ConocoPhillips Exceeds Q3 Estimates, Raises Guidance; Stock Prices Climb

HOUSTON - ConocoPhillips (NYSE:COP) reported that its adjusted earnings for the third quarter exceeded analyst expectations, raised its production guidance, and increased its dividend, leading to a 2% rise in its stock during early trading on Thursday.
The oil and gas producer announced adjusted earnings of $1.78 per share for the third quarter, surpassing the analyst consensus of $1.67. Total production for the quarter reached 1.917 million barrels of oil equivalent per day (MBOED), exceeding the company’s previous guidance.
ConocoPhillips raised its full-year production outlook for 2024 to 1.94-1.95 MMBOED, representing an upward revision from its previous estimate of 1.93-1.94 MMBOED. For the fourth quarter, the company expects production to be in the range of 1.99-2.03 MMBOED.
The company’s average realized price in the third quarter was $54.18 per barrel of oil equivalent (BOE), reflecting a 10% decrease from $60.05/BOE in the previous year’s same period.
ConocoPhillips also announced a 34% increase in its quarterly dividend to $0.78 per share and expanded its share buyback authorization to up to $20 billion.
Chairman and CEO Ryan Lance stated, "ConocoPhillips continues to demonstrate strong operational performance by exceeding the upper end of our production guidance for the quarter while also executing on our return-focused value proposition."
The company generated $5.8 billion in cash from operations during the quarter, with cash flow from operations (CFO) totaling $4.7 billion. It returned $2.1 billion to shareholders through share buybacks and dividends.
Lance added that ConocoPhillips still expects to complete its planned acquisition of Marathon Oil this quarter and anticipates "significantly exceeding" the initial $500 million synergy guidance.