Core Viewpoint - Veren Inc. (VRN) is expected to report its fourth-quarter 2024 earnings on February 27, with estimates indicating a decline in both earnings per share and revenues compared to the previous year [1][5]. Group 1: Previous Quarter Performance - In the third quarter, VRN's adjusted earnings were 21 cents per share, missing the Zacks Consensus Estimate of 25 cents and down from 31 cents in the same quarter last year [3]. - The decline in adjusted earnings was attributed to lower commodity prices, increased transportation and operating expenses, and the impact of asset dispositions on production [3][8]. - VRN has missed the Zacks Consensus Estimate in two of the last four quarters, with an average negative surprise of 11.24% [4]. Group 2: Fourth Quarter Estimates - The Zacks Consensus Estimate for VRN's fourth-quarter earnings per share is 24 cents, reflecting an 11% decline from the year-ago quarter [5]. - The estimated revenue for the fourth quarter is 71.99 in October, 70.12 in December 2024, which are lower than the same quarter last year, potentially impacting fourth-quarter earnings from upstream operations [6]. - The underperformance of wells in the Gold Creek area was due to the use of a less effective completion design, leading to weaker production and potentially lower revenues in the fourth quarter [7]. Group 4: Earnings Expectations - The current Earnings ESP for VRN is 0.00%, indicating no expected earnings beat, as both the Most Accurate Estimate and the Zacks Consensus Estimate are at 24 cents [10]. - VRN holds a Zacks Rank of 4 (Sell), suggesting a less favorable outlook compared to other firms [10].
Important Factors to Watch Ahead of Veren's Q4 Earnings Release