🏢 官网IRMGYCodex · 实盘可交易 · 做多市场:美股▲ 赚 +0.99% · 已结算把握 5/10
北京时间·🕒 发布 05:01:33待核·⟳ 抓取 04:01:37·⚡ 决策 08-06 04:11:25 +9m48s·82.8 天前
Magnolia Oil & Gas二季度盈利和自由现金流大幅超预期,并上调全年产量增长指引
二季度调整后EPS为0.99美元、收入4.788亿美元,均高于公开一致预期约0.92美元和4.57亿美元,自由现金流2.346亿美元同比翻倍。
📄 原文MGY↗ 原文
Magnolia Oil & Gas Corporation Announces Second Quarter 2026 Results
August 05, 2026 HOUSTON --(BUSINESS WIRE)-- Magnolia Oil & Gas Corporation (“Magnolia,” “we,” “our,” or the “Company”)…
▲ 赚 +0.99%入场 08-05 盘后首笔 @24.92 → 离场 08-06 常规开盘 @25.25
日 K 取自复盘打分切片 · 蓝点/蓝虚线 = 纸面入场价 · 灰虚线 = 纸面离场 · 持有期红底 = 赚(价格在入场线上方)、绿底 = 亏
💡 交易逻辑业绩与产量指引超预期,限价修复并购折价
怎么买 限价买入 不高于 24.45、仅下一个交易日,不成交作废
怎么卖 止盈 +4%(半仓)/+8%(清仓) · 止损 -5% · 时间止损 3日
展开详情(成交明细 / 研究档案 / 原文全文 / 决策记录链)
分时走势
做多 MGY.US Magnolia Oil & Gas
建仓日早于近 30 天,只有日线图
成交明细 · 纸面
做多 MGY.US Magnolia Oil & Gas
| 收益状态 | +0.99% 已平仓 |
|---|---|
| 进场成交 | 2026-08-05 · 盘后首笔 · 08-06 04:05 北京 · @24.9232 · 成交 0% |
| 离场成交 | 2026-08-06 · 常规开盘 · @25.25 |
| 毛收益 | +1.31% |
| 成本 | +0.32% |
| 净收益 | +0.99% |
| 计入收益 | +0.00% |
| 建仓日 | 2026-08-05 · 进场不早于新闻时刻 + 2 分钟 |
收益口径 event_time_plus_2min_10min_walk_open_topup_to_next_open_exchange_calendar_fill_model_local_notional_v9 · method_id m8db1cbc8f2d · 截至 2026-10-28 00:28
研究档案
消息传播链
- 公司盘后发布二季度业绩,披露EPS、自由现金流、产量超预期并上调全年独立产量增长指引。市场反应:发布时美股已收盘,MGY.US当日收于23.735美元、跌3.44%,尚无连续交易窗口完成反应。
关键理由
- 二季度调整后EPS为0.99美元、收入4.788亿美元,均高于公开一致预期约0.92美元和4.57亿美元,自由现金流2.346亿美元同比翻倍。
- 经营量级句:公司二季度收入4.788亿美元、H1收入8.373亿美元,本次超预期收入约2200万美元,约占二季度收入4%至5%;更关键的是产量106.1 Mboe/d超此前指引并把全年独立产量增长从5%上调至6%。
- 同类E&P二季报先例显示,产量指引上修通常能带来1至3日正向反应,但并购稀释和油价beta会显著压低幅度,因此只做小仓限价修复。
主要风险
- 本季度利润主要受油价和NGL价格同比走高驱动,若油价回落,业绩beat的可持续性会被打折。
- WildFire收购融资包含53.3百万股新股和5亿美元债券,稀释与杠杆仍会压制估值重估幅度。
反向证据
- 做多前查反向 · 来源 kb_search · 日期 2026-07-20 · 影响 weakens
内部KB显示WildFire收购约40.6亿美元,市场已在7月围绕稀释、债务融资和并购消化风险讨论该交易。
检索:MGY WildFire acquisition dilution debt equity offering concerns accretive Magnolia Oil Gas July 2026 原文 ↗ - 做多前查反向 · 来源 kb_search · 日期 2026-02-11 · 影响 none
内部KB此前关注2026年资本开支偏高和产量增长兑现,未命中足以否定本次二季度beat和指引上修的新增反证。
检索:MGY bearish risks lower oil prices production guidance acquisition dilution Q2 2026 原文 ↗
先例如何影响了这次决策
对本次决策的影响:先例没有推翻做多方向,但把仓位维持为small,并把止盈从原先5%/10%收紧到4%/8%,同时坚持BUY_LIMIT而非开盘市价追。
方向:高相似美国E&P样本整体偏正向但不强,胜率略高于五成,主要来自产量超指引和资本效率改善。
涨幅量级:高相似首发样本给出的可迁移幅度是1至3日约+2%至+5%超额收益;样本不足以支撑两位数目标。
形态:含并购或融资稀释的样本更容易高开后回落,VTLE、CHRD和MGY 2024提示不能把指引上修当作无条件追高理由。
历史先例(按相似度)
- 相似度 9/10 MTDR.US 2024-07-23 Matador二季度创纪录产量并把全年总产量指引上调约3.2%,同时披露Ameredev并购背景。 原文 ↗
事件后 +1日 +1.2% · +2日 +1.3% · +3日 +0.8% · +4日 -1.3% · +5日 -0.9%
相似度依据:同为美国独立E&P盘后披露二季报、产量超指引并上调全年产量,且伴随并购整合叙事。
经验:产量和成本双beat会推动短线修复,但并购事项会让资金更看重限价买点而非无条件追高。 - 相似度 8/10 PR.US 2024-08-06 Permian Resources公布二季度强劲结果并提高全年指引,强调成本下降和自由现金流。 原文 ↗
事件后 +1日 +1.2% · +2日 +5.9% · +3日 +6.5% · +4日 +9.0% · +5日 +7.1%
⚠来源层级不符(声明issuer/实为media) — 该行涨幅别用来定止盈止损
相似度依据:同为美国E&P二季报,披露强自由现金流、成本下降并上调全年指引。
经验:运营效率和指引上修能提供正向方向,但若油气价格或天然气基差弱,涨幅通常不会线性放大。 - 相似度 8/10 MTDR.US 2025-07-22 Matador二季度2025创纪录产量,并把全年总产量指引从198-202 Mboe/d上调至200-205 Mboe/d。 原文 ↗
事件后 +1日 -1.2% · +2日 -0.5% · +3日 -0.3% · +4日 +3.2% · +5日 +2.8%
相似度依据:同一行业同一财报季,创纪录产量、自由现金流和全年产量指引上修,且没有同步上调资本开支。
经验:不增加资本开支的产量上修质量更高,能支撑短线正向,但目标位仍以个位数涨幅为主。 - 相似度 7/10 CHRD.US 2024-08-07 Chord二季度总产量高于指引、自由现金流强,并上调合并后展望。 原文 ↗
事件后 +1日 -1.6% · +2日 -1.5% · +3日 -0.2% · +4日 -1.0% · +5日 -0.5%
相似度依据:同为美国E&P盘后财报,产量高于指引且并购整合带来协同预期,但事件包含Enerplus合并后口径。
经验:财报beat若被并购整合和会计口径重述稀释,市场会先修模而非直接重估,适合限价小仓。 - 相似度 7/10 CIVI.US 2024-08-01 Civitas二季度销量超预期、全年销量展望上调约1.5%,并下调全年资本支出预期。 原文 ↗
测CIVI.US首发后1/3/5日相对能源板块的反应。
相似度依据:同为美国油气生产商二季报,销量展望上调、资本开支下调,但公司规模和资产组合更复杂。
经验:产量上修叠加capex下调是更干净的正向组合;若只有产量上修、同时有融资压力,估值修复幅度要打折。 - 相似度 7/10 VTLE.US 2024-08-07 Vital Energy二季度创纪录产量,并上调全年总产量和油产量预测。 原文 ↗
测VTLE.US首发后1/3/5日相对能源板块的反应。
相似度依据:同为中小盘E&P二季报后上调全年产量,但上调包含收购贡献,和MGY独立指引上调不完全一致。
经验:包含收购贡献的产量上调容易被市场折价,仓位需要低于纯有机上修案例。 - 相似度 6/10 MGY.US 2024-07-31 Magnolia 2024年二季度生产创高、自由现金流稳健,但全年产量和资本开支主要为重申。 原文 ↗
事件后 +1日 -6.2% · +2日 -11.2% · +3日 -13.7% · +4日 -13.6% · +5日 -11.9%
相似度依据:同一主体二季报和生产增长披露,但2024年只是重申全年指引,缺少本次的明确上调全年产量增长。
经验:同一公司常规强季度若没有指引上修,短线持续性有限;本次上修比该先例更强但仍需防见光死。 - 相似度 6/10 FANG.US 2024-08-05 Diamondback二季度自由现金流强劲,并上调全年油产量和总产量指引。 原文 ↗
事件后 +1日 +2.4% · +2日 +3.4% · +3日 +6.7% · +4日 +7.9% · +5日 +8.7%
⚠锚前1-2日已异动6.6%>锚定日2.4% — 该行涨幅别用来定止盈止损
相似度依据:同为美国E&P二季报和产量指引上修,但Diamondback市值更大、股东回报框架更成熟,弹性低于MGY。
经验:大盘E&P的强业绩更多是确认基本面,短线反应通常不应拿来给小盘标的定高目标位。
工具调用 · 历史记录,结果未知(4 种)
- search_processed_events · 结果未知
- stock_quote · 结果未知
- kb_search · 结果未知
- validate_order · 结果未知
原文全文
展开原文 · 29,184 字
Magnolia Oil & Gas Corporation Announces Second Quarter 2026 Results
August 05, 2026
HOUSTON
--(BUSINESS WIRE)--
Magnolia Oil & Gas Corporation (“Magnolia,” “we,” “our,” or the “Company”) (NYSE: MGY) today announced its financial and operational results for the second quarter of 2026.
Second Quarter 2026 Highlights:
(In millions, except per share data)
For the
Quarter Ended
June 30, 2026
June 30, 2025
Percentage increase
(decrease)
Net income
$
181.8
81.0
124
%
Adjusted net income
(1)
184.3
80.9
128
Earnings per share - diluted
0.97
0.41
137
Adjusted EBITDAX
370.3
223.2
66
Capital expenditures - D&C
125.0
95.2
31
Average daily production (Mboe/d)
106.1
98.2
8
Average daily oil production (Mbbls/d)
41.9
40.0
5
Cash balance as of period end
295.9
251.8
18
Diluted weighted average total shares outstanding
(2)
184.6
192.1
(4
)%
Magnolia reported second quarter 2026 net income of
$181.8 million
, or
$0.97
per diluted share. Second quarter 2026 adjusted net income
was
$184.3 million
$0.99
per diluted share. Diluted weighted average total shares outstanding decreased by 4% to 184.6 million
compared to second quarter 2025. Second quarter 2026 net income, adjusted net income, and earnings per diluted share all more than doubled compared to the prior-year second quarter and primarily due to higher oil and NGL prices and growth in our overall production volumes.
$370.3 million
during the second quarter of 2026. Total drilling and completions (“D&C”) capital was
$125.0 million
which represented approximately 34% of adjusted EBITDAX.
Net cash provided by operating activities was
$384.0 million
during the second quarter of 2026 with free cash flow
generated by the Company of
$234.6 million
more than doubling year-over-year. Magnolia generated operating income as a percentage of revenue (pre-tax margins) of 50% during the second quarter.
Total Company production volumes in the second quarter of 2026 grew by 8% on a year-over-year basis to 106.1 thousand barrels of oil equivalent per day (“Mboe/d”) and included 41.9 thousand barrels of oil per day (“Mbbls/d”) which grew by 5% compared to the prior year period, exceeding earlier guidance and due to continued strong well performance. Total production in
Giddings
increased 10% year-over-year to 85.5 Mboe/d with oil volumes growing by 7%.
On July 20, Magnolia announced that the Company entered into a definitive agreement to acquire WildFire Energy (“WildFire” or the “Acquisition”) that will more than double Magnolia’s
acreage and create the dominant Eagle Ford/Austin Chalk acreage position in
South Texas
by combining two high-quality, complementary assets. The highly accretive Acquisition will be funded with approximately half debt and half equity and is expected to close late in the third quarter of 2026.
The Company repurchased 1.7 million shares of its Class A Common Stock during the second quarter for
$49.3 million
and has 9.9 million Class A common shares remaining under its current share repurchase authorization.
As previously announced, Magnolia’s Board of Directors declared a quarterly cash dividend of
$0.18
per share, payable on September 1, 2026 to shareholders of record as of August 10, 2026. This quarterly dividend payment is a 9% increase compared to the previous rate, providing an annualized dividend of
$0.72
per share. The increase in the quarterly dividend rate was announced in conjunction with the Acquisition.
Magnolia returned
$80.1 million
, or 34% of the Company’s free cash flow
, to shareholders during the second quarter through a combination of share repurchases and dividends. Inclusive of the significant return of cash to shareholders, Magnolia ended the second quarter with
$295.9 million
of cash on the balance sheet and an undrawn
$450 million
revolving credit facility.
“Our second quarter results continue to underscore the strength of Magnolia's differentiated business model and the quality of our asset base,” said Magnolia’s Chairman, President and CEO Chris Stavros. “The consistent capital allocation discipline, operational execution and continued focus on our financial returns, helped generate meaningful free cash flow totaling
$235 million
during the second quarter. Our adjusted EBITDAX during the quarter was
$370 million
, and with capital for drilling and completions of approximately
$125 million
, our reinvestment rate for the quarter was just 34 percent. Stronger than expected overall oil and gas production totaling 106.1 thousand barrels of oil equivalent per day and oil production of 41.9 thousand barrels of oil per day further supported our quarterly financial results and enabled us to increase Magnolia’s standalone full-year 2026 production growth guidance to 6 percent from 5 percent.
“As we announced last month, the acquisition of the WildFire oil and gas properties and acreage is a natural and strategic fit and makes our business better by extending our runway of advantaged profitability and significant free cash flow generation. Our combined position in the
field amounts to more than 1.25 million net acres with upside development opportunities across multiple benches including the Austin Chalk, Eagle Ford and Woodbine. The highly accretive Acquisition is the result of our extensive subsurface understanding, experience, and the demonstration of our proven resource capture in the
field. This creates a premier upstream operation in
by combining two high-quality and complementary assets near Gulf Coast markets which offer premium pricing for our products. WildFire is not only a strong fit for Magnolia offering unique benefits, but it also provides several important characteristics we look for namely, focused, high-quality assets with concentrated scale, a low capital reinvestment rate while providing moderate production growth, high operating margins, and steady free cash flow allowing for consistent and significant shareholder returns.”
Operational Update
Total Company production volumes in the second quarter of 2026 grew by 8 percent on a year-over-year basis to 106.1 Mboe/d including 41.9 Mbbls/d. Total production in
increased by 10 percent in the second quarter, compared to the prior year period with
oil production growing by 7 percent year-over-year, and driven by continued strong well performance.
production represented 81 percent of total Company volumes during the second quarter. Magnolia’s second quarter 2026 capital spending on drilling, completions, and associated facilities was
.
Additional Guidance
On a standalone basis, Magnolia’s third quarter 2026 D&C capital spending is estimated to be approximately
$115 million
, with total estimated standalone company capital spending for the year reiterated in the range of
$440
to
$480 million
. Total production for the standalone company in the third quarter is estimated to be similar to second quarter levels. As previously disclosed, we are raising our full year 2026 production growth guidance on a standalone company basis to 6 percent from 5 percent.
For the third quarter 2026, we expect oil price differentials to be approximately a
$3
per barrel discount to Magellan East Houston.
WildFire Energy Acquisition Financing
After the announcement that Magnolia had entered into a definitive agreement to acquire WildFire, Magnolia executed multiple capital market transactions to partially fund the Acquisition. The Company issued 53.3 million new shares in a public offering for net proceeds of
$1.23 billion
, in addition to
$500 million
of senior notes at 6.625% due in 2034. These two transactions closed on July 22nd and August 5th, respectively. In total, the Acquisition will be funded with approximately half equity and half debt.
Quarterly Report on Form 10-Q
Magnolia's financial statements and related notes will be available in its Quarterly Report on Form 10-Q for the three months ended June 30, 2026, which is expected to be filed with the
U.S
. Securities and Exchange Commission (“SEC”) on August 6, 2026.
Conference Call and Webcast
Magnolia will host an investor conference call on Thursday, August 6, 2026 at 10:00 a.m. Central (11:00 a.m. Eastern) to discuss these operating and financial results. Interested parties may join the webcast by visiting Magnolia's website at
www.magnoliaoilgas.com/investors/events-and-presentations
and clicking on the webcast link or by dialing 1-844-701-1059. A replay of the webcast will be posted on Magnolia's website following completion of the call.
About Magnolia Oil & Gas Corporation
Magnolia (MGY) is a publicly traded oil and gas exploration and production company with operations primarily in
in the core of the Eagle Ford Shale and Austin Chalk formations. Magnolia focuses on generating value for shareholders by delivering steady, moderate annual production growth resulting from its disciplined and efficient philosophy toward capital spending. The Company strives to generate high pre‐tax margins and consistent free cash flow allowing for strong cash returns to our shareholders. For more information, visit
www.magnoliaoilgas.com
Adjusted net income, adjusted earnings per share, adjusted EBITDAX, and free cash flow are non-GAAP financial measures. For reconciliations to the most comparable GAAP measures, please see “Non-GAAP Financial Measures” at the end of this press release.
Weighted average total shares outstanding include diluted weighted average shares of Class A Common Stock outstanding during the period and shares of Class B Common Stock, which are anti-dilutive in the calculation of weighted average number of common shares outstanding.
Cautionary Note Regarding Forward-Looking Statements
The information in this press release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements, other than statements of present or historical fact included in this press release, regarding the consummation of the Acquisition and the transactions contemplated thereby, the expected synergies of the Acquisition, Magnolia’s share repurchase program, Magnolia’s strategy, future operations, financial position, estimated revenues and losses, projected costs, prospects, plans and objectives of management are forward looking statements. When used in this press release, the words could, should, will, may, believe, anticipate, intend, estimate, expect, project, the negative of such terms and other similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain such identifying words. These forward-looking statements are based on management’s current expectations and assumptions about future events. Except as otherwise required by applicable law, Magnolia disclaims any duty to update any forward-looking statements, all of which are expressly qualified by the statements in this section, to reflect events or circumstances after the date of this press release. Magnolia cautions you that these forward-looking statements are subject to all of the risks and uncertainties, most of which are difficult to predict and many of which are beyond the control of Magnolia, incident to the development, production, gathering and sale of oil, natural gas and natural gas liquids. In addition, Magnolia cautions you that the forward looking statements contained in this press release are subject to the following factors: (i) the expected timetable for completing the Acquisition, the results, effects and benefits of the Acquisition, future opportunities for Magnolia, other plans and expectations with respect to the Acquisition, and the anticipated impact of the Acquisition on Magnolia’s results of operations, financial position, growth opportunities and competitive position; (ii) the market prices of oil, natural gas, NGLs, and other products or services; (iii) the supply and demand for oil, natural gas, NGLs, and other products or services, including impacts of actions taken by OPEC and other state-controlled oil companies; (iv) the outcome of any legal proceedings that may be instituted against Magnolia; (v) Magnolia’s ability to realize the anticipated benefits of its acquisitions, which may be affected by, among other things, competition and the ability of Magnolia to grow and manage growth profitably; (vi) legislative, regulatory, or policy changes, including those following the change in presidential administrations; (vii) geopolitical and business conditions in key regions of the world; (viii) cybersecurity threats, including increased use of artificial intelligence technologies; and (ix) the possibility that Magnolia may be adversely affected by other economic, business, and/or competitive factors, including inflation. Should one or more of the risks or uncertainties described in this press release occur, or should underlying assumptions prove incorrect, actual results and plans could differ materially from those expressed in any forward-looking statements. Additional information concerning these and other factors that may impact the operations and projections discussed herein can be found in Magnolia’s filings with the SEC, including its Annual Report on Form 10-K for the fiscal year ended December 31, 2025. Magnolia’s SEC filings are available publicly on the SEC’s website at
www.sec.gov
Magnolia Oil & Gas Corporation
Operating Highlights
For the Quarters Ended
For the Six Months Ended
Production:
Oil (MBbls)
3,809
3,639
7,470
7,156
Natural gas (MMcf)
18,201
16,820
35,584
33,313
Natural gas liquids (MBbls)
2,812
2,496
5,484
4,920
Total (Mboe)
9,654
8,939
18,885
17,628
Average daily production:
Oil (Bbls/d)
41,855
39,990
41,269
39,536
Natural gas (Mcf/d)
200,016
184,840
196,599
184,048
Natural gas liquids (Bbls/d)
30,898
27,432
30,300
27,182
Total (boe/d)
106,089
98,229
104,336
97,394
Revenues (in thousands):
Oil revenues
373,759
226,345
631,088
471,879
Natural gas revenues
39,669
42,850
91,469
94,218
Natural gas liquids revenues
65,383
49,786
114,765
103,185
Total Revenues
478,811
318,981
837,322
669,282
Average sales price:
Oil (per Bbl)
98.13
62.20
84.49
65.94
Natural gas (per Mcf)
2.18
2.55
2.57
2.83
Natural gas liquids (per Bbl)
23.25
19.94
20.93
20.97
Total (per boe)
49.60
35.68
44.34
37.97
NYMEX WTI (per Bbl)
92.85
63.71
82.57
67.55
NYMEX Henry Hub (per MMBtu)
2.90
3.44
3.93
3.55
Realization to benchmark:
Oil (% of WTI)
106
98
102
Natural Gas (% of Henry Hub)
75
74
65
80
Operating expenses (in thousands):
Lease operating expenses
48,409
43,590
96,160
90,665
Gathering, transportation and processing
17,202
16,489
35,410
31,442
Taxes other than income
22,757
18,802
39,144
38,907
Depreciation, depletion and amortization
116,516
107,082
229,874
212,935
Operating costs per boe:
5.01
4.88
5.09
5.14
1.78
1.84
1.88
2.36
2.10
2.07
2.21
12.07
11.98
12.17
12.08
Consolidated Statements of Operations
(In thousands, except per share data)
REVENUES
Total revenues
OPERATING EXPENSES
Exploration expenses
213
363
1,955
711
Asset retirement obligations accretion
1,862
1,563
3,719
3,119
General and administrative expenses
29,151
23,278
60,595
47,867
Transaction related costs
3,200
—
Total operating expenses
239,310
211,167
470,057
425,646
OPERATING INCOME
239,501
107,814
367,265
243,636
OTHER EXPENSE
Interest expense, net
(6,720
)
(5,604
(12,724
(10,856
Other income (expense), net
(379
(244
(415
971
Total other expense, net
(7,099
(5,848
(13,139
(9,885
INCOME BEFORE INCOME TAXES
232,402
101,966
354,126
233,751
Current income tax expense
2,430
4,126
6,428
16,922
Deferred income tax expense
48,196
16,812
65,086
29,153
Total income tax expense
50,626
20,938
71,514
46,075
NET INCOME
181,776
81,028
282,612
187,676
LESS: Net income attributable to noncontrolling interest
2,911
1,011
6,632
NET INCOME ATTRIBUTABLE TO CLASS A COMMON STOCK
78,117
281,601
181,044
NET INCOME PER COMMON SHARE
Basic
1.51
0.95
Diluted
WEIGHTED AVERAGE NUMBER OF COMMON SHARES OUTSTANDING
184,574
186,518
183,924
187,579
184,586
186,530
183,936
187,591
WEIGHTED AVERAGE NUMBER OF CLASS B SHARES OUTSTANDING
5,523
1,312
DILUTED WEIGHTED AVERAGE TOTAL SHARES OUTSTANDING
192,053
185,248
193,114
Shares of Class B Common Stock, and corresponding Magnolia LLC Units, are anti-dilutive in the calculation of weighted average number of common shares outstanding.
Summary Cash Flow Data
(In thousands)
CASH FLOWS FROM OPERATING ACTIVITIES
Adjustments to reconcile net income to net cash provided by operating activities:
Amortization of deferred financing costs
553
540
1,099
1,072
Gain on revaluation of contingent consideration
(2,652
(4,004
Stock based compensation
9,665
7,302
21,885
13,852
Other
3,418
2,526
4,261
2,875
Net change in operating assets and liabilities
22,040
(15,500
(26,894
(23,490
Net cash provided by operating activities
384,026
198,701
581,642
423,188
CASH FLOWS FROM INVESTING ACTIVITIES
Acquisitions
(1,220
(15,509
(156,209
(39,653
Additions to oil and natural gas properties
(125,129
(100,287
(253,557
(231,455
Changes in working capital associated with additions to oil and natural gas properties
(2,239
(6,440
25,208
2,770
Other investing
(1,774
5,739
6,578
5,771
Net cash used in investing activities
(130,362
(116,497
(377,980
(262,567
CASH FLOW FROM FINANCING ACTIVITIES
Class A Common Stock repurchases
(49,328
(48,539
(82,606
(100,932
Class B Common Stock purchases and cancellations
(19,793
Dividends paid
(30,773
(28,350
(61,246
(57,261
Distributions to noncontrolling interest owners
(1,014
(911
(1,842
Other financing activities
(1,997
(98
(9,953
(8,874
Net cash used in financing activities
(82,098
(78,001
(174,509
(168,909
NET CHANGE IN CASH AND CASH EQUIVALENTS
171,566
4,203
(8,288
Cash and cash equivalents – Beginning of period
124,372
247,558
266,785
260,049
Cash and cash equivalents – End of period
295,938
251,761
Summary Balance Sheet Data
December 31, 2025
Cash and cash equivalents
Other current assets
192,650
175,650
Property, plant and equipment, net
2,599,165
2,424,152
Other assets
52,831
36,505
Total assets
3,140,584
2,903,092
Current liabilities
308,551
288,030
Long-term debt, net
393,636
393,251
Other long-term liabilities
291,520
222,638
Stockholders’ equity
2,146,877
1,939,958
Noncontrolling interest
59,215
Total liabilities and equity
Non-GAAP Financial Measures
Reconciliation of net income to adjusted EBITDAX
In this press release, we refer to adjusted EBITDAX, a supplemental non-GAAP financial measure that is used by management and external users of our consolidated financial statements, such as industry analysts, investors, lenders, and rating agencies. We define adjusted EBITDAX as net income before interest expense, income taxes, depreciation, depletion and amortization, exploration expenses, and accretion of asset retirement obligations, adjusted to exclude the effect of certain items included in net income. Adjusted EBITDAX is not a measure of net income in accordance with GAAP.
Our management believes that adjusted EBITDAX is useful because it allows them to more effectively evaluate our operating performance and compare the results of our operations from period to period and against our peers without regard to our financing methods or capital structure. We also believe that securities analysts, investors, and other interested parties may use adjusted EBITDAX in the evaluation of our Company. We exclude the items listed above from net income in arriving at adjusted EBITDAX because these amounts can vary substantially from company to company within our industry depending upon accounting methods and book values of assets, capital structures and the method by which the assets were acquired. Adjusted EBITDAX should not be considered as an alternative to, or more meaningful than, net income as determined in accordance with GAAP or as an indicator of our operating performance or liquidity. Certain items excluded from adjusted EBITDAX are significant components in understanding and assessing a company’s financial performance, such as a company’s cost of capital and tax structure, as well as the historic costs of depreciable assets, none of which are components of adjusted EBITDAX. Our presentation of adjusted EBITDAX should not be construed as an inference that our results will be unaffected by unusual or non-recurring items. Our computations of adjusted EBITDAX may not be comparable to other similarly titled measures of other companies.
The following table presents a reconciliation of net income to adjusted EBITDAX, our most directly comparable financial measure, calculated and presented in accordance with GAAP:
$ 181,776
$ 81,028
6,720
5,604
Income tax expense
EBIT
239,122
107,570
EBITDA
357,500
216,215
EBITDAX
357,713
216,578
Non-cash stock based compensation expense
9,401
6,781
Other income adjustment
(130)
$ 370,314
$ 223,229
The quarter ended June 30, 2025 includes a negative adjustment of
$2.7 million
related to a gain on revaluation of contingent consideration and a positive adjustment of
$2.5 million
related to a loss on sale of other assets.
Reconciliation of net income to adjusted net income
Our presentation of adjusted net income is a non-GAAP measures because it excludes the effect of certain items included in net income. Management uses adjusted net income to evaluate our operating and financial performance because it eliminates the impact of certain items that management does not consider to be representative of the Company’s on-going business operations. As a performance measure, adjusted net income may be useful to investors in facilitating comparisons to others in the Company’s industry because certain items can vary substantially in the oil and gas industry from company to company depending upon accounting methods, book value of assets, and capital structure, among other factors. Management believes adjusting these items facilitates investors and analysts in evaluating and comparing the underlying operating and financial performance of our business from period to period by eliminating differences caused by the existence and timing of certain expense and income items that would not otherwise be apparent on a GAAP basis. However, our presentation of adjusted net income may not be comparable to similar measures of other companies in our industry.
Adjustments:
(130
Change in estimated income tax
(672
26
ADJUSTED NET INCOME
184,304
80,924
Diluted weighted average shares of Class A Common Stock outstanding during the period
Weighted average shares of Class B Common Stock outstanding during the period
(3)
Total weighted average shares of Class A and B Common Stock, including dilutive impact of other securities
Represents corporate income taxes at an assumed annual effective tax rate of 21.0% and 19.9% for the quarters ended June 30, 2026 and 2025, respectively.
Reconciliation of earnings per share to adjusted earnings per share
Our presentation of adjusted earnings per share are non-GAAP measures because it excludes the effect of certain items included in net income. Management uses adjusted earnings per share to evaluate our operating and financial performance because it eliminates the impact of certain items that management does not consider to be representative of the Company’s on-going business operations. As a performance measure, adjusted earnings per share may be useful to investors in facilitating comparisons to others in the Company’s industry because certain items can vary substantially in the oil and gas industry from company to company depending upon accounting methods, book value of assets, and capital structure, among other factors. Management believes excluding these items facilitates investors and analysts in evaluating and comparing the underlying operating and financial performance of our business from period to period by eliminating differences caused by the existence and timing of certain expense and income items that would not otherwise be apparent on a GAAP basis. However, our presentation of adjusted earnings per share may not be comparable to similar measures of other companies in our industry.
The Company has not presented prior-period quarterly adjusted diluted earnings per share because differences in the capital structure, including the treatment of the Company's Class B shares as anti-dilutive under ASC 260 in the prior period, result in diluted weighted-average shares outstanding that are not comparable to the current period. Accordingly, management believes presentation of prior-period adjusted diluted earnings per share would not provide a meaningful comparison.
Per
Share
EPS
Dividends and net income allocated to participating securities
(2,442
Net income, net of participating securities
179,334
2,442
0.01
0.02
Adjusted dividends and net income allocated to participating securities
(2,476
(0.01
Adjusted net income, net of participating securities
181,828
0.99
Represents corporate income taxes at an assumed annual effective tax rate of 21.0% for the quarter ended June 30, 2026.
Reconciliation of revenue to adjusted cash operating margin and operating income margin
Our presentation of adjusted operating income margin, adjusted cash operating margin and total adjusted cash operating costs are supplemental non-GAAP financial measures that are used by management. Total adjusted cash operating costs exclude the impact of non-cash activity. We define adjusted cash operating margin per boe as total revenues per boe less cash operating costs per boe. We define adjusted operating income margin as operating margin excluding transaction related costs. Management believes that adjusted operating income margin, total adjusted cash operating costs per boe and adjusted cash operating margin per boe provide relevant and useful information, which is used by our management in assessing the Company’s profitability and comparability of results to our peers.
As a performance measure, adjusted operating income margin, total adjusted cash operating costs and adjusted cash operating margin may be useful to investors in facilitating comparisons to others in the Company’s industry because certain items can vary substantially in the oil and gas industry from company to company depending upon accounting methods, book value of assets, and capital structure, among other factors. Management believes excluding these items facilitates investors and analysts in evaluating and comparing the underlying operating and financial performance of our business from period to period by eliminating differences caused by the existence and timing of certain expense and income items that would not otherwise be apparent on a GAAP basis. However, our presentation of adjusted operating income margin, adjusted cash operating margin may not be comparable to similar measures of other companies in our industry.
(in $/boe)
Revenue
Total cash operating costs:
(4.92
(4.78
(1.78
(1.84
(2.36
(2.10
(0.02
(0.04
(2.14
(1.94
(0.33
Total adjusted cash operating costs
(11.55
(10.70
Adjusted cash operating margin
38.05
24.98
Margin (%)
77
70
Non-cash costs:
(12.07
(11.98
(0.19
(0.17
Non-cash stock based compensation
(0.97
(0.76
Total non-cash costs
(13.23
(12.91
Operating income margin
24.82
Add back: Transaction related costs
0.33
Adjusted operating income margin
25.15
51
34
Lease operating expenses exclude non-cash stock based compensation of
$0.8 million
$0.09
per boe, and
$0.9 million
$0.10
per boe, for the quarters ended June 30, 2026 and 2025, respectively.
General and administrative expenses exclude non-cash stock based compensation of
$8.6 million
$0.88
$5.9 million
$0.66
Reconciliation of net cash provided by operating activities to free cash flow
Free cash flow is a non-GAAP financial measure. Free cash flow is defined as cash flows from operations before net change in operating assets and liabilities less additions to oil and natural gas properties and changes in working capital associated with additions to oil and natural gas properties. Management believes free cash flow is useful for investors and widely accepted by those following the oil and gas industry as financial indicators of a company’s ability to generate cash to internally fund drilling and completion activities, fund acquisitions, and service debt. It is also used by research analysts to value and compare oil and gas exploration and production companies and are frequently included in published research when providing investment recommendations. Free cash flow is used by management as an additional measure of liquidity. Free cash flow is not a measure of financial performance under GAAP and should not be considered an alternative to cash flows from operating, investing, or financing activities.
Add back: net change in operating assets and liabilities
(22,040
15,500
Cash flows from operations before net change in operating assets and liabilities
361,986
214,201
Free cash flow
234,618
107,474
View source version on businesswire.com:
https://www.businesswire.com/news/home/20260805476119/en/
Contacts for Magnolia Oil & Gas Corporation
Investors
Tom Fitter
(713) 331-4802
[email protected]
Media
Christina Kuhl
713-314-4849
Source: Magnolia Oil & Gas Corporation
Back to Press Releases
page
August 05, 2026
HOUSTON
--(BUSINESS WIRE)--
Magnolia Oil & Gas Corporation (“Magnolia,” “we,” “our,” or the “Company”) (NYSE: MGY) today announced its financial and operational results for the second quarter of 2026.
Second Quarter 2026 Highlights:
(In millions, except per share data)
For the
Quarter Ended
June 30, 2026
June 30, 2025
Percentage increase
(decrease)
Net income
$
181.8
81.0
124
%
Adjusted net income
(1)
184.3
80.9
128
Earnings per share - diluted
0.97
0.41
137
Adjusted EBITDAX
370.3
223.2
66
Capital expenditures - D&C
125.0
95.2
31
Average daily production (Mboe/d)
106.1
98.2
8
Average daily oil production (Mbbls/d)
41.9
40.0
5
Cash balance as of period end
295.9
251.8
18
Diluted weighted average total shares outstanding
(2)
184.6
192.1
(4
)%
Magnolia reported second quarter 2026 net income of
$181.8 million
, or
$0.97
per diluted share. Second quarter 2026 adjusted net income
was
$184.3 million
$0.99
per diluted share. Diluted weighted average total shares outstanding decreased by 4% to 184.6 million
compared to second quarter 2025. Second quarter 2026 net income, adjusted net income, and earnings per diluted share all more than doubled compared to the prior-year second quarter and primarily due to higher oil and NGL prices and growth in our overall production volumes.
$370.3 million
during the second quarter of 2026. Total drilling and completions (“D&C”) capital was
$125.0 million
which represented approximately 34% of adjusted EBITDAX.
Net cash provided by operating activities was
$384.0 million
during the second quarter of 2026 with free cash flow
generated by the Company of
$234.6 million
more than doubling year-over-year. Magnolia generated operating income as a percentage of revenue (pre-tax margins) of 50% during the second quarter.
Total Company production volumes in the second quarter of 2026 grew by 8% on a year-over-year basis to 106.1 thousand barrels of oil equivalent per day (“Mboe/d”) and included 41.9 thousand barrels of oil per day (“Mbbls/d”) which grew by 5% compared to the prior year period, exceeding earlier guidance and due to continued strong well performance. Total production in
Giddings
increased 10% year-over-year to 85.5 Mboe/d with oil volumes growing by 7%.
On July 20, Magnolia announced that the Company entered into a definitive agreement to acquire WildFire Energy (“WildFire” or the “Acquisition”) that will more than double Magnolia’s
acreage and create the dominant Eagle Ford/Austin Chalk acreage position in
South Texas
by combining two high-quality, complementary assets. The highly accretive Acquisition will be funded with approximately half debt and half equity and is expected to close late in the third quarter of 2026.
The Company repurchased 1.7 million shares of its Class A Common Stock during the second quarter for
$49.3 million
and has 9.9 million Class A common shares remaining under its current share repurchase authorization.
As previously announced, Magnolia’s Board of Directors declared a quarterly cash dividend of
$0.18
per share, payable on September 1, 2026 to shareholders of record as of August 10, 2026. This quarterly dividend payment is a 9% increase compared to the previous rate, providing an annualized dividend of
$0.72
per share. The increase in the quarterly dividend rate was announced in conjunction with the Acquisition.
Magnolia returned
$80.1 million
, or 34% of the Company’s free cash flow
, to shareholders during the second quarter through a combination of share repurchases and dividends. Inclusive of the significant return of cash to shareholders, Magnolia ended the second quarter with
$295.9 million
of cash on the balance sheet and an undrawn
$450 million
revolving credit facility.
“Our second quarter results continue to underscore the strength of Magnolia's differentiated business model and the quality of our asset base,” said Magnolia’s Chairman, President and CEO Chris Stavros. “The consistent capital allocation discipline, operational execution and continued focus on our financial returns, helped generate meaningful free cash flow totaling
$235 million
during the second quarter. Our adjusted EBITDAX during the quarter was
$370 million
, and with capital for drilling and completions of approximately
$125 million
, our reinvestment rate for the quarter was just 34 percent. Stronger than expected overall oil and gas production totaling 106.1 thousand barrels of oil equivalent per day and oil production of 41.9 thousand barrels of oil per day further supported our quarterly financial results and enabled us to increase Magnolia’s standalone full-year 2026 production growth guidance to 6 percent from 5 percent.
“As we announced last month, the acquisition of the WildFire oil and gas properties and acreage is a natural and strategic fit and makes our business better by extending our runway of advantaged profitability and significant free cash flow generation. Our combined position in the
field amounts to more than 1.25 million net acres with upside development opportunities across multiple benches including the Austin Chalk, Eagle Ford and Woodbine. The highly accretive Acquisition is the result of our extensive subsurface understanding, experience, and the demonstration of our proven resource capture in the
field. This creates a premier upstream operation in
by combining two high-quality and complementary assets near Gulf Coast markets which offer premium pricing for our products. WildFire is not only a strong fit for Magnolia offering unique benefits, but it also provides several important characteristics we look for namely, focused, high-quality assets with concentrated scale, a low capital reinvestment rate while providing moderate production growth, high operating margins, and steady free cash flow allowing for consistent and significant shareholder returns.”
Operational Update
Total Company production volumes in the second quarter of 2026 grew by 8 percent on a year-over-year basis to 106.1 Mboe/d including 41.9 Mbbls/d. Total production in
increased by 10 percent in the second quarter, compared to the prior year period with
oil production growing by 7 percent year-over-year, and driven by continued strong well performance.
production represented 81 percent of total Company volumes during the second quarter. Magnolia’s second quarter 2026 capital spending on drilling, completions, and associated facilities was
.
Additional Guidance
On a standalone basis, Magnolia’s third quarter 2026 D&C capital spending is estimated to be approximately
$115 million
, with total estimated standalone company capital spending for the year reiterated in the range of
$440
to
$480 million
. Total production for the standalone company in the third quarter is estimated to be similar to second quarter levels. As previously disclosed, we are raising our full year 2026 production growth guidance on a standalone company basis to 6 percent from 5 percent.
For the third quarter 2026, we expect oil price differentials to be approximately a
$3
per barrel discount to Magellan East Houston.
WildFire Energy Acquisition Financing
After the announcement that Magnolia had entered into a definitive agreement to acquire WildFire, Magnolia executed multiple capital market transactions to partially fund the Acquisition. The Company issued 53.3 million new shares in a public offering for net proceeds of
$1.23 billion
, in addition to
$500 million
of senior notes at 6.625% due in 2034. These two transactions closed on July 22nd and August 5th, respectively. In total, the Acquisition will be funded with approximately half equity and half debt.
Quarterly Report on Form 10-Q
Magnolia's financial statements and related notes will be available in its Quarterly Report on Form 10-Q for the three months ended June 30, 2026, which is expected to be filed with the
U.S
. Securities and Exchange Commission (“SEC”) on August 6, 2026.
Conference Call and Webcast
Magnolia will host an investor conference call on Thursday, August 6, 2026 at 10:00 a.m. Central (11:00 a.m. Eastern) to discuss these operating and financial results. Interested parties may join the webcast by visiting Magnolia's website at
www.magnoliaoilgas.com/investors/events-and-presentations
and clicking on the webcast link or by dialing 1-844-701-1059. A replay of the webcast will be posted on Magnolia's website following completion of the call.
About Magnolia Oil & Gas Corporation
Magnolia (MGY) is a publicly traded oil and gas exploration and production company with operations primarily in
in the core of the Eagle Ford Shale and Austin Chalk formations. Magnolia focuses on generating value for shareholders by delivering steady, moderate annual production growth resulting from its disciplined and efficient philosophy toward capital spending. The Company strives to generate high pre‐tax margins and consistent free cash flow allowing for strong cash returns to our shareholders. For more information, visit
www.magnoliaoilgas.com
Adjusted net income, adjusted earnings per share, adjusted EBITDAX, and free cash flow are non-GAAP financial measures. For reconciliations to the most comparable GAAP measures, please see “Non-GAAP Financial Measures” at the end of this press release.
Weighted average total shares outstanding include diluted weighted average shares of Class A Common Stock outstanding during the period and shares of Class B Common Stock, which are anti-dilutive in the calculation of weighted average number of common shares outstanding.
Cautionary Note Regarding Forward-Looking Statements
The information in this press release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements, other than statements of present or historical fact included in this press release, regarding the consummation of the Acquisition and the transactions contemplated thereby, the expected synergies of the Acquisition, Magnolia’s share repurchase program, Magnolia’s strategy, future operations, financial position, estimated revenues and losses, projected costs, prospects, plans and objectives of management are forward looking statements. When used in this press release, the words could, should, will, may, believe, anticipate, intend, estimate, expect, project, the negative of such terms and other similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain such identifying words. These forward-looking statements are based on management’s current expectations and assumptions about future events. Except as otherwise required by applicable law, Magnolia disclaims any duty to update any forward-looking statements, all of which are expressly qualified by the statements in this section, to reflect events or circumstances after the date of this press release. Magnolia cautions you that these forward-looking statements are subject to all of the risks and uncertainties, most of which are difficult to predict and many of which are beyond the control of Magnolia, incident to the development, production, gathering and sale of oil, natural gas and natural gas liquids. In addition, Magnolia cautions you that the forward looking statements contained in this press release are subject to the following factors: (i) the expected timetable for completing the Acquisition, the results, effects and benefits of the Acquisition, future opportunities for Magnolia, other plans and expectations with respect to the Acquisition, and the anticipated impact of the Acquisition on Magnolia’s results of operations, financial position, growth opportunities and competitive position; (ii) the market prices of oil, natural gas, NGLs, and other products or services; (iii) the supply and demand for oil, natural gas, NGLs, and other products or services, including impacts of actions taken by OPEC and other state-controlled oil companies; (iv) the outcome of any legal proceedings that may be instituted against Magnolia; (v) Magnolia’s ability to realize the anticipated benefits of its acquisitions, which may be affected by, among other things, competition and the ability of Magnolia to grow and manage growth profitably; (vi) legislative, regulatory, or policy changes, including those following the change in presidential administrations; (vii) geopolitical and business conditions in key regions of the world; (viii) cybersecurity threats, including increased use of artificial intelligence technologies; and (ix) the possibility that Magnolia may be adversely affected by other economic, business, and/or competitive factors, including inflation. Should one or more of the risks or uncertainties described in this press release occur, or should underlying assumptions prove incorrect, actual results and plans could differ materially from those expressed in any forward-looking statements. Additional information concerning these and other factors that may impact the operations and projections discussed herein can be found in Magnolia’s filings with the SEC, including its Annual Report on Form 10-K for the fiscal year ended December 31, 2025. Magnolia’s SEC filings are available publicly on the SEC’s website at
www.sec.gov
Magnolia Oil & Gas Corporation
Operating Highlights
For the Quarters Ended
For the Six Months Ended
Production:
Oil (MBbls)
3,809
3,639
7,470
7,156
Natural gas (MMcf)
18,201
16,820
35,584
33,313
Natural gas liquids (MBbls)
2,812
2,496
5,484
4,920
Total (Mboe)
9,654
8,939
18,885
17,628
Average daily production:
Oil (Bbls/d)
41,855
39,990
41,269
39,536
Natural gas (Mcf/d)
200,016
184,840
196,599
184,048
Natural gas liquids (Bbls/d)
30,898
27,432
30,300
27,182
Total (boe/d)
106,089
98,229
104,336
97,394
Revenues (in thousands):
Oil revenues
373,759
226,345
631,088
471,879
Natural gas revenues
39,669
42,850
91,469
94,218
Natural gas liquids revenues
65,383
49,786
114,765
103,185
Total Revenues
478,811
318,981
837,322
669,282
Average sales price:
Oil (per Bbl)
98.13
62.20
84.49
65.94
Natural gas (per Mcf)
2.18
2.55
2.57
2.83
Natural gas liquids (per Bbl)
23.25
19.94
20.93
20.97
Total (per boe)
49.60
35.68
44.34
37.97
NYMEX WTI (per Bbl)
92.85
63.71
82.57
67.55
NYMEX Henry Hub (per MMBtu)
2.90
3.44
3.93
3.55
Realization to benchmark:
Oil (% of WTI)
106
98
102
Natural Gas (% of Henry Hub)
75
74
65
80
Operating expenses (in thousands):
Lease operating expenses
48,409
43,590
96,160
90,665
Gathering, transportation and processing
17,202
16,489
35,410
31,442
Taxes other than income
22,757
18,802
39,144
38,907
Depreciation, depletion and amortization
116,516
107,082
229,874
212,935
Operating costs per boe:
5.01
4.88
5.09
5.14
1.78
1.84
1.88
2.36
2.10
2.07
2.21
12.07
11.98
12.17
12.08
Consolidated Statements of Operations
(In thousands, except per share data)
REVENUES
Total revenues
OPERATING EXPENSES
Exploration expenses
213
363
1,955
711
Asset retirement obligations accretion
1,862
1,563
3,719
3,119
General and administrative expenses
29,151
23,278
60,595
47,867
Transaction related costs
3,200
—
Total operating expenses
239,310
211,167
470,057
425,646
OPERATING INCOME
239,501
107,814
367,265
243,636
OTHER EXPENSE
Interest expense, net
(6,720
)
(5,604
(12,724
(10,856
Other income (expense), net
(379
(244
(415
971
Total other expense, net
(7,099
(5,848
(13,139
(9,885
INCOME BEFORE INCOME TAXES
232,402
101,966
354,126
233,751
Current income tax expense
2,430
4,126
6,428
16,922
Deferred income tax expense
48,196
16,812
65,086
29,153
Total income tax expense
50,626
20,938
71,514
46,075
NET INCOME
181,776
81,028
282,612
187,676
LESS: Net income attributable to noncontrolling interest
2,911
1,011
6,632
NET INCOME ATTRIBUTABLE TO CLASS A COMMON STOCK
78,117
281,601
181,044
NET INCOME PER COMMON SHARE
Basic
1.51
0.95
Diluted
WEIGHTED AVERAGE NUMBER OF COMMON SHARES OUTSTANDING
184,574
186,518
183,924
187,579
184,586
186,530
183,936
187,591
WEIGHTED AVERAGE NUMBER OF CLASS B SHARES OUTSTANDING
5,523
1,312
DILUTED WEIGHTED AVERAGE TOTAL SHARES OUTSTANDING
192,053
185,248
193,114
Shares of Class B Common Stock, and corresponding Magnolia LLC Units, are anti-dilutive in the calculation of weighted average number of common shares outstanding.
Summary Cash Flow Data
(In thousands)
CASH FLOWS FROM OPERATING ACTIVITIES
Adjustments to reconcile net income to net cash provided by operating activities:
Amortization of deferred financing costs
553
540
1,099
1,072
Gain on revaluation of contingent consideration
(2,652
(4,004
Stock based compensation
9,665
7,302
21,885
13,852
Other
3,418
2,526
4,261
2,875
Net change in operating assets and liabilities
22,040
(15,500
(26,894
(23,490
Net cash provided by operating activities
384,026
198,701
581,642
423,188
CASH FLOWS FROM INVESTING ACTIVITIES
Acquisitions
(1,220
(15,509
(156,209
(39,653
Additions to oil and natural gas properties
(125,129
(100,287
(253,557
(231,455
Changes in working capital associated with additions to oil and natural gas properties
(2,239
(6,440
25,208
2,770
Other investing
(1,774
5,739
6,578
5,771
Net cash used in investing activities
(130,362
(116,497
(377,980
(262,567
CASH FLOW FROM FINANCING ACTIVITIES
Class A Common Stock repurchases
(49,328
(48,539
(82,606
(100,932
Class B Common Stock purchases and cancellations
(19,793
Dividends paid
(30,773
(28,350
(61,246
(57,261
Distributions to noncontrolling interest owners
(1,014
(911
(1,842
Other financing activities
(1,997
(98
(9,953
(8,874
Net cash used in financing activities
(82,098
(78,001
(174,509
(168,909
NET CHANGE IN CASH AND CASH EQUIVALENTS
171,566
4,203
(8,288
Cash and cash equivalents – Beginning of period
124,372
247,558
266,785
260,049
Cash and cash equivalents – End of period
295,938
251,761
Summary Balance Sheet Data
December 31, 2025
Cash and cash equivalents
Other current assets
192,650
175,650
Property, plant and equipment, net
2,599,165
2,424,152
Other assets
52,831
36,505
Total assets
3,140,584
2,903,092
Current liabilities
308,551
288,030
Long-term debt, net
393,636
393,251
Other long-term liabilities
291,520
222,638
Stockholders’ equity
2,146,877
1,939,958
Noncontrolling interest
59,215
Total liabilities and equity
Non-GAAP Financial Measures
Reconciliation of net income to adjusted EBITDAX
In this press release, we refer to adjusted EBITDAX, a supplemental non-GAAP financial measure that is used by management and external users of our consolidated financial statements, such as industry analysts, investors, lenders, and rating agencies. We define adjusted EBITDAX as net income before interest expense, income taxes, depreciation, depletion and amortization, exploration expenses, and accretion of asset retirement obligations, adjusted to exclude the effect of certain items included in net income. Adjusted EBITDAX is not a measure of net income in accordance with GAAP.
Our management believes that adjusted EBITDAX is useful because it allows them to more effectively evaluate our operating performance and compare the results of our operations from period to period and against our peers without regard to our financing methods or capital structure. We also believe that securities analysts, investors, and other interested parties may use adjusted EBITDAX in the evaluation of our Company. We exclude the items listed above from net income in arriving at adjusted EBITDAX because these amounts can vary substantially from company to company within our industry depending upon accounting methods and book values of assets, capital structures and the method by which the assets were acquired. Adjusted EBITDAX should not be considered as an alternative to, or more meaningful than, net income as determined in accordance with GAAP or as an indicator of our operating performance or liquidity. Certain items excluded from adjusted EBITDAX are significant components in understanding and assessing a company’s financial performance, such as a company’s cost of capital and tax structure, as well as the historic costs of depreciable assets, none of which are components of adjusted EBITDAX. Our presentation of adjusted EBITDAX should not be construed as an inference that our results will be unaffected by unusual or non-recurring items. Our computations of adjusted EBITDAX may not be comparable to other similarly titled measures of other companies.
The following table presents a reconciliation of net income to adjusted EBITDAX, our most directly comparable financial measure, calculated and presented in accordance with GAAP:
$ 181,776
$ 81,028
6,720
5,604
Income tax expense
EBIT
239,122
107,570
EBITDA
357,500
216,215
EBITDAX
357,713
216,578
Non-cash stock based compensation expense
9,401
6,781
Other income adjustment
(130)
$ 370,314
$ 223,229
The quarter ended June 30, 2025 includes a negative adjustment of
$2.7 million
related to a gain on revaluation of contingent consideration and a positive adjustment of
$2.5 million
related to a loss on sale of other assets.
Reconciliation of net income to adjusted net income
Our presentation of adjusted net income is a non-GAAP measures because it excludes the effect of certain items included in net income. Management uses adjusted net income to evaluate our operating and financial performance because it eliminates the impact of certain items that management does not consider to be representative of the Company’s on-going business operations. As a performance measure, adjusted net income may be useful to investors in facilitating comparisons to others in the Company’s industry because certain items can vary substantially in the oil and gas industry from company to company depending upon accounting methods, book value of assets, and capital structure, among other factors. Management believes adjusting these items facilitates investors and analysts in evaluating and comparing the underlying operating and financial performance of our business from period to period by eliminating differences caused by the existence and timing of certain expense and income items that would not otherwise be apparent on a GAAP basis. However, our presentation of adjusted net income may not be comparable to similar measures of other companies in our industry.
Adjustments:
(130
Change in estimated income tax
(672
26
ADJUSTED NET INCOME
184,304
80,924
Diluted weighted average shares of Class A Common Stock outstanding during the period
Weighted average shares of Class B Common Stock outstanding during the period
(3)
Total weighted average shares of Class A and B Common Stock, including dilutive impact of other securities
Represents corporate income taxes at an assumed annual effective tax rate of 21.0% and 19.9% for the quarters ended June 30, 2026 and 2025, respectively.
Reconciliation of earnings per share to adjusted earnings per share
Our presentation of adjusted earnings per share are non-GAAP measures because it excludes the effect of certain items included in net income. Management uses adjusted earnings per share to evaluate our operating and financial performance because it eliminates the impact of certain items that management does not consider to be representative of the Company’s on-going business operations. As a performance measure, adjusted earnings per share may be useful to investors in facilitating comparisons to others in the Company’s industry because certain items can vary substantially in the oil and gas industry from company to company depending upon accounting methods, book value of assets, and capital structure, among other factors. Management believes excluding these items facilitates investors and analysts in evaluating and comparing the underlying operating and financial performance of our business from period to period by eliminating differences caused by the existence and timing of certain expense and income items that would not otherwise be apparent on a GAAP basis. However, our presentation of adjusted earnings per share may not be comparable to similar measures of other companies in our industry.
The Company has not presented prior-period quarterly adjusted diluted earnings per share because differences in the capital structure, including the treatment of the Company's Class B shares as anti-dilutive under ASC 260 in the prior period, result in diluted weighted-average shares outstanding that are not comparable to the current period. Accordingly, management believes presentation of prior-period adjusted diluted earnings per share would not provide a meaningful comparison.
Per
Share
EPS
Dividends and net income allocated to participating securities
(2,442
Net income, net of participating securities
179,334
2,442
0.01
0.02
Adjusted dividends and net income allocated to participating securities
(2,476
(0.01
Adjusted net income, net of participating securities
181,828
0.99
Represents corporate income taxes at an assumed annual effective tax rate of 21.0% for the quarter ended June 30, 2026.
Reconciliation of revenue to adjusted cash operating margin and operating income margin
Our presentation of adjusted operating income margin, adjusted cash operating margin and total adjusted cash operating costs are supplemental non-GAAP financial measures that are used by management. Total adjusted cash operating costs exclude the impact of non-cash activity. We define adjusted cash operating margin per boe as total revenues per boe less cash operating costs per boe. We define adjusted operating income margin as operating margin excluding transaction related costs. Management believes that adjusted operating income margin, total adjusted cash operating costs per boe and adjusted cash operating margin per boe provide relevant and useful information, which is used by our management in assessing the Company’s profitability and comparability of results to our peers.
As a performance measure, adjusted operating income margin, total adjusted cash operating costs and adjusted cash operating margin may be useful to investors in facilitating comparisons to others in the Company’s industry because certain items can vary substantially in the oil and gas industry from company to company depending upon accounting methods, book value of assets, and capital structure, among other factors. Management believes excluding these items facilitates investors and analysts in evaluating and comparing the underlying operating and financial performance of our business from period to period by eliminating differences caused by the existence and timing of certain expense and income items that would not otherwise be apparent on a GAAP basis. However, our presentation of adjusted operating income margin, adjusted cash operating margin may not be comparable to similar measures of other companies in our industry.
(in $/boe)
Revenue
Total cash operating costs:
(4.92
(4.78
(1.78
(1.84
(2.36
(2.10
(0.02
(0.04
(2.14
(1.94
(0.33
Total adjusted cash operating costs
(11.55
(10.70
Adjusted cash operating margin
38.05
24.98
Margin (%)
77
70
Non-cash costs:
(12.07
(11.98
(0.19
(0.17
Non-cash stock based compensation
(0.97
(0.76
Total non-cash costs
(13.23
(12.91
Operating income margin
24.82
Add back: Transaction related costs
0.33
Adjusted operating income margin
25.15
51
34
Lease operating expenses exclude non-cash stock based compensation of
$0.8 million
$0.09
per boe, and
$0.9 million
$0.10
per boe, for the quarters ended June 30, 2026 and 2025, respectively.
General and administrative expenses exclude non-cash stock based compensation of
$8.6 million
$0.88
$5.9 million
$0.66
Reconciliation of net cash provided by operating activities to free cash flow
Free cash flow is a non-GAAP financial measure. Free cash flow is defined as cash flows from operations before net change in operating assets and liabilities less additions to oil and natural gas properties and changes in working capital associated with additions to oil and natural gas properties. Management believes free cash flow is useful for investors and widely accepted by those following the oil and gas industry as financial indicators of a company’s ability to generate cash to internally fund drilling and completion activities, fund acquisitions, and service debt. It is also used by research analysts to value and compare oil and gas exploration and production companies and are frequently included in published research when providing investment recommendations. Free cash flow is used by management as an additional measure of liquidity. Free cash flow is not a measure of financial performance under GAAP and should not be considered an alternative to cash flows from operating, investing, or financing activities.
Add back: net change in operating assets and liabilities
(22,040
15,500
Cash flows from operations before net change in operating assets and liabilities
361,986
214,201
Free cash flow
234,618
107,474
View source version on businesswire.com:
https://www.businesswire.com/news/home/20260805476119/en/
Contacts for Magnolia Oil & Gas Corporation
Investors
Tom Fitter
(713) 331-4802
[email protected]
Media
Christina Kuhl
713-314-4849
Source: Magnolia Oil & Gas Corporation
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