Devon Energy Corp. Earnings Cheat Sheet: Booking a Profit Again

Rising revenue was not enough for S&P 500 (NYSE:SPY) component Devon Energy Corporation (NYSE:DVN) as the independent oil and gas company saw profit fall in the third quarter. Devon Energy explores, develops and transports oil, gas, and NGLs.

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Devon Energy Earnings Cheat Sheet for the Third Quarter

Results: Net income for Devon Energy Corporation fell to $1.04 billion ($2.50 per share) vs. $2.09 billion ($4.79 per share) a year earlier. This is a decline of 50.2% from the year earlier quarter.

Revenue: Rose 48.8% to $3.5 billion from the year earlier quarter.

Actual vs. Wall St. Expectations: DVN reported adjusted net income of $1.54 per share. By that measure, the company beat the mean estimate of $1.48 per share. It beat the average revenue estimate of $2.63 billion.

Key Stats:

The company has now topped analyst estimates for the last four quarters. It beat the mark by 15 cents in the second quarter, by 4 cents in the first quarter, and by 17 cents in the fourth quarter of the last fiscal year.

The company has now been profitable for the last nine quarters, and for the last five, profit has risen year over year by an average of 95.3%. The quarter with the biggest boost was the third quarter of the last fiscal year, which saw a more than fourfold surge.

The company’s revenue has now risen for two straight quarters. In the second quarter, revenue increased 44.3% to $3.22 billion from the year earlier quarter.

Looking Forward: The outlook for the company’s results in the upcoming quarter is unfavorable. The average estimate for the fourth quarter is $1.48 per share, down from $1.80 ninety days ago. The average estimate for the fiscal year is $5.94 per share, down from $6.30 ninety days ago.

Competitors to Watch: Chesapeake Energy Corp. (NYSE:CHK), Anadarko Petroleum Corp. (NYSE:APC), Targa Resources Partners LP (NYSE:NGLS), GeoResources, Inc. (NASDAQ:GEOI), QEP Resources, Inc. (NYSE:QEP), Newfield Exploration Co. (NYSE:NFX), SandRidge Energy Inc. (NYSE:SD), Swift Energy Company (NYSE:SFY), EOG Resources, Inc. (NYSE:EOG), and Gulfport Energy Corp. (NASDAQ:GPOR).

Investing Insights: Here’s Why Chipotle’s Stock Keeps Winning.

(Source: Xignite Financials)

 

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