Diamondback Energy, Inc. (NASDAQ: FANG) is a prominent player in the oil and gas sector, specifically within the exploration and production industry in the United States. The company focuses on the acquisition, development, and exploration of oil and natural gas reserves. It competes with other industry giants in the Zacks Oil and Gas - Exploration and Production - United States category.
On February 25, 2025, FANG reported its earnings, showcasing a strong performance with an EPS of $3.64, surpassing the estimated $3.57. This result also exceeded the Zacks Consensus Estimate of $3.26, marking an earnings surprise of 11.66%. However, it's important to note that this EPS is a decrease from the $4.74 reported in the same quarter the previous year.
FANG's revenue for the quarter reached $3.71 billion, exceeding the estimated $3.55 billion and the Zacks Consensus Estimate by 9.18%. This is a significant increase from the $2.23 billion reported in the same period last year. The company's robust revenue growth reflects its strong operational performance and market position.
In terms of operational metrics, Diamondback Energy reported an average production of 475.9 thousand barrels of oil per day and 883.4 thousand barrels of oil equivalent per day. The company generated $2.3 billion in net cash from operating activities, with a free cash flow of $1.3 billion and an adjusted free cash flow of $1.4 billion, highlighting its strong cash generation capabilities.
Diamondback Energy also made strategic moves to enhance shareholder value. The company increased its annual base dividend by 11% to $4.00 per share and declared a fourth-quarter base cash dividend of $1.00 per share. Additionally, FANG repurchased over 2.3 million shares for $402 million, excluding excise tax, demonstrating its commitment to returning capital to shareholders.
