Murphy Oil (MUR) came out with quarterly earnings of $0.81 per share, beating the Zacks Consensus Estimate of $0.73 per share. This compares to earnings of $0.79 per share a year ago. These figures are adjusted for nonrecurring items. This quarterly report represents an earnings surprise of 10.96%. A quarter ago, it was expected that this oil and gas producer would post earnings of $0.82 per share when it actually produced earnings of $0.85, delivering a surprise of 3.66%. Over the last four quarters, the c ...

Murphy Oil Corporation (MUR) is slated to report second-quarter 2024 financial results on Aug 8, before market open. The company delivered an earnings surprise of 3.66% in the last reported quarter. Let's discuss the factors that might have impacted MUR's quarterly performance. Factors to Consider Murphy Oil's second-quarter earnings are expected to have benefited from the production ramp-up in its domestic and international assets. Murphy Oil has started to operate few Catarina wells in the second quarter, ...

Murphy Oil (MUR) is expected to deliver a year-over-year decline in earnings on lower revenues when it reports results for the quarter ended June 2024. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price. The earnings report, which is expected to be released on August 8, 2024, might help the stock move higher if these key numbers are better than expecta ...

ROGER W. JENKINS CHIEF EXECUTIVE OFFICER 1 www.murphyoilcorp.com NYSE: MUR Cautionary Note to US Investors – The United States Securities and Exchange Commission (SEC) requires oil and natural gas companies, in their filings with the SEC, to disclose proved reserves that a company has demonstrated by actual production or conclusive formation tests to be economically and legally producible under existing economic and operating conditions. We may use certain terms in this presentation, such as "resource", "gr ...

Financial Data and Key Metrics Changes - In Q1 2024, the company reported net income of $90 million or $0.59 per diluted share, and adjusted net income of $131 million or $0.85 per diluted share [37] - Adjusted EBITDA reached $405 million, driven by strong production and realized prices, with accrued CapEx of $264 million [37][38] - The company maintained strong liquidity with $1.1 billion as of March 31, including over $300 million in cash and equivalents [38] Business Line Data and Key Metrics Changes - Total production in Q1 2024 was 170,000 barrels equivalent per day, exceeding guidance, with Gulf of Mexico production at 73,000 barrels of oil equivalent per day [33][43] - Eagle Ford Shale wells produced 29,000 barrels of oil equivalent per day, with 86% liquids volumes, and are expected to peak in Q3 2024 [63][108] - Tupper Montney produced 348 million cubic feet per day, with 13 wells either producing or coming online soon [41] Market Data and Key Metrics Changes - The company achieved a slight premium to WTI with realized prices of $78 per barrel for oil, $23 per barrel for NGL, and $2.12 per thousand cubic feet for natural gas [58] - The company is progressing its exploration plans in Vietnam and has contracted a rig for drilling in Q3 2024 [34][69] Company Strategy and Development Direction - The company aims for a $300 million debt reduction goal in 2024, leading to a total long-term bond debt of $1 billion by year-end 2024 [19][60] - The capital allocation framework will transition to Murphy 3.0, focusing on increasing shareholder returns to 50% of adjusted free cash flow later this year [36][92] - The company is committed to maintaining a low growth plan while enhancing shareholder value through stock buybacks and dividends [96] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving the debt reduction goal and emphasized the importance of stock buybacks to enhance shareholder value [94][96] - The outlook for Gulf of Mexico production is positive, with expectations of increased production as workovers and new wells come online [76][108] - Management highlighted the potential for exploration success in Vietnam and Côte d'Ivoire, with ongoing seismic reprocessing and drilling plans [70][69] Other Important Information - The company repurchased $50 million of stock in Q1 2024 at an average price of $39.25 per share [56] - The company has reduced total debt by $1.7 billion since 2020, with a focus on maintaining investment-grade metrics [57][73] Q&A Session Summary Question: What is the outlook for shareholder returns and debt repayment? - Management confirmed plans to repay $300 million in debt and increase shareholder returns through stock buybacks and dividends as part of Murphy 3.0 [94][96] Question: Can you provide details on the Gulf of Mexico production and the Neidermeyer well? - Management explained that the Neidermeyer well's workover became a sidetrack, with expectations for it to return to full capacity in early Q3 [114][116] Question: What are the drivers behind the increased CapEx guidance for Q2? - Management indicated that the increase is primarily due to the timing of the North America Onshore drilling completion program and some seismic spending being moved to Q2 [82][84]

Murphy Oil Corporation (MUR) delivered first-quarter 2024 adjusted net earnings of 85 cents per share, surpassing the Zacks Consensus Estimate of 82 cents by 3.7%. The bottom line declined 31.5% from the year-ago quarter’s earnings of $1.24.GAAP earnings were 59 cents compared with $1.22 reported in the year-ago quarter.RevenuesRevenues of $796.4 million surpassed the Zacks Consensus Estimate of $730 million by 9.1%. The top line declined 5.4% from the prior-year quarter’s $842 million.Murphy Oil Corporatio ...

Murphy Oil (MUR) came out with quarterly earnings of $0.85 per share, beating the Zacks Consensus Estimate of $0.82 per share. This compares to earnings of $1.24 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 3.66%. A quarter ago, it was expected that this oil and gas producer would post earnings of $1.03 per share when it actually produced earnings of $0.90, delivering a surprise of -12.62%.Over the last four quarters, the c ...

EXHIBIT 99.1 MURPHY OIL CORPORATION ANNOUNCES FIRST QUARTER 2024 FINANCIAL AND OPERATIONAL RESULTS, REAFFIRMS 2024 PRODUCTION AND CAPITAL EXPENDITURE GUIDANCE RANGES Produced 170 MBOEPD with 89 MBOPD, Repurchased $50 Million of Shares HOUSTON, Texas, May 2, 2024 – Murphy Oil Corporation (NYSE: MUR) today announced its financial and operating results for the first quarter ended March 31, 2024, including net income attributable to Murphy of $90 million, or $0.59 net income per diluted share. Excluding discont ...

PART I – FINANCIAL INFORMATION [ITEM 1. FINANCIAL STATEMENTS](index=2&type=section&id=Item%201.%20Financial%20Statements) Presents the company's unaudited consolidated financial statements for the quarter ended March 31, 2024 [Consolidated Balance Sheets](index=3&type=section&id=Consolidated%20Balance%20Sheets) (Thousands of dollars) | | March 31, 2024 | December 31, 2023 | | :--- | :--- | :--- | | Total assets | $9,668,660 | $9,766,697 | | Total liabilities | $4,176,155 | $4,217,044 | | Total equity | $5,492,505 | $5,549,653 | - Total assets decreased by approximately **$98 million** from December 31, 2023, to March 31, 2024, while total liabilities also decreased by approximately **$41 million**[7](index=7&type=chunk) [Consolidated Statements of Operations](index=4&type=section&id=Consolidated%20Statements%20of%20Operations) (Thousands of dollars, except per share amounts) | | Three Months Ended March 31, 2024 | Three Months Ended March 31, 2023 | | :--- | :--- | :--- | | Total revenues and other income | $796,412 | $841,716 | | Total costs and expenses | $642,355 | $544,920 | | Operating income from continuing operations | $154,057 | $296,796 | | Net income attributable to Murphy | $90,002 | $191,644 | | Income per common share – Basic | $0.59 | $1.23 | | Cash dividends per common share | $0.300 | $0.275 | - Net income attributable to Murphy decreased by **over 50%** year-over-year, from **$191.6 million** in Q1 2023 to **$90.0 million** in Q1 2024[8](index=8&type=chunk) [Consolidated Statements of Comprehensive Income](index=5&type=section&id=Consolidated%20Statements%20of%20Comprehensive%20Income) (Thousands of dollars) | | Three Months Ended March 31, 2024 | Three Months Ended March 31, 2023 | | :--- | :--- | :--- | | Net income including noncontrolling interest | $114,658 | $214,314 | | Other comprehensive (loss) income, net of tax | $(34,618) | $4,767 | | Comprehensive income attributable to Murphy | $55,384 | $196,411 | - Comprehensive income attributable to Murphy significantly decreased from **$196.4 million** in Q1 2023 to **$55.4 million** in Q1 2024, largely due to a net loss from foreign currency translation of **$35.5 million** in 2024[9](index=9&type=chunk) [Consolidated Statements of Cash Flows](index=6&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) (Thousands of dollars) | | Three Months Ended March 31, 2024 | Three Months Ended March 31, 2023 | | :--- | :--- | :--- | | Net cash provided by continuing operations activities | $398,791 | $279,776 | | Net cash required by investing activities | $(249,085) | $(345,319) | | Net cash required by financing activities | $(144,208) | $(114,655) | | Net increase (decrease) in cash and cash equivalents | $6,356 | $(179,580) | - Net cash provided by continuing operations activities increased by **$119.0 million** year-over-year, while net cash required by investing activities decreased by **$96.2 million**[11](index=11&type=chunk)[122](index=122&type=chunk)[128](index=128&type=chunk) [Consolidated Statements of Stockholders' Equity](index=7&type=section&id=Consolidated%20Statements%20of%20Stockholders'%20Equity) (Thousands of dollars) | | March 31, 2024 | March 31, 2023 | | :--- | :--- | :--- | | Murphy Shareholders' Equity | $5,303,991 | $5,137,558 | | Total Equity | $5,492,505 | $5,304,668 | - Murphy Shareholders' Equity increased by **$166.4 million** year-over-year but decreased by **$58.8 million** from December 31, 2023, due to share repurchases and dividends[13](index=13&type=chunk)[135](index=135&type=chunk) [Notes to Consolidated Financial Statements](index=8&type=section&id=Notes%20to%20Consolidated%20Financial%20Statements) [Note A – Basis of Presentation](index=8&type=section&id=Note%20A%20%E2%80%93%20Basis%20of%20Presentation) - The unaudited financial statements are prepared in conformity with U.S. GAAP and include all necessary accruals, with actual results potentially differing from management's estimates[15](index=15&type=chunk) [Note B – New Accounting Principles and Recent Accounting Pronouncements](index=8&type=section&id=Note%20B%20%E2%80%93%20New%20Accounting%20Principles%20and%20Recent%20Accounting%20Pronouncements) - The company is evaluating the impact of new FASB ASUs on Income Tax Disclosures (ASU 2023-09) and Reportable Segment Disclosures (ASU 2023-07)[18](index=18&type=chunk)[19](index=19&type=chunk) [Note C – Revenue from Contracts with Customers](index=8&type=section&id=Note%20C%20%E2%80%93%20Revenue%20from%20Contracts%20with%20Customers) - Murphy Oil Corporation explores for and produces crude oil, natural gas, and natural gas liquids primarily in the U.S. and Canada[20](index=20&type=chunk)[22](index=22&type=chunk)[23](index=23&type=chunk) (Thousands of dollars) | | Three Months Ended March 31, 2024 | Three Months Ended March 31, 2023 | | :--- | :--- | :--- | | Total crude oil and condensate revenue | $691,532 | $672,117 | | Total natural gas liquids revenue | $19,647 | $26,362 | | Total natural gas revenue | $83,424 | $97,752 | | Total revenue from sales to customers | $794,848 | $839,968 | - Receivables from contracts with customers, net of royalties, increased from **$193.7 million** at December 31, 2023, to **$215.2 million** at March 31, 2024[26](index=26&type=chunk)[27](index=27&type=chunk) [Note D – Property, Plant and Equipment](index=11&type=section&id=Note%20D%20%E2%80%93%20Property,%20Plant%20and%20Equipment) (Thousands of dollars) | | 2024 | 2023 | | :--- | :--- | :--- | | Beginning balance at January 1 | $49,118 | $171,860 | | Additions pending proved reserves | $11,538 | $24,685 | | Capitalized exploratory well costs charged to expense | $(26,471) | $– | | Balance at March 31 | $34,185 | $196,545 | - Capitalized exploratory well costs decreased significantly from **$196.5 million** in Q1 2023 to **$34.2 million** in Q1 2024[37](index=37&type=chunk) - The company recorded pre-tax impairments of **$34.5 million** in Q1 2024 related to the Calliope field in the Gulf of Mexico[40](index=40&type=chunk) [Note E – Financing Arrangements and Debt](index=12&type=section&id=Note%20E%20%E2%80%93%20Financing%20Arrangements%20and%20Debt) - As of March 31, 2024, the Company had an **$800 million** revolving credit facility with **$796.3 million** available borrowing capacity[42](index=42&type=chunk)[129](index=129&type=chunk) - The interest rate on RCF borrowings at March 31, 2024, would have been **7.68%**, and the Company was in compliance with all RCF covenants[42](index=42&type=chunk) [Note F – Other Financial Information](index=12&type=section&id=Note%20F%20%E2%80%93%20Other%20Financial%20Information) (Thousands of dollars) | | Three Months Ended March 31, 2024 | Three Months Ended March 31, 2023 | | :--- | :--- | :--- | | Net increase in noncash working capital | $(24,353) | $(75,031) | | Cash income taxes paid, net of refunds | $405 | $3,342 | | Interest paid, net | $11,062 | $19,358 | - Net increase in noncash working capital was **$(24.4) million** in Q1 2024, a favorable change from **$(75.0) million** in Q1 2023[45](index=45&type=chunk) [Note G – Asset Retirement Obligations](index=13&type=section&id=Note%20G%20%E2%80%93%20Asset%20Retirement%20Obligations) (Thousands of dollars) | | March 31, 2024 | March 31, 2023 | | :--- | :--- | :--- | | Balance at beginning of year | $914,763 | $911,653 | | Accretion | $12,774 | $11,157 | | Liabilities incurred | $8,960 | $3,605 | | Liabilities settled | $(737) | $(4,855) | | Balance at end of period | $934,612 | $921,132 | | Noncurrent portion of liability | $916,815 | $830,358 | - The noncurrent portion of asset retirement obligations increased to **$916.8 million** at March 31, 2024, from **$830.4 million** at March 31, 2023[47](index=47&type=chunk) [Note H – Employee and Retiree Benefit Plans](index=14&type=section&id=Note%20H%20%E2%80%93%20Employee%20and%20Retiree%20Benefit%20Plans) (Thousands of dollars) | | Pension Benefits 2024 | Pension Benefits 2023 | Other Postretirement Benefits 2024 | Other Postretirement Benefits 2023 | | :--- | :--- | :--- | :--- | :--- | | Total net periodic benefit expense | $4,734 | $4,519 | $(28) | $92 | - Total net periodic pension benefit expense increased slightly to **$4.7 million** in Q1 2024[50](index=50&type=chunk) - The Company made **$9.5 million** in contributions to its defined benefit pension and postretirement plans in Q1 2024[51](index=51&type=chunk) [Note I – Incentive Plans](index=14&type=section&id=Note%20I%20%E2%80%93%20Incentive%20Plans) - In Q1 2024, the Company granted various performance-based and time-based RSUs under the 2020 Long-Term Incentive Plan[56](index=56&type=chunk) - Compensation charged against income before tax benefit for share-based plans decreased from **$11.2 million** in Q1 2023 to **$8.9 million** in Q1 2024[58](index=58&type=chunk) [Note J – Earnings Per Share](index=16&type=section&id=Note%20J%20%E2%80%93%20Earnings%20Per%20Share) (Weighted-average shares) | | March 31, 2024 | March 31, 2023 | | :--- | :--- | :--- | | Basic method | 152,664,422 | 155,856,509 | | Diluted method | 153,816,626 | 157,388,566 | - Both basic and diluted weighted-average shares outstanding decreased year-over-year, reflecting share repurchases[60](index=60&type=chunk) [Note K – Income Taxes](index=16&type=section&id=Note%20K%20%E2%80%93%20Income%20Taxes) Effective Income Tax Rate | | 2024 | 2023 | | :--- | :--- | :--- | | Three months ended March 31, | 20.6% | 20.1% | - The effective income tax rate for Q1 2024 was **20.6%**, slightly higher than **20.1%** in Q1 2023[61](index=61&type=chunk) [Note L – Financial Instruments and Risk Management](index=16&type=section&id=Note%20L%20%E2%80%93%20Financial%20Instruments%20and%20Risk%20Management) - Murphy uses derivative instruments to manage commodity price, foreign currency, and interest rate risks, but not for speculative purposes[63](index=63&type=chunk)[64](index=64&type=chunk)[65](index=65&type=chunk) (Thousands of dollars) | | March 31, 2024 Carrying Amount | March 31, 2024 Fair Value | December 31, 2023 Carrying Amount | December 31, 2023 Fair Value | | :--- | :--- | :--- | :--- | :--- | | Current and long-term debt | $1,329,399 | $1,284,012 | $1,329,075 | $1,265,185 | - The fair value of current and long-term debt was **$1,284.0 million** at March 31, 2024, lower than its carrying amount of **$1,329.4 million**[76](index=76&type=chunk) [Note M – Accumulated Other Comprehensive Loss](index=18&type=section&id=Note%20M%20%E2%80%93%20Accumulated%20Other%20Comprehensive%20Loss) (Thousands of dollars) | | Foreign Currency Translation Gains (Losses) | Retirement and Postretirement Benefit Plan Adjustments | Total | | :--- | :--- | :--- | :--- | | Balance at December 31, 2023 | $(381,632) | $(139,485) | $(521,117) | | Net other comprehensive income (loss) | $(35,528) | $910 | $(34,618) | | Balance at March 31, 2024 | $(417,160) | $(138,575) | $(555,735) | - Accumulated other comprehensive loss increased from **$(521.1) million** to **$(555.7) million** in Q1 2024, primarily due to a foreign currency translation loss of **$35.5 million**[78](index=78&type=chunk) [Note N – Environmental and Other Contingencies](index=19&type=section&id=Note%20N%20%E2%80%93%20Environmental%20and%20Other%20Contingencies) - The Company's operations are subject to extensive environmental, health, and safety laws and regulations[79](index=79&type=chunk)[80](index=80&type=chunk)[82](index=82&type=chunk) - Murphy is not aware of any environmental legal proceedings likely to exceed the **$1.0 million** disclosure threshold[81](index=81&type=chunk) - Future remediation costs for environmental sites are not expected to have a material adverse effect on the company's financial condition[85](index=85&type=chunk) [Note O – Common Stock Issued and Outstanding](index=20&type=section&id=Note%20O%20%E2%80%93%20Common%20Stock%20Issued%20and%20Outstanding) (Number of shares outstanding) | | March 31, 2024 | March 31, 2023 | | :--- | :--- | :--- | | Beginning of period | 152,748,642 | 155,467,319 | | Treasury shares purchased | (1,273,245) | – | | End of period | 152,576,156 | 156,098,075 | - The Company repurchased **1.3 million** shares of common stock for **$50.0 million** in Q1 2024, with **$400 million** remaining available under its repurchase program[89](index=89&type=chunk) [Note P – Business Segments](index=21&type=section&id=Note%20P%20%E2%80%93%20Business%20Segments) (Millions of dollars) | | Total Assets at March 31, 2024 | External Revenues March 31, 2024 | Income (Loss) March 31, 2024 | | :--- | :--- | :--- | :--- | | United States E&P | $7,030.7 | $659.6 | $134.5 | | Canada E&P | $2,059.1 | $136.9 | $19.4 | | Other E&P | $210.2 | $(0.1) | $(10.8) | | Total E&P | $9,300.0 | $796.4 | $143.1 | - U.S. Exploration and Production (E&P) remains the largest segment, contributing **$134.5 million** to income in Q1 2024[92](index=92&type=chunk) [ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS](index=22&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Analyzes Q1 2024 financial performance, segment results, production, pricing, and capital outlook - Net income from continuing operations decreased by **$98.5 million** year-over-year to **$115.6 million** in Q1 2024, due to higher operating expenses, exploration costs, and asset impairments[95](index=95&type=chunk) - Total hydrocarbon production was **176,671 barrels** of oil equivalent per day in Q1 2024, a **2% decrease** year-over-year[96](index=96&type=chunk) - The Company repurchased **$50.0 million** of common stock and expanded exploration areas with **six new deepwater blocks** in the Gulf of Mexico[97](index=97&type=chunk) [Overview](index=22&type=section&id=Overview) - Murphy Oil Corporation is a global oil and gas exploration and production company with operations in the U.S. and Canada[94](index=94&type=chunk) - Key financial highlights for Q1 2024 include a net income of **$115.6 million** from continuing operations and **176,671 barrels** of oil equivalent per day production[95](index=95&type=chunk)[96](index=96&type=chunk)[97](index=97&type=chunk) [Results of Operations](index=23&type=section&id=Results%20of%20Operations) (Millions of dollars) | | Three Months Ended March 31, 2024 | Three Months Ended March 31, 2023 | | :--- | :--- | :--- | | Total exploration and production income | $143.1 | $242.7 | | Corporate and other loss | $(27.5) | $(28.7) | | Income from continuing operations | $115.6 | $214.0 | | Net income attributable to Murphy | $90.0 | $191.6 | - Total exploration and production income decreased by **$99.6 million** year-over-year, primarily driven by lower U.S. E&P income[99](index=99&type=chunk) [Exploration and Production Continuing Operations](index=24&type=section&id=Exploration%20and%20Production%20Continuing%20Operations) (Millions of dollars) | | Three Months Ended March 31, 2024 | Three Months Ended March 31, 2023 | | :--- | :--- | :--- | | Total revenues and other income | $796.4 | $841.7 | | Total Cost and Expenses | $642.3 | $544.9 | | Results of operations before taxes | $180.5 | $307.4 | | Income tax provisions | $37.4 | $64.7 | | Results of operations (excluding Corporate segment) | $143.1 | $242.7 | - E&P revenues decreased slightly, but total costs and expenses increased significantly by **$97.4 million**, leading to a substantial reduction in operating results[101](index=101&type=chunk) [Pricing](index=25&type=section&id=Pricing) (Weighted average sales prices) | | Three Months Ended March 31, 2024 | Three Months Ended March 31, 2023 | | :--- | :--- | :--- | | Crude oil and condensate – U.S. Offshore ($/BBL) | $77.58 | $73.27 | | Crude oil and condensate – Canada Onshore ($/BBL) | $67.59 | $74.29 | | Natural gas liquids – U.S. Onshore ($/BBL) | $20.67 | $22.11 | | Natural gas – U.S. Onshore ($/MCF) | $1.94 | $2.51 | (Average price for the period) | | Three Months Ended March 31, 2024 | Three Months Ended March 31, 2023 | | :--- | :--- | :--- | | WTI ($/BBL) | $76.96 | $76.13 | | NYMEX ($/MMBTU) | $2.42 | $2.67 | | AECO (C$/MCF) | $2.50 | $3.22 | - While WTI crude oil prices slightly increased year-over-year, natural gas benchmark prices (NYMEX and AECO) decreased significantly[104](index=104&type=chunk) [Production Volumes](index=26&type=section&id=Production%20Volumes) (Barrels per day unless otherwise noted) | | Three Months Ended March 31, 2024 | Three Months Ended March 31, 2023 | | :--- | :--- | :--- | | Total net crude oil and condensate | 95,224 | 100,987 | | Total net natural gas liquids | 9,306 | 11,325 | | Total net natural gas – thousands of cubic feet per day | 432,847 | 404,595 | | Total net hydrocarbons - including NCI | 176,671 | 179,745 | - Total net crude oil and condensate production decreased by **5.7%** year-over-year, while total net natural gas production increased by **7.0%**[106](index=106&type=chunk) [Revenues from Production](index=27&type=section&id=Revenues%20from%20Production) (Millions of dollars) | | Three Months Ended March 31, 2024 | Three Months Ended March 31, 2023 | | :--- | :--- | :--- | | United States - Oil | $623.0 | $630.4 | | United States - Natural gas liquids | $18.2 | $22.9 | | United States - Natural gas | $17.2 | $27.6 | | Canada - Oil | $68.6 | $38.1 | | Canada - Natural gas | $66.3 | $70.2 | | Total revenue from production | $794.6 | $796.2 | - Total revenue from production slightly decreased by **$1.6 million** year-over-year, as lower U.S. E&P revenue was offset by higher Canadian E&P revenue[107](index=107&type=chunk) [Lease Operating and Transportation, Gathering and Processing Expenses](index=28&type=section&id=Lease%20Operating%20and%20Transportation,%20Gathering%20and%20Processing%20Expenses) (Millions of dollars) | | Three Months Ended March 31, 2024 | Three Months Ended March 31, 2023 | | :--- | :--- | :--- | | Total lease operating expenses | $234.3 | $200.0 | | Total TGP expenses | $56.5 | $53.9 | - Total lease operating expenses increased by **$34.3 million (17.2%)** year-over-year, primarily due to workovers and production ramp-up[110](index=110&type=chunk) [Depreciation, Depletion and Amortization Expense](index=28&type=section&id=Depreciation,%20Depletion%20and%20Amortization%20Expense) (Millions of dollars) | | Three Months Ended March 31, 2024 | Three Months Ended March 31, 2023 | | :--- | :--- | :--- | | Total DD&A expense | $208.3 | $192.8 | - Total DD&A expense increased by **$15.5 million (8.0%)** year-over-year, driven by higher sales volumes and increased rates[111](index=111&type=chunk) [Impairment of Assets](index=29&type=section&id=Impairment%20of%20Assets) - The Company recorded **$34.5 million** in asset impairments in Q1 2024 related to the Calliope field in the Gulf of Mexico[112](index=112&type=chunk) [Exploration Expenses](index=29&type=section&id=Exploration%20Expenses) (Millions of dollars) | | Three Months Ended March 31, 2024 | Three Months Ended March 31, 2023 | | :--- | :--- | :--- | | Total exploration expenses | $44.4 | $10.3 | - Total exploration expenses increased significantly by **$34.1 million (331%)** year-over-year, primarily due to dry hole expenses in the Gulf of Mexico[113](index=113&type=chunk) [Other Expenses](index=29&type=section&id=Other%20Expenses) - Other expenses decreased by **$4.8 million** in Q1 2024 compared to Q1 2023, mainly due to an unfavorable contingent consideration adjustment in 2023[114](index=114&type=chunk) [Income Taxes](index=29&type=section&id=Income%20Taxes) - Income taxes decreased by **$27.3 million** in Q1 2024 compared to Q1 2023, primarily as a result of lower pre-tax income[115](index=115&type=chunk) [Corporate](index=30&type=section&id=Corporate) - Corporate activities reported a loss of **$27.5 million** in Q1 2024, a favorable variance of **$1.2 million** compared to Q1 2023[118](index=118&type=chunk) [Financial Condition](index=30&type=section&id=Financial%20Condition) - The Company's primary liquidity sources are cash on hand, net cash from continuing operations, and available borrowing capacity[120](index=120&type=chunk) [Cash Flows](index=30&type=section&id=Cash%20Flows) (Thousands of dollars) | | Three Months Ended March 31, 2024 | Three Months Ended March 31, 2023 | | :--- | :--- | :--- | | Net cash provided by continuing operations activities | $398.8 | $279.8 | | Net cash required by investing activities | $(249.1) | $(345.3) | | Net cash required by financing activities | $(144.2) | $(114.7) | | Net increase (decrease) in cash and cash equivalents | $6.4 | $(179.6) | [Cash Provided by Continuing Operations Activities](index=30&type=section&id=Cash%20Provided%20by%20Continuing%20Operations%20Activities) - Net cash provided by continuing operations activities increased by **$119.0 million** in Q1 2024, due to no contingent consideration payments and favorable working capital timing[122](index=122&type=chunk) [Cash Required by Investing Activities](index=30&type=section&id=Cash%20Required%20by%20Investing%20Activities) - Net cash required by investing activities decreased by **$96.2 million** in Q1 2024, mainly due to lower property additions and dry hole costs[123](index=123&type=chunk) (Millions of dollars) | | Three Months Ended March 31, 2024 | Three Months Ended March 31, 2023 | | :--- | :--- | :--- | | Total capital expenditures | $271.3 | $336.0 | - Total capital expenditures decreased by **$64.7 million**, primarily due to lower development expenditures at Eagle Ford Shale assets[126](index=126&type=chunk) [Cash Required by Financing Activities](index=31&type=section&id=Cash%20Required%20by%20Financing%20Activities) - Net cash required by financing activities increased by **$29.5 million** in Q1 2024, primarily due to **$50.0 million** in common share repurchases[128](index=128&type=chunk) [Liquidity](index=31&type=section&id=Liquidity) - At March 31, 2024, the Company had approximately **$1.1 billion** in liquidity, comprising cash and available credit[129](index=129&type=chunk) - Approximately **$98.1 million** of cash and cash equivalents were held outside the U.S., mainly in Canada, Mexico, and the U.K[131](index=131&type=chunk) [Working Capital](index=32&type=section&id=Working%20Capital) (Millions of dollars) | | March 31, 2024 | December 31, 2023 | | :--- | :--- | :--- | | Net working capital liability | $(57.3) | $(94.3) | - Net working capital liability improved by **$37.0 million** to **$(57.3) million** at March 31, 2024[132](index=132&type=chunk) [Capital Employed](index=32&type=section&id=Capital%20Employed) (Millions of dollars) | | March 31, 2024 Amount | March 31, 2024 % | December 31, 2023 Amount | December 31, 2023 % | | :--- | :--- | :--- | :--- | :--- | | Long-term debt | $1,328.7 | 20.0 % | $1,328.3 | 19.9 % | | Murphy shareholders' equity | $5,304.0 | 80.0 % | $5,362.8 | 80.1 % | | Total capital employed | $6,632.7 | 100.0 % | $6,691.1 | 100.0 % | - Murphy shareholders' equity decreased by **$58.8 million** in Q1 2024, mainly due to share repurchases, cash dividends, and foreign currency translation losses[135](index=135&type=chunk) [Critical Accounting Estimates](index=32&type=section&id=Critical%20Accounting%20Estimates) - There have been no significant changes to critical accounting estimates since the Annual Report on Form 10-K for the year ended December 31, 2023[136](index=136&type=chunk) [Accounting Changes and Recent Accounting Pronouncements](index=32&type=section&id=Accounting%20Changes%20and%20Recent%20Accounting%20Pronouncements) - Refer to Note B for details on the impact or potential impact of recent accounting pronouncements on financial position and results of operations[137](index=137&type=chunk) [Other Key Performance Metrics](index=33&type=section&id=Other%20Key%20Performance%20Metrics) - Management uses non-GAAP measures like adjusted net income, EBITDA, and adjusted EBITDA to evaluate operational performance[138](index=138&type=chunk) (Millions of dollars) | | Three Months Ended March 31, 2024 | Three Months Ended March 31, 2023 | | :--- | :--- | :--- | | Net income attributable to Murphy (GAAP) | $90.0 | $191.6 | | Adjusted net income from continuing operations attributable to Murphy (Non-GAAP) | $130.8 | $194.7 | | Adjusted EBITDA attributable to Murphy (Non-GAAP) | $405.2 | $477.5 | - Adjusted net income from continuing operations decreased by **$63.9 million** year-over-year, and Adjusted EBITDA decreased by **$72.3 million**[140](index=140&type=chunk)[142](index=142&type=chunk) [Outlook](index=35&type=section&id=Outlook) - The oil and gas industry faces volatile commodity pricing, with WTI crude oil forward prices for 2024 at **$79.92/BBL**[144](index=144&type=chunk)[145](index=145&type=chunk) - Q2 2024 production is expected to average between **176 and 184 thousand barrels** of oil equivalents per day (MBOEPD)[146](index=146&type=chunk) - Capital expenditures for 2024 are projected to be between **$920 million and $1,020 million**[147](index=147&type=chunk) - The Company has **$400 million** remaining available under its **$600 million** share repurchase program as of March 31, 2024[148](index=148&type=chunk) [Forward-Looking Statements](index=36&type=section&id=Forward-Looking%20Statements) - The report contains forward-looking statements subject to inherent risks, uncertainties, and assumptions[150](index=150&type=chunk) [ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK](index=37&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) Details the company's exposure to market risks from interest rates, commodity prices, and foreign currency - Murphy is exposed to market risks from interest rates, crude oil, natural gas, and petroleum product prices, and foreign currency exchange rates[152](index=152&type=chunk) - The Company uses derivative instruments for risk management but had no derivative commodity or foreign exchange contracts in place at March 31, 2024[152](index=152&type=chunk)[153](index=153&type=chunk) [ITEM 4. CONTROLS AND PROCEDURES](index=37&type=section&id=Item%204.%20Controls%20and%20Procedures) Confirms the effectiveness of disclosure controls and procedures with no material changes in internal controls - The Company's disclosure controls and procedures were effective as of March 31, 2024, ensuring timely and accurate reporting of material information[155](index=155&type=chunk) - No material changes in internal control over financial reporting occurred during the quarter ended March 31, 2024[156](index=156&type=chunk) PART II – OTHER INFORMATION [ITEM 1. LEGAL PROCEEDINGS](index=38&type=section&id=Item%201.%20Legal%20Proceedings) States that routine legal proceedings are not expected to materially impact the company's financial condition - Murphy and its subsidiaries are engaged in routine legal proceedings incidental to their business[158](index=158&type=chunk) - The ultimate resolution of these legal matters is not expected to materially adversely affect the Company's net income, financial condition, or liquidity[158](index=158&type=chunk) [ITEM 1A. RISK FACTORS](index=38&type=section&id=Item%201A.%20Risk%20Factors) Refers to the risk factors disclosed in the 2023 Form 10-K, with no new factors identified - The Company's operations in the oil and gas business inherently involve various risks and uncertainties, as detailed in its 2023 Form 10-K[159](index=159&type=chunk) - No additional risk factors have been identified beyond those previously disclosed or related to the SEC's stayed climate disclosure rule[159](index=159&type=chunk) [ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS](index=38&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) Summarizes common stock repurchases during Q1 2024, with $400 million remaining under the program Share Repurchases | Period | Total Number of Shares Purchased | Average Price Paid Per Share | | :--- | :--- | :--- | | February 1 through February 29, 2024 | 1,273,245 | $39.25 | - The Company repurchased **1,273,245 shares** of its common stock in February 2024, with **$400 million** remaining available under the **$600 million** share repurchase program[161](index=161&type=chunk) [ITEM 5. OTHER INFORMATION](index=39&type=section&id=Item%205.%20Other%20Information) Confirms no director or officer adopted or terminated a Rule 10b5-1 trading arrangement during Q1 2024 - No director or officer adopted or terminated a Rule 10b5-1 or non-Rule 10b5-1 trading arrangement during the three months ended March 31, 2024[163](index=163&type=chunk) [ITEM 6. EXHIBITS](index=39&type=section&id=Item%206.%20Exhibits) Provides an index of exhibits filed with the Form 10-Q, including certifications and XBRL documents - The Exhibit Index lists exhibits filed or incorporated by reference, including certifications and Inline XBRL documents[171](index=171&type=chunk)

Murphy Oil Corporation (MUR) is slated to report first-quarter 2024 financial results on May 2, before market open. The company delivered a negative earnings surprise of 12.62% in the last reported quarter.Let’s discuss the factors likely to have impacted MUR’s quarterly performance.Factors to ConsiderMurphy Oil’s first-quarter earnings are expected to have benefited from the ramp-up of production from its non-operated Terra Nova field offshore Canada.  The fixed price natural gas contracts at Tupper Montne ...