NYSE$MGY
Magnolia Oil & Gas Corp · Q4 2023 earnings
Q4 2023 earnings · · Investor relations
Briefing
Magnolia's Q4 2023 financial results were announced, showcasing a decrease in net income but growth in production.
Magnolia Oil & Gas Corporation reported a decrease in net income for Q4 2023 compared to the previous year, but experienced a 16% increase in total production. The company focused on disciplined capital spending and returning cash to shareholders through share repurchases and dividends.
- Net income attributable to Class A Common Stock was $98.4 million, or $0.53 per diluted share.
- Adjusted EBITDAX was $240.0 million, with D&C capital at $91.5 million, representing 38% of quarterly adjusted EBITDAX.
- Total production averaged 85.4 thousand barrels of oil equivalent per day (Mboe/d), a 16% increase year-over-year.
- Magnolia repurchased 2.5 million Class A Common shares for $54.2 million.
Headline financials
Revenue & EPS history
Magnolia · Revenue · Quarterly
$323M
Revenue by segment
Magnolia · $316M total across 3 segments · Q3 2023
- Oil revenues$244M—77.2%
- NGL revenues$45M—14.3%
- Natural gas revenues$27.1M—8.6%
Forward guidance
Magnolia expects high single-digit production growth in 2024, with oil volumes growing at similar rates. The company anticipates a reinvestment rate of less than 55 percent of adjusted EBITDAX and plans to return a significant portion of free cash flow to shareholders.
Tailwinds
- Total company production growth to be in the high single digits.
- Oil volumes growing at similar rates and remaining fairly steady through the year.
- Capital plan will continue to be disciplined.
- Reinvestment rate of less than 55 percent of adjusted EBITDAX at current product prices.
- Well costs in Giddings have declined by more than 20 percent from year-ago levels leading to lower F&D costs.
Headwinds
- First quarter D&C capital expenditures to be approximately $130 million and anticipate this to be the highest quarterly rate of spending for the year.
- Total production for the first quarter is estimated to be approximately 84 to 85 Mboe/d which incorporates several days of production and facilities downtime caused by severe winter weather conditions in mid-January.
- Oil price differentials are anticipated to be approximately a $3 per barrel discount to Magellan East Houston
- The company remains completely unhedged for all its oil and natural gas production.
- Annual Report on Form 10-K for the year ended December 31, 2023, which is expected to be filed with the SEC on February 15, 2024.
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 Q4 2023
+0.7%
Avg return
Earnings day
+2.2%
Avg return
5 days after
+2.7%
Avg return
30 days after
51%
18 / 35 earnings
Positive
+15.1%
Q4 2020
Best reaction
-13.2%
Q1 2022
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q1 2026 | +0.1% | -0.1% | -4.0% | |
| Q4 2025 | +3.1% | +2.9% | +11.5% | |
| Q3 2025 | -2.6% | -4.7% | +0.6% | |
| Q1 2025 | +2.7% | +1.3% | +4.7% | |
| Q4 2024 | +1.5% | +0.5% | +5.2% | |
| Q3 2024 | -0.1% | +1.7% | +9.6% | |
| Q2 2024 | -4.0% | -11.6% | -3.7% | |
| Q1 2024 | +0.8% | +0.8% | -5.1% | |
| Q4 2023 | +5.1% | +5.3% | +17.3% | |
| Q3 2023 | +2.7% | -1.1% | -2.4% | |
| Q2 2023 | -0.4% | +3.7% | +2.9% | |
| Q1 2023 | -5.2% | -0.3% | +2.0% | |
| Q4 2022 | -2.1% | -8.0% | -13.4% | |
| Q3 2022 | -2.7% | +2.4% | -0.2% | |
| Q2 2022 | -2.7% | -6.5% | -5.0% | |
| Q1 2022 | -13.2% | -7.6% | +14.5% | |
| Q4 2021 | +3.0% | +2.0% | +15.4% | |
| Q3 2021 | -1.1% | -0.9% | -13.1% | |
| Q2 2021 | +0.6% | +3.4% | +11.1% | |
| Q1 2021 | +5.6% | +7.9% | +24.7% | |
| Q4 2020 | +15.1% | +19.3% | +7.0% | |
| Q3 2020 | +0.7% | +24.4% | +79.0% | |
| Q2 2020 | -0.2% | +8.0% | -0.3% | |
| Q1 2020 | +8.6% | +9.6% | +31.5% | |
| Q2 2019 | -4.7% | +2.4% | -44.6% | |
| Q4 2019 | -3.5% | -11.3% | -56.6% | |
| Q3 2019 | +10.2% | +16.3% | +11.3% | |
| Q1 2019 | -1.8% | -3.7% | -17.2% | |
| Q4 2018 | +0.3% | +4.3% | -2.1% | |
| Q3 2018 | +3.5% | +10.7% | -2.6% | |
| Q2 2018 | +1.3% | +4.8% | +13.8% | |
| Q1 2018 | +2.3% | +3.5% | +4.2% | |
| Q4 2017 | -0.1% | -0.1% | +0.5% | |
| Q3 2017 | +0.0% | -0.1% | -0.1% | |
| Q2 2017 | +0.0% | -1.8% | -0.3% | |
| Q1 2017 | — | — | — |
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