Murphy Oil's Q4 Earnings and Revenues Lag Estimates, Expenses Decline

Financial Performance - Murphy Oil Corporation reported fourth-quarter 2024 adjusted net earnings of 35 cents per share, missing the Zacks Consensus Estimate of 56 cents by 37.5% and down 61.1% from 90 cents in the same quarter last year [1] - GAAP earnings were 34 cents per share compared to 75 cents in the year-ago quarter, with the difference attributed to discontinued operations and other items affecting comparability [2] - Revenues for the fourth quarter were $670.9 million, falling short of the Zacks Consensus Estimate of$727 million by 7.7%, while total revenues for the full year were $3.02 billion, down from$3.46 billion in 2023 [3] Operational Highlights - The company produced 174,837 barrels of oil equivalent per day (BOE/D) in the fourth quarter of 2024, a decrease from 184,679 BOE/D in the fourth quarter of 2023, with 48.6% of the production being oil [4] - Total costs and expenses were $585.8 million, down 8.7$641.4 million a year ago [4] Debt and Share Repurchase - Murphy Oil has reduced its outstanding debt by 60% since 2020, resulting in a 50% reduction in interest expenses [5] - In 2024, the company repurchased $300 million of stock, or 8 million shares, and had$650 million remaining under its share repurchase authorization as of December 31, 2024 [5] Financial Condition - As of December 31, 2024, the company had cash and cash equivalents of $423.6 million, up from$317.1 million a year earlier, and total liquidity of $1.8 billion [6] - Long-term debt was$1.27 billion, down from $1.32 billion as of December 31, 2023, with net cash provided by continuing operational activities at$1.73 billion compared to $1.75 billion in 2023 [6] Reserves and Future Guidance - After producing 65 million barrels of oil equivalent, Murphy's preliminary year-end 2024 proved reserves were 713 million barrels of oil equivalent (MMBOE), with a total reserve replacement of 83$1.13 billion and $1.28 billion [8]