Murphy Oil Corporation — Third Quarter 2026 Earnings Summary

Financial Performance:

• Net income attributable to Murphy for the three months ended September 30, 2026, was $171.1 million ($1.17 per diluted share), compared to a net loss of $3.0 million ($0.02 per diluted share) in the same period in 2025.
• Adjusted net income from continuing operations attributable to Murphy (Non-GAAP) was $158.4 million ($1.08 per diluted share), compared to $58.1 million ($0.41 per diluted share) in the prior year period.
• Adjusted EBITDA attributable to Murphy was $510.9 million, compared to $390.6 million in the prior year period.
• Adjusted EBITDAX attributable to Murphy was $543.9 million, compared to $423.1 million in the prior year period.
• Net cash provided by continuing operations activities was $540.5 million, compared to $339.4 million in the prior year period.
• Operating cash flow excluding working capital adjustments was $515.0 million.
• Free cash flow was $48.2 million, compared to $218.8 million in the prior year period.
• Total revenues and other income were $854.974 million, up from $732.985 million in the prior year period.
• Revenue from production was $849.175 million, up from $720.966 million in the prior year period.
• Lease operating expenses were $149.174 million, down from $184.353 million in the prior year period.
• Depreciation, depletion, and amortization expense was $271.432 million, down from $283.465 million in the prior year period.
• Total costs and expenses were $598.490 million, down from $727.192 million in the prior year period.
• Operating income from continuing operations was $256.484 million, compared to $5.793 million in the prior year period.
• Income tax expense was $39.355 million, compared to $4.157 million in the prior year period.
• Cash dividends paid were $50.184 million.
• Capital expenditures were $422.2 million, excluding noncontrolling interest.
• Lease operating expense per BOE was $8.20.

Guidance and Future Outlook:

• Full-year 2026 production guidance was raised to a range of 176,000 to 178,000 BOEPD, representing a 6,000 BOEPD midpoint increase.
• Fourth quarter 2026 guidance for total net production (excluding NCI) is 174,000 to 182,000 BOEPD.
• Fourth quarter 2026 capital expenditures (excluding NCI) are guided at $190 million.
• Fourth quarter 2026 exploration expense (excluding NCI) is guided at $40 million.
• Full-year 2026 capital expenditures (excluding NCI) are guided at $1,500 to $1,600 million.
• Full-year 2026 exploration expense (excluding NCI) is guided at $195 million, including $90 million in dry hole expense.
• Full-year 2026 production is expected to consist of approximately 48 percent oil and 54 percent liquids volumes.

Business Segments and Product Lines:

• Total net production for the quarter was 186,495 BOEPD, exceeding the quarterly guidance range of 171,000 to 179,000 BOEPD.
• Onshore operations produced approximately 125,400 BOEPD, including 34 percent liquids.
• Offshore operations produced approximately 61,100 BOEPD, including 88 percent liquids.
• Eagle Ford Shale production was 43,600 BOEPD (30,200 BOPD oil); 14 operated wells were brought online in Catarina and four non-operated wells in Tilden.
• Tupper Montney production was 76,000 BOEPD (200 BOPD oil); an eight-well pad was brought online.
• Kaybob Duvernay production was 5,800 BOEPD (3,700 BOPD oil).
• Gulf of America production was 53,900 BOEPD (42,900 BOPD oil); production commenced from the Chinook #8 development well, which reached a peak gross rate of approximately 15,000 BOEPD.
• Vietnam operations achieved first oil from the Lac Da Vang (Golden Camel) development project less than three years after project sanction.
• Offshore Côte d'Ivoire: The Bubale West-1X well encountered approximately 88 feet of net oil pay in the Turonian reservoir and additional hydrocarbons in the deeper Albian reservoir.
• Vietnam exploration: The Lac Da Trang (White Camel) North-1X exploration well discovered oil, encountering approximately 131 feet of net oil pay.
• Subsequent to the quarter, Murphy secured six exploration blocks from the August Gulf of America federal offshore lease sale.
• Subsequent to the quarter, Murphy signed agreements with the government of Mauritania for two offshore exploration blocks.

Market and Competitive Landscape:

• The company reported higher realized prices for crude oil and condensate in the U.S. Onshore ($86.48/bbl vs $65.48/bbl), U.S. Offshore ($89.38/bbl vs $67.00/bbl), Canada Onshore ($78.40/bbl vs $56.33/bbl), and Canada Offshore ($108.21/bbl vs $69.42/bbl) compared to the prior year period.
• Natural gas prices were $2.54/MCF in U.S. Onshore, $3.50/MCF in U.S. Offshore, and $1.63/MCF in Canada Onshore for the quarter, compared to $2.64, $3.39, and $1.22 respectively in the prior year period.

Risks and Challenges:

• Forward-looking statements are subject to risks including macro conditions in the oil and natural gas industry, supply and demand levels, and actions by major oil exporters.
• Geopolitical concerns, including the ongoing conflict in the Middle East involving Iran, may impact operations.
• Risks include volatility in commodity prices, exploration success rates, and the ability to maintain production rates and replace reserves.
• Potential impacts from environmental, regulatory, or technological changes reducing customer demand.
• Adverse foreign exchange movements and political/regulatory instability in markets where the company does business.
• Natural hazards, health pandemics, and cybersecurity risks.
• Inability to service or refinance outstanding debt or access debt markets at acceptable prices.
• The company's debt increased by approximately $80 million to $1.63 billion compared to the prior quarter, reflecting the recognition of a finance lease for the Lac Da Vang FSO vessel in Vietnam through 2039.

Management Commentary and Tone:

• Eric M. Hambly, President and Chief Executive Officer, stated: "The results we delivered this quarter reflect our ability to create value at every stage of the asset life cycle. From finding oil to efficiently bringing it online and reliably operating our assets, this breadth of capabilities is what differentiates Murphy."
• Management highlighted the company's full-cycle development capabilities and focus on value creation.

Other Key Points:

• Liquidity on September 30, 2026, was approximately $2.50 billion, comprised of an undrawn $2.00 billion senior unsecured credit facility and approximately $500 million in cash and cash equivalents.
• Total debt was $1.63 billion; long-term fixed-rate notes totaled $1.54 billion with a weighted average maturity of 8.4 years and a weighted average coupon of 6.3 percent.
• The company paid $50 million in quarterly dividends.
• No share repurchases were made in the third quarter; $550 million remains under the share repurchase authorization.
• Shares outstanding as of September 30, 2026, were 143.4 million.
• The company hosted a conference call on November 5, 2026, to discuss results.
• Non-GAAP financial measures including Adjusted Net Income, Adjusted EBITDA, Adjusted EBITDAX, Free Cash Flow, and Net Debt were provided with reconciliations to GAAP measures.