NYSE$BSM

Black Stone Minerals LP · Q2 2022 earnings

Q2 2022 earnings · · Investor relations

Briefing

Black Stone Minerals' financial and operating results were announced for the second quarter of 2022.

Black Stone Minerals reported a net income of $131.8 million for the second quarter of 2022. Mineral and royalty production averaged 30.3 MBoe/d, while total production reached 33.5 MBoe/d. The company's Adjusted EBITDA reached a record high of $112.8 million, and distributable cash flow also hit a record high at $106.6 million.

  • Mineral and royalty production averaged 30.3 MBoe/d, a 2% increase over the prior quarter, while total production was 33.5 MBoe/d.
  • Net income was $131.8 million, and Adjusted EBITDA reached a record high of $112.8 million, a 14% increase over the prior quarter.
  • Distributable cash flow was $106.6 million, a 15% increase from the previous quarter and a record high for the Company.
  • A distribution of $0.42 per unit was announced, representing a 5% increase from the prior quarter, with a distribution coverage of 1.21x.

Headline financials

Total Revenue

$180M

Previous: $58.4M+208.6%
EPS (adj)

$0.59

Previous: $0.05+1080.0%
Total production (MBoe)

33.5

No prior period
Oil realized price ($/Bbl)

$104.89

Previous: $62.72+67.2%
Gas realized price ($/Mcf)

$18.62

No prior period
Realized price ($/Boe)

$67.41

Previous: $31.79+112.0%
Capital Expenditures

-$10.1M

Previous: -$12.7M+20.6%
Free Cash Flow

$122M

Previous: $2.7M+4413.2%
Net Income

$132M

Previous: $15.4M+754.2%
Operating Income

$133M

Previous: $17M+681.6%
Gross Profit

$180M

Previous: $58.4M+208.6%
Cash & Equivalents

$12.2M

No prior period

Revenue & EPS history

Black Stone Minerals · Revenue · Quarterly

$180M

Q2 2022+208.6%vs Q2 2021
Beat estimate in 9 of 16 quarters(56%)
ActualEstimate

Revenue by segment

Black Stone Minerals · $180M total across 4 segments · Q2 2022

  • Natural gas & NGL sales
    $111M+96.8%
  • Oil & condensate sales
    $94.3M+74.8%
  • Lease bonus & other income
    $2.24M-70.1%
  • Derivative gains
    -$27.3M

Forward guidance

The Company now expects full year 2022 production volumes to be at the low end of the original guidance range of 34-37 MBoe/d. Management anticipates that production volumes will ramp up throughout 2023 and will approach 40 MBoe/d by the end of next year, driven primarily by the increases in drilling activity in the Shelby Trough and Austin Chalk plays.

Tailwinds

  • Increased drilling activity expected in the Shelby Trough and Austin Chalk plays.
  • Production volumes are anticipated to ramp up throughout 2023.
  • Production volumes are expected to approach 40 MBoe/d by the end of next year.
  • Aethon is on pace to meet or exceed its combined well commitments under the Shelby Trough development agreements.
  • Black Stone anticipates up to 30 horizontal wells could be spud in the Austin Chalk area over the next twelve months.

Headwinds

  • Full year 2022 production volumes are expected to be at the low end of the original guidance range of 34-37 MBoe/d.
  • Increased cycle times for multiple well pads on high-interest acreage.
  • Delays resulting from global supply chain interruptions, particularly as they impact smaller operators.
  • Production results have varied on wells in the Austin Chalk area.
  • Continued decline in working interest volumes

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2022

Historical avgQ2 2022

+0.4%

Avg return

Earnings day

+0.4%

Avg return

5 days after

-1.3%

Avg return

30 days after

56%

25 / 45 earnings

Positive

+7.2%

Q2 2018

Best reaction

-11.8%

Q4 2019

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-3.3%-6.1%-2.0%
Q4 2025+0.7%+1.6%+3.1%
Q3 2025+2.2%+1.6%+10.8%
Q2 2025+1.1%-3.2%-3.6%
Q1 2025-1.7%-3.8%-4.9%
Q4 2024+1.1%+0.1%+2.3%
Q3 2024+1.2%+0.3%+0.9%
Q2 2024+2.2%+0.4%+0.7%
Q1 2024-0.5%-4.1%-4.0%
Q4 2023+0.1%+1.2%+3.4%
Q3 2023+2.1%+3.6%-1.0%
Q2 2023-2.8%-0.5%-2.2%
Q1 2023-6.5%-5.7%-5.3%
Q4 2022+0.5%-0.4%-5.8%
Q3 2022+3.4%+5.7%+0.4%
Q2 2022-0.3%-1.7%+2.2%
Q1 2022-0.4%-3.0%+3.7%
Q4 2021+0.5%+4.8%+11.7%
Q3 2021-0.9%-2.8%-14.1%
Q2 2021+0.2%-0.2%-3.4%
Q1 2021+3.4%+3.6%-0.5%
Q4 2020-1.4%-5.5%-7.2%
Q3 2020-0.8%+8.8%+19.3%
Q2 2020+3.4%+4.6%-3.7%
Q1 2020+7.0%+17.6%+19.7%
Q4 2019-11.8%-12.5%-54.9%
Q3 2019+0.4%+1.8%-8.9%
Q2 2019-2.3%-3.2%-5.2%
Q1 2019+3.5%-2.0%-9.9%
Q4 2018-2.1%-2.8%-3.7%
Q3 2018+4.9%+0.7%-2.3%
Q2 2018+7.2%+11.1%+7.7%
Q1 2018+2.6%+5.0%+2.0%
Q4 2017-3.5%-4.1%-8.9%
Q3 2017-2.7%-1.4%-2.8%
Q2 2017+0.5%+4.0%+6.6%
Q1 2017+6.5%+6.5%+0.2%
Q4 2016-0.5%-1.0%-7.6%
Q3 2016+4.9%+3.1%+8.9%
Q2 2016-1.9%-4.2%+6.2%
Q1 2016-2.5%
Q4 2015+4.2%
Q3 2015-0.7%
Q2 2015+1.3%
Q1 2015-0.7%
Q4 2014
Q3 2014
Q2 2014
Q1 2014
Q4 2013
Q3 2013
Q2 2013
Q1 2013

Discussion

Share your read of this quarter. Sign-in carries your eToro identity.

Join the conversation

Sign in with eToro to post your read of this quarter and vote on others'.

Sign in with eToro