Devon Energy(US:DVN)2025-05-06 20:16Financial Performance - Total revenues for Q1 2025 reached $4.45 billion, a slight increase from $4.40 billion in Q4 2024[3] - The company reported net earnings of $509 million for Q1 2025, down from $653 million in Q4 2024[3] - Basic net earnings per share were $0.77 in Q1 2025, compared to $0.98 in Q4 2024[3] - Net financing costs for Q1 2025 were $123 million, consistent with Q4 2024, and up from $76 million in Q1 2024[6] - Total income tax expense for Q1 2025 was $137 million, a decrease from $187 million in Q4 2024 and $239 million in Q3 2024[7] - Devon's net earnings for Q1 2025 were $509 million, with core earnings (non-GAAP) at $794 million, translating to $1.21 per diluted share[23] - EBITDAX (non-GAAP) for Q1 2025 was $2.086 billion, reflecting a net debt-to-EBITDAX ratio of 1.0[29] - Free cash flow (non-GAAP) for Q1 2025 was $1.008 billion, with total operating cash flow at $1.942 billion[31] Production and Sales - Oil, gas, and NGL sales amounted to $3.12 billion in Q1 2025, compared to $3.08 billion in Q4 2024[3] - Total production in Q1 2025 was 388 MBoe/d, a decrease from 398 MBoe/d in Q4 2024[11] - Production guidance for Q2 2025 includes oil at 381-387 MBbls/d and total oil equivalent at 810-828 MBoe/d[35] Expenses and Capital Expenditures - Production expenses totaled $912 million in Q1 2025, up from $881 million in Q4 2024, reflecting a 3.5% increase[5] - Lease operating expenses increased to $479 million in Q1 2025, compared to $445 million in Q4 2024, marking a 7.6% rise[5] - Capital expenditures in Q1 2025 were $934 million, slightly higher than $926 million in Q4 2024[10] - Total capital expenditures for Q1 2025 amounted to $964 million, an increase from $926 million in Q4 2024[12] - Upstream capital expenditures reached $908 million in Q1 2025, compared to $872 million in Q4 2024, reflecting a 4.1% increase[12] - The company plans to increase capital expenditures by 10% in 2025 to support new projects and technology advancements[3] - Upstream capital expenditures guidance for 2025 is set between $3.475 billion and $3.625 billion[36] Debt and Equity - The net debt-to-EBITDAX ratio was reported at 1.5x, indicating a stable leverage position[3] - Total debt as of Q1 2025 was $8.880 billion, with net debt (non-GAAP) at $7.646 billion after accounting for cash and cash equivalents[27] - Long-term debt remained stable at $8,395 million in Q1 2025 compared to $8,398 million in Q4 2024[9] - Total stockholders' equity attributable to the company increased to $14,545 million in Q1 2025 from $14,496 million in Q4 2024[9] Cash Flow and Assets - Net cash from operating activities for Q1 2025 was $1,942 million, up from $1,664 million in Q4 2024[10] - Cash, cash equivalents, and restricted cash at the end of Q1 2025 were $1,234 million, up from $846 million at the end of Q4 2024[10] - Total current assets increased to $3,905 million in Q1 2025 from $3,427 million in Q4 2024, driven by higher cash and accounts receivable[9] Market and Pricing - Realized price for oil in the Delaware Basin was $70.28 per barrel in Q1 2025, slightly up from $69.06 in Q4 2024[17] - The realized price for natural gas in the Delaware Basin was $2.47 per Mcf in Q1 2025, significantly higher than $1.01 in Q4 2024[17] - Field-level cash margin in the Delaware Basin was $31.13 per barrel in Q1 2025, up from $28.90 in Q4 2024[19] Hedging and Guidance - Devon has hedged 15,000 Bbls/d at an average price of $72.18 for Q2 2025[40] - Q2 2025 natural gas price swaps volume is 342,000 MMBtu/d at an average price of $3.36/MMBtu[42] - Oil price realizations guidance for Q2 2025 is projected at 95%-99% of WTI[37] - Current income tax rate guidance for Q2 2025 is estimated between 14% and 16%[39]