Marathon Oil(MRO) ZACKS·2024-11-15 18:50Core Insights - Marathon Oil Corporation reported third-quarter 2024 adjusted net income per share of 64 cents, exceeding the Zacks Consensus Estimate of 61 cents, driven by better-than-expected domestic production numbers [1] - However, the adjusted profit decreased from 77 cents in the same quarter last year due to lower commodity price realizations and increased costs [1] Financial Performance - The company reported revenues of $1.8 billion, which was $82 million above the consensus mark but represented a 1.2% decline from the previous year's sales [2] - Total costs for the third quarter were $1.3 billion, up 9.4% year-over-year, exceeding expectations of $1.2 billion [9] - Adjusted operating cash flow was $1 billion, down 8.9% from a year ago [9] Production and Segment Performance - Total net production for the quarter was 416,000 barrels of oil equivalent per day (BOE/d), down from 422,000 BOE/d in the year-ago period [3] - The U.S. E&P segment reported income of $362 million, down from $505 million in the previous year due to lower oil and gas realizations and higher costs [4] - The International E&P segment reported earnings of $95 million, an increase from $62 million in the year-ago period, attributed to higher natural gas sales prices [7] Pricing and Realizations - Average realized liquids price was $73.92 per barrel, an 8.6% decrease from $80.90 a year earlier, but slightly above the projection of $73.78 [5] - Average realized natural gas prices fell 36.4% year-over-year to $1.45 per thousand cubic feet, underperforming the estimate of $1.67 [5] Capital Expenditures and Guidance - Marathon Oil spent $458 million on capital and exploratory expenditures during the quarter and generated $589 million in adjusted free cash flow [10] - The company continues to budget capital spending between $1.9 billion and $2.1 billion for the year, targeting production of 393,000 BOE/d [11]