Murphy Oil (MUR) Q1 2026 earnings summary

Executive summary

• Q1 2026 production reached 174,200–180,053 BOEPD, up 10% year-over-year, surpassing guidance due to Eagle Ford Shale outperformance and strong Gulf of America uptime, with balanced contributions from US onshore, offshore, and Canada.

• Net income attributable to shareholders was $53.0 million ($0.37 per diluted share), with adjusted net income at $46.5 million ($0.32 per diluted share), impacted by higher exploration and DD&A expenses.

• Advanced key projects and operational milestones, including spudding and development in the Gulf of America, Vietnam, Côte d'Ivoire, and bringing 15 new Eagle Ford wells online.

• Liquidity stood at $2.38–$2.4 billion, with $380 million in cash and no drawings on the $2 billion credit facility.

Financial highlights

• Revenue from production was $732.4 million, up from $672.7 million year-over-year; adjusted EBITDA was $382.9 million; adjusted EBITDAX was $465.7 million.

• Free cash flow was $41.4 million; operating cash flow excluding working capital adjustments was $429.2 million.

• Capital expenditures totaled $465.0–$477.9 million, up from $424.8 million year-over-year, driven by increased exploration and development activity.

• Lease operating expense per BOE was $8.70, down from $13.74 year-over-year.

Outlook and guidance

• Full-year 2026 capital expenditure guidance is $1.2–$1.3 billion, with 68–70% allocated in H1; Q2 2026 production guidance is 161,000–169,000 BOEPD, and full-year guidance is 167,000–175,000 BOEPD.

• Exploration expense guidance: $70–$110 million for Q2; $220–$300 million for full year.

• Key projects on track: Chinook #8 first oil in H2 2026, Vietnam FSO delivery in Q3, first oil at Lac Da Vang in Q4 2026 ramping into 2027.

• Share repurchase program authorized up to $1.1 billion, with $550 million remaining as of March 31, 2026.