Devon Energy releases its first quarter earnings report Tuesday and it will be the first such information nearly three months after the Oklahoma City firm announced its $58 billion merger with Coterra Energy.
Details of the progress of its moving of its headquarters to Houston, Texas might also be revealed by executives when they hold a conference call on Wednesday morning at 10 a.m. Central Time.
The earnings report will come late in the day following the close of markets. The company scored earnings of $562 million or 90-cents per share in the fourth quarter. However, adjusting for items typically excluded from estimates, the core earnings were $510 million and 82 cents a share.
Houston headquarters
The Oklahoma City-based company, known for its iconic 50-story Devon Tower, had $1.5 billion in fourth quarter cash flow and finished the quarter with $1.4 billion cash balance. Its announcement to move headquarters but not the majority of its workforce to Houston stunned Oklahoma City and even surprised state leaders.
Devon and Coterra explained their merger created a leading large-cap shale operator with a high-quality asset base anchored by a premier position in the core of the Delaware Basin. Investors and others should learn more Tuesday about the size of the new company’s operation. In the fourth quarter, Devon operated 19 drilling rigs and had 4 completion crews.
It also expected at least a 1% reduction in its first quarter production, blaming the “severe winter weather. Production is expected to be between an average 823,000 to 843,000 barrels of oil equivalent a day with cap-ex of $900 million.
The new company, still to bear the name of Devon Energy, has an 11-member board of directors including six from Devon and five from Coterra.