=chunk) [2024 Outlook and Guidance](index=3&type=section&id=2024%20Outlook%20and%20Guidance) The company reaffirmed its full-year capital and production growth guidance while providing specific targets for Q2 2024 2024 Guidance | Guidance Metric | Full Year 2024 | Second Quarter 2024 | | :--- | :--- | :--- | | D&C Capital | $450 - $480 million | $120 - $125 million | | Total Production Growth | High single-digit % (YoY) | ~89 Mboe/d | | Oil Production Growth | High single-digit % (YoY) | N/A | - The company remains **completely unhedged** for all its oil and natural gas production[14](index=14&type=chunk) - The fully diluted share count for Q2 2024 is expected to be approximately **203 million shares**, about **4% lower** than Q2 2023 levels[14](index=14&type=chunk) Financial Statements [Operating Highlights](index=5&type=section&id=Operating%20Highlights) Total production and revenues increased year-over-year, though profitability was impacted by lower natural gas prices Key Operating Metrics | | March 31, 2024 | March 31, 2023 | | :--- | :--- | :--- | | **Production:** | | | | Total (Mboe) | 7,715 | 7,141 | | Total (boe/d) | 84,784 | 79,342 | | **Revenues (in thousands):** | | | | Total Revenues | $319,417 | $308,382 | | **Average sales price:** | | | | Oil (per Bbl) | $75.89 | $74.24 | | Natural gas (per Mcf) | $1.53 | $2.20 | | Total (per boe) | $41.40 | $43.18 | | **Operating costs per boe:** | | | | Lease operating expenses | $5.98 | $5.93 | | Depreciation, depletion and amortization | $12.58 | $9.90 | [Consolidated Statements of Operations](index=6&type=section&id=Consolidated%20Statements%20of%20Operations) Revenues grew slightly, but net income and diluted EPS declined compared to the prior-year quarter Q1 2024 Statement of Operations | (In thousands, except per share data) | For the Quarter Ended March 31, 2024 | For the Quarter Ended March 31, 2023 | | :--- | :--- | :--- | | Total revenues | $319,417 | $308,382 | | Total operating expenses | $194,859 | $181,449 | | OPERATING INCOME | $124,558 | $126,933 | | NET INCOME | $97,597 | $106,677 | | NET INCOME ATTRIBUTABLE TO CLASS A COMMON STOCK | $85,086 | $96,335 | | Diluted NET INCOME PER COMMON SHARE | $0.46 | $0.50 | [Summary Cash Flow Data](index=7&type=section&id=Summary%20Cash%20Flow%20Data) Operating cash flow slightly decreased while cash was primarily used for property investments and shareholder returns Q1 2024 Cash Flow Summary | (In thousands) | For the Quarter Ended March 31, 2024 | For the Quarter Ended March 31, 2023 | | :--- | :--- | :--- | | Net cash provided by operating activities | $210,932 | $219,823 | | Net cash used in investing activities | ($127,308) | ($150,215) | | Net cash used in financing activities | ($85,428) | ($77,765) | | NET CHANGE IN CASH AND CASH EQUIVALENTS | ($1,804) | ($8,157) | | Cash and cash equivalents – End of period | $399,317 | $667,284 | [Summary Balance Sheet Data](index=8&type=section&id=Summary%20Balance%20Sheet%20Data) The balance sheet shows total assets of $2.81 billion, a cash position of $399.3 million, and total equity of $1.90 billion Balance Sheet Summary | (In thousands) | March 31, 2024 | December 31, 2023 | | :--- | :--- | :--- | | Cash and cash equivalents | $399,317 | $401,121 | | Total assets | $2,807,942 | $2,756,216 | | Current liabilities | $350,011 | $314,887 | | Long-term debt, net | $393,480 | $392,839 | | Total liabilities and equity | $2,807,942 | $2,756,216 | Non-GAAP Financial Measures [Reconciliation of Net Income to Adjusted EBITDAX](index=9&type=section&id=Reconciliation%20of%20Net%20Income%20to%20Adjusted%20EBITDAX) Adjusted EBITDAX increased 5% year-over-year to $227.8 million after reconciling from GAAP net income Adjusted EBITDAX Reconciliation | (In thousands) | For the Quarter Ended March 31, 2024 | For the Quarter Ended March 31, 2023 | | :--- | :--- | :--- | | NET INCOME | $97,597 | $106,677 | | Adjustments (DD&A, Taxes, Interest, etc) | $125,572 | $94,443 | | EBITDAX | $218,964 | $197,348 | | Other Adjustments | $8,863 | $19,507 | | Adjusted EBITDAX | $227,827 | $216,855 | [Reconciliation of Net Income to Adjusted Net Income](index=10&type=section&id=Reconciliation%20of%20Net%20Income%20to%20Adjusted%20Net%20Income) Adjusted Net Income was $101.0 million after excluding non-recurring and non-cash items from GAAP net income Adjusted Net Income Reconciliation | (In thousands) | For the Quarter Ended March 31, 2024 | For the Quarter Ended March 31, 2023 | | :--- | :--- | :--- | | NET INCOME | $97,597 | $106,677 | | Adjustments | $3,410 | $12,646 | | ADJUSTED NET INCOME | $101,007 | $119,323 | [Reconciliation of Revenue to Adjusted Operating Income Margin](index=11&type=section&id=Reconciliation%20of%20Revenue%20to%20Adjusted%20Operating%20Income%20Margin) The adjusted cash operating margin remained stable at 71%, while the adjusted operating income margin declined to 39% Adjusted Margin Analysis | (in $/boe) | For the Quarter Ended March 31, 2024 | For the Quarter Ended March 31, 2023 | | :--- | :--- | :--- | | Revenue | $41.40 | $43.18 | | Total adjusted cash operating costs | ($11.86) | ($12.65) | | Adjusted cash operating margin | $29.54 | $30.53 | | Margin (%) | 71% | 71% | | Adjusted operating income margin | $16.15 | $19.98 | | Margin (%) | 39% | 46% | [Reconciliation of Net Cash Provided by Operating Activities to Free Cash Flow](index=12&type=section&id=Reconciliation%20of%20Net%20Cash%20Provided%20by%20Operating%20Activities%20to%20Free%20Cash%20Flow) Free cash flow increased significantly to $117.1 million from $60.6 million in the prior-year quarter Free Cash Flow Reconciliation | (In thousands) | For the Quarter Ended March 31, 2024 | For the Quarter Ended March 31, 2023 | | :--- | :--- | :--- | | Net cash provided by operating activities | $210,932 | $219,823 | | Cash flows from operations before net change in operating assets and liabilities | $217,873 | $214,176 | | Less: Additions to oil and natural gas properties (net of working capital changes) | ($100,742) | ($153,622) | | Free cash flow | $117,131 | $60,554 |

Magnolia Oil & Gas Corporation (NYSE:MGY) Q4 2023 Earnings Call Transcript February 15, 2024 11:00 AM ET Company Participants Tom Fitter - IR Chris Stavros - President and CEO Brian Corales - SVP and CFO Conference Call Participants Neal Dingmann - Truist Leo Mariani - MKM Partners Charles Meade - Johnson Rice Oliver Huang - TPH & Co. Ati Modak - Goldman Sachs Nicholas Pope - Seaport Research Geoff Jay - Daniel Energy Partners Zach Parham - JPMorgan Tim Rezvan - KeyBanc Capital Markets Paul Diamond - Citi O ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549 FORM 10-K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the year ended December 31, 2023 OR Nine Greenway Plaza, Suite 1300 ☐ 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 Ch ...

Financial Performance & Capital Management - Magnolia's focus on cost reductions and share repurchases in 2023 has positively impacted corporate returns[2] - Magnolia has one of the best balance sheets in the industry, with a Net Debt / EBITDA of -0.1[3] - Magnolia has reduced its diluted share count by approximately 20% since 2019[10] - Magnolia's current liquidity stands at $851 million, including a fully undrawn credit facility[23] - Magnolia returned $78 million to shareholders in Q4, including $54 million in share repurchases (2.5 million shares) and $24 million in dividends[94] Production & Operations - Magnolia's full year production showed high-single digit year-over-year growth[6] - Total production for 2023 was 82.3 Mboe/d, a 9% year-over-year increase[32, 65] - Q4 2023 total production was 85.4 Mboe/d, a 16% year-over-year increase[32, 50] - The company's 2024 operating plan includes a capital budget of $450 - $480 million[5] Sustainability - Magnolia achieved its lowest annual flaring rate at 0.11% in 2022, a reduction of almost 90% since 2019[40]

Disclaimer NON-GAAP FINANCIAL MEASURES As performance measures, adjusted EBITDAX, adjusted cash operating costs and adjusted cash operating margin may be useful to investors in facilitating comparisons to others in the Company's industry because certain items can vary substantially in the oil and gas industry from company to company depending upon accounting methods, book value of assets, and capital structure, among other factors. Management believes excluding these items facilitates investors and analysts ...

Financial Performance - Magnolia reported net income attributable to Class A Common Stock of $102.0 million for Q3 2023, down from $117.5 million in Q3 2022, representing a decrease of 13.1%[114]. - Total revenues for Q3 2023 were $315.7 million, a decline of 34.6% compared to $483.0 million in Q3 2022, primarily due to lower oil and natural gas prices[120]. - Total revenues for the nine months ended September 30, 2023, were $904.4 million, a decrease of 33% from $1.35 billion in the same period of 2022[1]. - Net cash provided by operating activities was $608.9 million for the nine months ended September 30, 2023, down from $1.03 billion in 2022[5]. Production and Revenue Breakdown - Average daily production for Q3 2023 was 82,651 boe/d, an increase of 1.4% from 81,529 boe/d in Q3 2022[120]. - Oil revenues accounted for 77% of total revenues in Q3 2023, down from 66% in Q3 2022, with oil production contributing 40% of total production volume[120]. - Natural gas revenues decreased by 73% to $27.1 million in Q3 2023, primarily due to a 75% drop in average price[121]. - NGL revenues were $45.0 million in Q3 2023, down 31.4% from $65.6 million in Q3 2022, with a 40% decrease in average price impacting revenues[122]. - Oil production increased by 1% to 9,345 MBbls for the nine months ended September 30, 2023, compared to 9,216 MBbls in 2022[1]. - Natural gas revenues decreased by $166.4 million, primarily due to a 71% decrease in average price, despite a 7% increase in production[2]. - NGL revenues were $122.8 million for the nine months ended September 30, 2023, down $67.9 million from the previous year, with a 45% decrease in average price[3]. Operating Expenses - Total operating expenses for Q3 2023 were $167.5 million, slightly lower than $171.2 million in Q3 2022, with lease operating expenses increasing by 3.4%[124]. - Total operating expenses increased to $508.0 million for the nine months ended September 30, 2023, compared to $469.6 million in 2022[4]. Shareholder Returns and Capital Management - The company declared cash dividends totaling $66.3 million to Class A Common Stock holders during the nine months ended September 30, 2023[115]. - Cash dividends declared for Class A Common Stock totaled $66.3 million in the nine months ended September 30, 2023, up from $56.4 million in the same period of 2022[158]. - The company repurchased 7.1 million shares for approximately $152.9 million during the nine months ended September 30, 2023, compared to 6.6 million shares for $144.0 million in the same period of 2022[155]. - As of September 30, 2023, Magnolia had repurchased 28.3 million shares at a cost of $470.8 million, with 11.7 million shares remaining under its repurchase authorization[116]. Capital Expenditures and Investments - Magnolia's capital spending is aligned with its business model, aimed at providing operational and financial flexibility in a challenging commodity environment[112]. - Total capital expenditures for Q3 2023 were $106.7 million, a decrease of 8.3% from $116.1 million in Q3 2022[154]. - The company paid $53.8 million for acquisitions during the nine months ended September 30, 2023, including a $40.0 million acquisition in the Giddings area[7]. Financial Position and Liquidity - As of September 30, 2023, the company had $618.5 million in cash and cash equivalents and $1.1 billion in total liquidity[6]. - The company anticipates its current cash balance and cash flows from operations will be sufficient to meet its cash requirements[8]. - As of September 30, 2023, the company had no borrowings outstanding under the RBL Facility, mitigating interest rate risk exposure[159]. Operational Strategy - The company operated a two-rig program during Q3 2023, with drilling rig numbers dependent on commodity prices and spending strategy[154]. - Leasehold acquisition costs for Q3 2023 were $2.4 million, compared to $1.6 million in Q3 2022[154]. - Magnolia owned approximately 89.5% of the interest in Magnolia LLC as of September 30, 2023, with a noncontrolling interest of about 10.5%[157]. Impairments - The company recognized a $15.7 million impairment related to the Highlander property during the nine months ended September 30, 2023[4]. Price Sensitivity - A $1.00 per barrel increase in the weighted average oil price would increase revenues by approximately $12.5 million annually, while a $0.10 per Mcf increase in natural gas price would increase revenues by approximately $5.4 million annually[160].

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, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ___________ to ___________ Houston, Texas 77046 (Address of principal executive offices) (Zip Code) Registrant's telephone number, including area code: (713) 842 ...

Magnolia Oil & Gas Corporation (NYSE:MGY) Q2 2023 Earnings Conference Call August 2, 2023 11:00 AM ET Company Participants Jim Johnson - IR Chris Stavros - President and CEO Brian Corales - SVP and CFO Conference Call Participants Neal Dingmann - Truist Securities Umang Choudhary - Goldman Sachs Leo Mariani - ROTH MKM Partners Oliver Huang - TPH Zach Parham - JPMorgan Tim Rezvan - KeyBanc Capital Markets Paul Diamond - Citigroup Operator Good morning, everyone. And thank you for participating in Magno ...

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 March 31, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ___________ to ___________ Houston, Texas 77046 (Address of principal executive offices) (Zip Code) Registrant's telephone number, including area code: (713) 84 ...

Business Overview - Magnolia Oil & Gas focuses on return-driven value creation through debt reduction, share repurchases, dividends, and accretive bolt-on acquisitions[1] - Magnolia operates in South Texas, primarily targeting the Eagle Ford and Austin Chalk formations[11] - The company has a net acreage position of approximately 482,000 acres, including ~23,300 acres in Karnes County and ~460,000 acres in the Giddings area[20] Financial Strategy - Magnolia limits its drilling and completion (D&C) capital spending to 55% of annual Adjusted EBITDAX to generate significant free cash flow[15] - The company had $400 million of principal debt outstanding and $675 million in cash as of December 31, 2022[25] - Magnolia's operating income margins were 63% during 2022[23] Shareholder Returns - Magnolia increased its dividend by 15% in 2023 to $0.46 per share annually[25] - Since Q3 2019, Magnolia has repurchased 52.3 million shares of its stock, representing approximately 20% of the diluted shares outstanding as of the authorization date[25, 34] - Magnolia plans to continue to opportunistically repurchase at least 1% of the total shares outstanding each quarter[35] Asset Development - Since inception, Magnolia has closed ~$456 million in bolt-on acquisitions, increasing its Karnes net acreage position by ~40% and Giddings by 33%[5] - 4Q22 production at Giddings has increased 23% YOY[43] - Magnolia has successfully transitioned 70,000 acres in the Giddings Field to development[64]