Murphy Oil Corporation (NYSE: MUR) reported first quarter 2026 production of 174,200 barrels of oil equivalent per day, exceeding the high end of its guidance range of 172,000 BOEPD. The company realized oil prices of $72.28 per barrel, representing a 22% quarter-over-quarter increase driven by geopolitical events, according to a stockholder letter released Monday.

Net income for the quarter reached $53.0 million, with adjusted EBITDA of $382.9 million and operating cash flow excluding working capital adjustments of $429.2 million. The Houston-based energy company's oil production averaged 87,200 barrels per day, also surpassing guidance of 83,500 BOPD.

The company brought online 15 wells in the Eagle Ford Shale during the quarter, including 12 in Karnes and three in Catarina. These wells delivered 17% cumulative oil outperformance versus the 2025 type curve over the first 60 days. In Canada, Murphy brought online four Kaybob Duvernay wells after quarter end.

Capital expenditures totaled $465 million, below the guidance midpoint of $540 million, primarily due to phasing of exploration and appraisal costs to later in 2026. Operating expenses averaged $8.70 per barrel of oil equivalent, lower than the typical range of $10 to $12 per BOE.

Murphy spud its Chinook #8 development well in the Gulf of America and expects to bring it online in the second half of the year. At the Lac Da Vang development project in Vietnam, development drilling continues on schedule with first production planned for the fourth quarter.

The company distributed $50 million in dividends during the quarter and maintains $550 million remaining under its board-authorized share repurchase program. Total debt stood at $1.55 billion with net debt of $1.17 billion at quarter end.

Murphy expects production to decline slightly in the second quarter due to well timing but remains on track to meet full-year production guidance.