MUR · Murphy Oil Corporation

Murphy Oil Corporation delivered a robust first quarter in 2026, characterized by operational outperformance and financial discipline. Total production averaged 174,236 BOEPD, exceeding the upper end of guidance (172,000 BOEPD), primarily driven by strong execution in the Eagle Ford Shale and higher uptime in offshore assets. This operational success translated into a realized oil price of $72.28 per barrel, a 22% increase quarter-over-quarter, although natural gas prices remained weak at $2.87 per MCF. Consequently, the company reported GAAP net income of $53.0 million, or $0.37 per diluted share. Adjusted net income came in at $46.5 million, or $0.32 per diluted share, with Adjusted EBITDA reaching $382.9 million.

Financially, the company strengthened its position by paying down $100 million of debt, leaving total debt at $1.55 billion with no drawings on its $2.0 billion credit facility. Liquidity stood strong at $2.38 billion. Capital expenditures for the quarter were $465 million, undershooting the midpoint of guidance due to the phasing of exploration and appraisal costs. Management maintained a disciplined capital allocation strategy, paying $50 million in dividends while retaining flexibility for future share repurchases under its remaining $550 million authorization. Looking ahead, Murphy reaffirmed its full-year 2026 production guidance of 167,000 to 175,000 BOEPD and CAPEX guidance of $1.2 to $1.3 billion, signaling confidence in its operational plan despite macroeconomic volatility. Key operational milestones included spudding the Chinook #8 well in the Gulf of America and progressing the Lac Da Vang project in Vietnam, which remains on track for first oil in Q4 2026.