We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties. You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies. In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Equinor ASA (EQNR - Free Report) reported third-quarter 2024 adjusted earnings per share of 79 cents, which beat the Zacks Consensus Estimate of 74 cents. However, the bottom line declined from the year-ago quarter’s 98 cents.
Total quarterly revenues of $25,416 million declined from $25,924 million in the prior-year quarter. However, the top line surpassed the Zacks Consensus Estimate of $24,447 million.
Better-than-expected quarterly earnings can be attributed to higher daily production of liquids and gas, driven by the ramp-up of new fields and a reduction in unplanned losses. The positives were partially offset by the lower liquids' prices.
Exploration & Production Norway (E&P Norway): The segment reported adjusted earnings of $5,875 million, down 1% from $5,942 million in the year-ago quarter.
The segment was impacted by increased turnaround activities, natural declines and planned maintenance across various fields.
The company’s average daily production of liquids and gas increased 2% year over year to 1,308 thousand barrels of oil equivalent per day (MBoe/d). This increase in production was driven by the ramp-up of new fields and a reduction in unplanned losses.
E&P International: The segment’s adjusted operating profit totaled $407 million, down 53% from the year-ago quarter’s $860 million. The segment was affected by lower liquids prices and reduced lifted volumes.
The average daily equity production of liquids and gas declined to 334 MBoe/d from 355 MBoe/d in the year-ago quarter. Equity production decreased in this quarter compared with the prior-year period due to natural declines in certain fields and temporary shutdowns in Brazil and Libya. However, the reduction was partially offset by the ramp-up of new wells, which helped maintain overall production levels. Additionally, increased turnaround activities during the quarter contributed to the decrease in production.
E&P USA: Equinor generated an adjusted quarterly profit of $207 million from this segment. The figure declined 40% from $343 million in the third quarter of 2023. E&P USA was affected by lower liquids' prices, partially mitigated by higher gas prices.
The integrated firm’s average equity production of liquids and gas was 342 MBoe/d, down 7% from 369 MBoe/d in the year-ago period. The decline in production was primarily due to turnaround activities, the effects of hurricanes in the Gulf of Mexico and production curtailments affecting the Appalachian onshore assets.
Marketing, Midstream & Processing: The segment reported adjusted earnings of $545 million, down 38% from $876 million a year ago.
Renewables: The segment reported an adjusted loss of $115 million, which was wider than the year-ago quarter’s loss of $108 million. The segment was impacted as project development costs surpassed earnings from operating assets.
Free Cash Flow of EQNR
In the September-end quarter, Equinor generated a negative free cash flow of $3,422 million against a free cash flow of $1,479 million in the year-ago period.
Equinor’s Balance Sheet
As of Sept. 30, 2024, the company reported $8,002 million in cash and cash equivalents. Its long-term debt was $22,427 million.
Outlook for EQNR
Equinor reiterated stable oil and gas production for 2024. Additionally, it expects renewable power generation to increase 50% from that reported in 2023.
The company also gave its organic capital spending budget of $12-$13 billion for the year.
The Williams Companies, Inc. (WMB - Free Report) is a premier energy infrastructure provider in North America. The company’s core operations include finding, producing, gathering, processing and transporting natural gas and natural gas liquids. Boasting a widespread pipeline system of more than 33,000 miles, Williams is one of the largest domestic transporters of natural gas by volume.
The Zacks Consensus Estimate for WMB’s 2024 EPS is pegged at $1.75. The company has witnessed upward earnings estimate revisions for 2024 and 2025 in the past seven days.
Viper Energy, Inc. (VNOM - Free Report) is a variable distribution MLP based in Midland, TX. It generates strong and steady royalty income from mineral interests in Eagle Ford and the Permian Basin. The business strategies of the partnership include acquiring mineral interests from third parties and the parent company.
The Zacks Consensus Estimate for VNOM’s 2024 EPS is pegged at $1.99. The company has witnessed upward earnings estimate revisions for 2024 and 2025 in the past seven days.
Helmerich & Payne (HP - Free Report) is primarily involved in the contract drilling of oil and natural gas, with operations in all major U.S. onshore basins, as well as South America, Australia and the Middle East. In the past few months, the company has secured eight rig contracts with Saudi Aramco, thereby expanding its presence in the Middle East. With plans to capitalize on unconventional drilling growth opportunities, HP’s outlook seems positive.
The Zacks Consensus Estimate for HP’s 2024 EPS is pegged at $3.53. The company has witnessed upward earnings estimate revisions for 2024 and 2025 in the past 30 days.
Zacks' 7 Best Strong Buy Stocks (New Research Report)
Valued at $99, click below to receive our just-released report predicting the 7 stocks that will soar highest in the coming month.
Image: Bigstock
Equinor Q3 Earnings Surpass Estimates, Revenues Decline Y/Y
Equinor ASA (EQNR - Free Report) reported third-quarter 2024 adjusted earnings per share of 79 cents, which beat the Zacks Consensus Estimate of 74 cents. However, the bottom line declined from the year-ago quarter’s 98 cents.
Total quarterly revenues of $25,416 million declined from $25,924 million in the prior-year quarter. However, the top line surpassed the Zacks Consensus Estimate of $24,447 million.
Better-than-expected quarterly earnings can be attributed to higher daily production of liquids and gas, driven by the ramp-up of new fields and a reduction in unplanned losses. The positives were partially offset by the lower liquids' prices.
Equinor ASA Price, Consensus and EPS Surprise
Equinor ASA price-consensus-eps-surprise-chart | Equinor ASA Quote
Segmental Analysis of Equinor
Exploration & Production Norway (E&P Norway): The segment reported adjusted earnings of $5,875 million, down 1% from $5,942 million in the year-ago quarter.
The segment was impacted by increased turnaround activities, natural declines and planned maintenance across various fields.
The company’s average daily production of liquids and gas increased 2% year over year to 1,308 thousand barrels of oil equivalent per day (MBoe/d). This increase in production was driven by the ramp-up of new fields and a reduction in unplanned losses.
E&P International: The segment’s adjusted operating profit totaled $407 million, down 53% from the year-ago quarter’s $860 million. The segment was affected by lower liquids prices and reduced lifted volumes.
The average daily equity production of liquids and gas declined to 334 MBoe/d from 355 MBoe/d in the year-ago quarter. Equity production decreased in this quarter compared with the prior-year period due to natural declines in certain fields and temporary shutdowns in Brazil and Libya. However, the reduction was partially offset by the ramp-up of new wells, which helped maintain overall production levels. Additionally, increased turnaround activities during the quarter contributed to the decrease in production.
E&P USA: Equinor generated an adjusted quarterly profit of $207 million from this segment. The figure declined 40% from $343 million in the third quarter of 2023. E&P USA was affected by lower liquids' prices, partially mitigated by higher gas prices.
The integrated firm’s average equity production of liquids and gas was 342 MBoe/d, down 7% from 369 MBoe/d in the year-ago period. The decline in production was primarily due to turnaround activities, the effects of hurricanes in the Gulf of Mexico and production curtailments affecting the Appalachian onshore assets.
Marketing, Midstream & Processing: The segment reported adjusted earnings of $545 million, down 38% from $876 million a year ago.
Renewables: The segment reported an adjusted loss of $115 million, which was wider than the year-ago quarter’s loss of $108 million. The segment was impacted as project development costs surpassed earnings from operating assets.
Free Cash Flow of EQNR
In the September-end quarter, Equinor generated a negative free cash flow of $3,422 million against a free cash flow of $1,479 million in the year-ago period.
Equinor’s Balance Sheet
As of Sept. 30, 2024, the company reported $8,002 million in cash and cash equivalents. Its long-term debt was $22,427 million.
Outlook for EQNR
Equinor reiterated stable oil and gas production for 2024. Additionally, it expects renewable power generation to increase 50% from that reported in 2023.
The company also gave its organic capital spending budget of $12-$13 billion for the year.
Zacks Rank & Key Picks
Currently, EQNR carries a Zacks Rank #3 (Hold).
Investors interested in the energy sector may look at some better-ranked stocks that currently carry a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The Williams Companies, Inc. (WMB - Free Report) is a premier energy infrastructure provider in North America. The company’s core operations include finding, producing, gathering, processing and transporting natural gas and natural gas liquids. Boasting a widespread pipeline system of more than 33,000 miles, Williams is one of the largest domestic transporters of natural gas by volume.
The Zacks Consensus Estimate for WMB’s 2024 EPS is pegged at $1.75. The company has witnessed upward earnings estimate revisions for 2024 and 2025 in the past seven days.
Viper Energy, Inc. (VNOM - Free Report) is a variable distribution MLP based in Midland, TX. It generates strong and steady royalty income from mineral interests in Eagle Ford and the Permian Basin. The business strategies of the partnership include acquiring mineral interests from third parties and the parent company.
The Zacks Consensus Estimate for VNOM’s 2024 EPS is pegged at $1.99. The company has witnessed upward earnings estimate revisions for 2024 and 2025 in the past seven days.
Helmerich & Payne (HP - Free Report) is primarily involved in the contract drilling of oil and natural gas, with operations in all major U.S. onshore basins, as well as South America, Australia and the Middle East. In the past few months, the company has secured eight rig contracts with Saudi Aramco, thereby expanding its presence in the Middle East. With plans to capitalize on unconventional drilling growth opportunities, HP’s outlook seems positive.
The Zacks Consensus Estimate for HP’s 2024 EPS is pegged at $3.53. The company has witnessed upward earnings estimate revisions for 2024 and 2025 in the past 30 days.