Devon Energy(US:DVN) ZACKSยท2025-08-06 16:41Core Viewpoint - Devon Energy Corp. reported second-quarter 2025 earnings per share (EPS) of 84 cents, exceeding the Zacks Consensus Estimate of 83 cents by 1.2%, despite a year-over-year decline of 40.4% from $1.41 per share [1][8]. Financial Performance - Total revenues for the quarter were $4.28 billion, surpassing the Zacks Consensus Estimate of $4.01 billion by 6.75% [3]. - GAAP EPS for the quarter was $1.41, compared to 77 cents in the same quarter last year, with differences attributed to asset disposition gains and fair value changes [2]. - Net cash from operating activities was $1.54 billion, slightly up from $1.53 billion in the second quarter of 2024 [11]. Production Metrics - Net production totaled 841,000 barrels of oil equivalent per day (Boe/d), an increase of 18.9% year over year, exceeding the guidance range of 810,000-828,000 Boe/d [4][8]. - Natural gas liquids production rose 21.9% year over year to 222,000 barrels per day (Bbl/d), while oil production increased 15.5% to 387,000 Bbl/d [5]. Pricing and Costs - Realized oil prices were $62.97 per barrel, down 20.24% from $78.95 a year ago, while realized prices for natural gas liquids were $17.82 per barrel, down 9.6% [6]. - Total production expenses were $899 million, a decrease of 1.4% year over year, with production costs averaging $11.75 per Boe, down 5% from the prior year [7]. Strategic Actions - Devon repurchased shares worth $249 million and paid dividends of $156 million to shareholders during the quarter [7]. - The company divested its equity interest in the Matterhorn Pipeline for $372 million, resulting in a gain of $307 million [9]. Future Guidance - Third-quarter production is expected to be in the range of 829,000-847,000 Boe/d, with capital spending estimated between $0.87 billion and $0.93 billion [12]. - The 2025 production forecast has been raised to 825,000-842,000 Boe/d, up from the previous range of 810,000-828,000 Boe/d [12][13].