Devon Energy Earnings Cheat Sheet: Beats the Street on Profit Rise

S&P 500 (NYSE:SPY) component Devon Energy Corporation (NYSE:DVN) reported net income above Wall Street’s expectations for the second quarter. Devon Energy Corporation explores, develops and transports oil, gas, and NGLs.

Get more Earnings Cheat Sheets with our in depth coverage of earnings season >>

Devon Energy Earnings Cheat Sheet for the Second Quarter

Results: Net income for the independent oil and gas company rose to $2.74 billion ($6.48 per share) vs. $706 million ($1.58 per share) in the same quarter a year earlier. This is a more than threefold rise from the year earlier quarter.

Revenue: Rose 44.3% to $3.22 billion from the year earlier quarter.

Actual vs. Wall St. Expectations: DVN reported adjusted net income of $1.71 per share. By that measure, it beat the mean analyst estimate of $1.56 per share. It beat the average revenue estimate of $2.38 billion.

Quoting Management: “The execution of Devon’s strategic repositioning was excellent,” said John Richels, president and chief executive officer. “Devon has emerged with a pristine balance sheet, a deep inventory of oil and liquids-rich growth opportunities and a highly competitive cost structure. As demonstrated by our second-quarter results, the repositioned Devon is delivering profitable growth per share.”

Key Stats:

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

A year-over-year revenue increase last quarter snaps a streak of two consecutive quarters of revenue declines. Revenue fell 17.4% in the first quarter and fell 6.4% in the fourth quarter of the last fiscal year.

Last quarter’s profit increase breaks a streak of two consecutive quarters of year-over-year profit decreases. In the first quarter, net income fell 65.1% while the figure dropped in the fourth quarter of the last fiscal year.

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).

Get more Earnings Cheat Sheets with our in depth coverage of earnings season >>

(Source: Xignite Financials)