Q: Meg Energy recently reported. Your thoughts on this most recent quarter results. As always, thanks
Robert
Robert
5i Research Answer:
Oil production rose 28% to 85,974 b/d, about 1,000 b/d above forecast. Cash flow per share was 96c vs $1.52 last year, as prices were much lower. EPS of 47c beat estimates of 42c Revenue of $1.29B fell 18% but was ahead of estimates ($1.05). Bitumen production forecast (105,000 b/d) was at the lower end of prior guidance. MEG noted that it intends to meet its debt target in mid 2024, and when it does expects to return 100% of cash flow to shareholders. With this news, and at only 11X earnings, things look good at MEG.