Oil & Gas

Murphy Oil Corp reported a sharp improvement in second-quarter 2026 earnings, with adjusted net income reaching $225.8 million, nearly six times the $22.28 million recorded in second quater 2025, as higher oil prices offset lower production and weaker natural gas prices. Adjusted earnings per diluted share rose to $1.55, exceeding the $1.51 consensus estimate from analysts polled by Zacks. Net income stood at $232.18 million, while sales revenue increased to $926.33 million from $683.07 million a year earlier. Adjusted EBITDA also climbed significantly to $592.7 million from $334.9 million, and operating activities generated $655.9 million in net cash, compared with $358.1 million in second quater2025.

The company maintained its quarterly dividend at $0.35 per share, equivalent to $1.40 annually, and ended the quarter with $2.48 billion in liquidity, including $480 million in cash and cash equivalents. Murphy Oil did not repurchase shares during the quarter but retained $550 million under its existing share repurchase authorization. Production trends were mixed, with crude oil and condensate output declining to 90,746 barrels per day from 95,600 barrels a year earlier. Natural gas production also fell to 437.71 million cubic feet per day from 539.66 MMcfpd, while natural gas liquids production increased to 11,315 bpd from 10,771 bpd.

Looking ahead, Murphy Oil expects full-year 2026 production to average between 167,000 and 175,000 barrels of oil equivalent per day. The company raised the midpoint of its annual capital expenditure guidance to $1.55 billion from $1.25 billion to support high-impact appraisal and development opportunities. Chief Executive Eric M. Hambly said the company entered the second half of the year with a growing exploration pipeline and several opportunities for long-term shareholder value creation. Key projects include the Bubale-1X discovery in Côte d’Ivoire, Hai Su Vang in Vietnam, which has advanced toward development planning, and Lac Da Vang, which is approaching first oil.