Noble Energy, Inc. NBL reported second-quarter adjusted loss of 24 cents per share, narrower than the Zacks Consensus Estimate of a loss of 39 cents. The company reported a loss of 10 cents per share in the year-ago quarter.
GAAP loss for the reported quarter was 85 cents compared with a loss of 2 cents per share in the year-ago period.
Noble's total revenues were $571 million, lagging the Zacks Consensus Estimate of $642 million by 11%. Revenues also declined 47.8% from the year-ago quarter’s $1,093 million. This year-over-year decline was due to lower contribution from oil, NGL and gas sales, along with weak commodity prices.
Noble Energy Inc. Price, Consensus and EPS Surprise
Noble Energy Inc. price-consensus-eps-surprise-chart | Noble Energy Inc. Quote
Highlights of the Release
In the quarter under review, sales volume averaged 350 thousand barrels of oil equivalent per day (MBoe/d), in line with the year-ago level. U.S. onshore volumes averaged 248 MBoe/d in the second quarter, down 5.7% from the prior-year period. The startup of Leviathan boosted volumes from the Eastern Mediterranean region.
Operating expenses for the reported quarter were $799 million, down 24.7% from the year-ago period. The decline was due to lower lease operating expenses, depreciation, depletion and amortization costs, as well as general and administrative expenses.
Interest expenses for the reported quarter were $87 million, up 38.1% from the year-ago period.
The company entered into a definite agreement to be acquired by Chevron Corporation. Chevron is set to acquire all outstanding shares of Noble in an all-stock transaction valued at $10.38 per share or nearly $5 billion.
U.S. onshore realized crude oil and condensate prices (including derivatives) for the reported quarter decreased 44.5% to $32.28 per barrel from the year-ago level of $58.13.
U.S. onshore natural gas prices were $1.16 per thousand cubic feet, down 34.5% year over year.
U.S. onshore realized prices for natural gas liquids also declined 44.5% from the year-ago quarter to $8.07 per barrel.
Noble's cash and cash equivalents as of Jun 30, 2020 were $324 million compared with $484 million on Dec 31, 2019.
Long-term debt was $7,936 million as of Jun 30, 2020 compared with $7,477 million on Dec 31, 2019.
Cash flow from operating activities for first-half 2020 was $400 million, down from $1,092 million in first-half 2019.
Currently, Noble carries a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Devon Energy Corporation DVN is slated to report second-quarter 2020 earnings on Aug 4. The Zacks Consensus Estimate for the bottom line for the quarter is pegged at a loss of 26 cents.
Murphy Oil Corporation MUR is slated to report second-quarter 2020 earnings on Aug 6. The Zacks Consensus Estimate for the to-be-reported quarter’s bottom line is pegged at a loss of $1.05.
Occidental Petroleum Corp. OXY is slated to report second-quarter 2020 earnings on Aug 10. The Zacks Consensus Estimate for the bottom line is pegged at a loss of $1.66.
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