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Sep 30, 2024
Matador Q3 2024 Earnings Report
Reported record third quarter results, increased full-year 2024 guidance, and expects over 200,000 BOE per day in 2025.
Key Takeaways
Matador Resources Company reported record financial and operating results for the third quarter of 2024. The company achieved record production, closed its largest acquisition to date, and increased its full-year 2024 guidance. Matador expects to produce over 200,000 barrels of oil and natural gas equivalent per day in 2025.
Achieved record average total production of 171,480 BOE per day, 5% better than guidance.
Increased net cash provided by operating activities by 32% to $610.4 million.
Adjusted Free Cash Flow increased by 36% to $196.1 million.
Estimate full-year 2024 drilling and completion costs will be improved to between $925 and $935 per completed lateral foot, an 8% reduction from original guidance.
Matador
Matador
Matador Revenue by Segment
Revenue by Segment
Third-Party Midstream Services Revenues Revenue
CapyFin.comSales of Purchased Natural Gas Revenue
CapyFin.com Forward Guidance
Matador expects continued records and consistently improving operational execution in 2025. Average total production is anticipated to exceed 200,000 BOE per day (60% oil) during 2025 with the current nine rig program.
Positive Outlook
- Continued records and consistently improving operational execution in 2025.
- Average total production will exceed 200,000 BOE per day (60% oil) during 2025 with the current nine rig program.
- Positioned to modify drilling program without material costs if oil prices decrease.
- Hedged approximately 30% to 40% of oil production through June 2025 to protect balance sheet.
- Expect to return to a leverage ratio of 1.0 times or less by the middle of 2025.
Challenges Ahead
- Oil prices substantially decrease.
- If other appealing opportunities should not arise.
- Costs of operations.
- Delays and other difficulties related to producing oil, natural gas and natural gas liquids.
- Delays and other difficulties related to regulatory and governmental approvals and restrictions.
Revenue & Expenses
Visualization of income flow from segment revenue to net income