NYSE$MTDR

Matador Resources Co · Q2 2024 earnings

Q2 2024 earnings · · Investor relations

Briefing

Matador achieved record production results and substantial cost savings, also entered into an agreement to complete the acquisition of Ameredev.

Matador Resources Company reported record financial and operating results for the second quarter of 2024, including record production and lower-than-expected costs. The company also entered into an agreement to acquire Ameredev for $1.905 billion, expected to close late in the third quarter of 2024.

  • Achieved record average total production of 160,305 BOE per day.
  • D/C/E capital expenditures were $314.5 million, lower than expected.
  • Operations team set 20 drilling records, saving an estimated $6 million.
  • Successfully performed its first ‘trimul-frac’ completion, estimated to save approximately $350,000 per well.

Headline financials

Total Revenue

$847M

Previous: $638M+32.8%
EPS

$1.83

Previous: $1.42+28.9%
Total Production (MBOE)

160.3K

Previous: 130.7K+22.7%
Oil Production (MBbl)

95.5K

Previous: 76.3K+25.1%
Natural Gas Production (Mcf)

388.9

Previous: 326+19.3%
LOE per BOE

$5.42

No prior period
D/C/E CapEx

$315M

No prior period
Midstream CapEx

$45.3M

No prior period
Total CapEx

$360M

No prior period
Capital Expenditures

-$869M

Previous: -$598M-45.3%
Free Cash Flow

-$640M

Previous: -$433M-47.7%
Net Income

$229M

Previous: $165M+38.9%
Operating Income

$364M

Previous: $252M+44.1%
Gross Profit

$847M

Previous: $638M+32.8%
Cash & Equivalents

$15.2M

Previous: $22.3M-31.7%
Total Assets

$8.52B

Previous: $7.13B+19.4%
Stock-Based Comp

$2.97M

Previous: $3.93M-24.3%

Revenue & EPS history

Matador · Revenue · Quarterly

$847M

Q2 2024+32.8%vs Q2 2023
Beat estimate in 10 of 15 quarters(67%)
ActualEstimate

Revenue by segment

Matador · $70.3M total across 2 segments · Q3 2023

  • Purchased Natural Gas Sales
    $40.3M-48.3%
  • Third-party Midstream
    $29.9M+21.1%

Forward guidance

Matador anticipates its average daily oil equivalent production of 160,305 BOE per day in the second quarter of 2024 to grow by 2% to a midpoint of approximately 164,000 BOE per day in the third quarter of 2024.

Tailwinds

  • Expects to turn to sales 32 gross (26.5 net) operated horizontal wells in the Delaware Basin during the third quarter of 2024.
  • Operating nine drilling rigs in the Delaware Basin and expects to continue this for the remainder of 2024.
  • Expects that the ninth drilling rig will add an incremental four gross (3.9 net) operated wells turned to sales in late December 2024.
  • Expects full-year 2024 D/C/E capital expenditures to be between the midpoint and the high end of its previous expected range of $1.10 to $1.30 billion.
  • Estimates its proportionate share of midstream capital expenditures to be approximately $45 to $65 million in the third quarter of 2024.

Headwinds

  • Cash tax payments are expected to be approximately 5 to 10% of pre-tax book net income for the year ended December 31, 2024.
  • Company’s cash tax payments will be dependent upon a variety of factors that will impact taxable income that cannot be calculated at this time.
  • These capital expenditure estimates for the third quarter of 2024 do not include capital expenditures associated with the Ameredev properties.
  • Natural Gas Prices decreased by 32% sequentially
  • Natural gas gathering, MMcf per day decreased by 8% sequentially

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 2024

Historical avgQ2 2024

-0.6%

Avg return

Earnings day

-0.6%

Avg return

5 days after

+2.1%

Avg return

30 days after

38%

21 / 56 earnings

Positive

+42.8%

Q1 2020

Best reaction

-14.9%

Q3 2020

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.6%+3.0%-3.7%
Q4 2025-1.4%+7.1%+29.5%
Q3 2025-9.4%-10.2%-6.5%
Q1 2025-0.2%+0.4%+6.3%
Q4 2024-2.0%-7.6%-10.9%
Q3 2024-0.1%+2.0%+18.4%
Q2 2024-1.6%-2.0%-11.1%
Q1 2024+0.9%+1.4%-7.1%
Q4 2023+2.1%+2.3%+15.7%
Q3 2023-3.7%-5.3%-8.5%
Q2 2023-7.0%-5.2%+5.7%
Q1 2023-6.9%-3.5%-9.7%
Q4 2022-11.2%-6.7%-23.7%
Q3 2022+2.1%-1.2%+0.0%
Q2 2022+8.5%+12.5%+22.2%
Q1 2022-2.2%-4.4%+13.8%
Q4 2021-2.1%-1.2%+20.5%
Q3 2021-2.6%-6.6%-0.8%
Q2 2021+0.1%-2.9%-14.9%
Q1 2021+9.6%+5.1%+23.1%
Q4 2020+5.1%+0.9%+21.4%
Q3 2020-14.9%-13.6%+40.7%
Q2 2020+2.0%-4.9%+8.4%
Q1 2020+42.8%+40.6%+59.0%
Q4 2019-11.8%-21.0%-77.7%
Q3 2019-1.3%+3.1%+3.1%
Q2 2019-0.3%-12.0%-8.3%
Q1 2019-6.3%-1.1%-16.5%
Q4 2018+0.7%-4.4%+4.5%
Q3 2018+0.3%-2.5%-20.9%
Q2 2018-2.1%-6.5%-2.3%
Q1 2018-5.1%-0.3%-19.2%
Q4 2017-0.7%+3.0%-0.9%
Q3 2017+4.9%+6.8%+0.6%
Q2 2017-8.9%-0.9%-0.3%
Q1 2017+3.1%+11.4%+8.2%
Q4 2016-5.4%-8.2%-18.3%
Q3 2016-2.3%-5.2%+20.7%
Q2 2016+9.7%+13.5%+22.8%
Q1 2016-10.1%
Q4 2015+3.8%
Q3 2015-1.1%
Q2 2015-1.0%
Q1 2015-4.1%
Q4 2014+3.6%
Q3 2014+2.3%
Q2 2014-1.0%
Q1 2014-7.0%
Q4 2013+1.6%
Q3 2013+1.2%
Q2 2013+14.7%
Q1 2013-1.8%
Q4 2012-0.3%
Q3 2012+1.7%
Q2 2012-3.3%
Q1 2012-13.5%
Q3 2011
Q2 2011
Q1 2011
Q4 2010
Q3 2010
Q2 2010
Q1 2010

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