Might 8 (Reuters) – Shale oil producer Devon Power (DVN.N) on Monday topped Wall Avenue estimates for first-quarter revenue on excessive demand for crude oil, and raised its share repurchase program by 50% to $3 billion.
Power corporations have began boosting investor returns since final yr with the surplus money they generated aided by larger crude costs.
Whereas crude value fell through the first quarter, practically 20% decrease in comparison with final yr when costs soared to multi-year peaks following Russia’s invasion of Ukraine, they had been nonetheless excessive sufficient for producers to stay worthwhile.
Shale producers Marathon Oil Corp (MRO.N), APA Corp (APA.O) and EOG Assets additionally posted revenue above estimates final week, helped by sturdy crude costs and demand.
Devon’s manufacturing averaged 641,000 barrels of oil equal per day (boepd) within the quarter ended March 31, larger than final yr’s 575,000 boepd, pushed by an increase in manufacturing in it Eagle Ford belongings acquired final yr.
The Oklahoma Metropolis-based firm posted adjusted earnings of $1.46 per share for the quarter, in contrast with the common analyst estimate of $1.38 per share, based on Refinitiv information
Excluding hedging prices, Devon stated its realized value fell about 24% to $46.44 per boepd for the primary quarter.
Reporting by Sourasis Bose in Bengaluru; Modifying by Shinjini Ganguli
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