ConocoPhillips beats Q3 estimates, raises guidance; Shares rise

HOUSTON - ConocoPhillips (NYSE:COP ) reported third-quarter adjusted earnings that surpassed analyst expectations, raised its production guidance, and increased its dividend, sending shares up 2% in early trading Thursday.

The oil and gas producer posted adjusted earnings per share of $1.78 for Q3 2024, beating the analyst consensus of $1.67. Total production for the quarter reached 1,917 thousand barrels of oil equivalent per day (MBOED), exceeding the company's previous guidance.

ConocoPhillips raised its full-year 2024 production outlook to 1.94-1.95 MMBOED, up from its prior forecast of 1.93-1.94 MMBOED. For the fourth quarter, the company expects production to range between 1.99-2.03 MMBOED.

The company's total average realized price was $54.18 per barrel of oil equivalent (BOE) in Q3, down 10% YoY from $60.05 per BOE.

ConocoPhillips also announced a 34% increase in its quarterly dividend to $0.78 per share and expanded its share repurchase authorization by up to $20 billion.

"ConocoPhillips continues to demonstrate strong operational performance, surpassing the high end of our production guidance during the quarter, while executing on our returns-focused value proposition," said Ryan Lance, chairman and CEO.

The company generated $5.8 billion in cash from operating activities and $4.7 billion in cash from operations (CFO) during the quarter. It distributed $2.1 billion to shareholders through share repurchases and dividends.

Lance added that ConocoPhillips still anticipates closing its planned acquisition of Marathon Oil (NYSE:MRO ) this quarter and expects to "significantly exceed" its initial $500 million synergy guidance.

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Source: Investing.com