Analyzing Pioneer Natural Resources’ 2Q16 Earnings

Pioneer Natural Resources beats 2Q16 EPS estimates

Pioneer Natural Resources (PXD) announced its 2Q16 earnings on July 27, 2016, after the market close. Pioneer Natural Resources reported an adjusted loss of $0.22 per share, $0.12 better than the Wall Street analyst consensus for a loss of $0.34 per share.

PXD’s 2Q16 EPS (earnings per share) is lower by $0.32 per share when compared with its 2Q15 profit of $0.10 per share. But when compared sequentially with 1Q16, PXD’s 2Q16 EPS is higher by $0.42 per share.

Analyzing Pioneer Natural Resources’ 2Q16 Earnings

Pioneer Natural Resources’ 2Q16 revenues beat estimates

For 2Q16, PXD reported adjusted revenues of ~$745 million, ~2% better than Wall Street analyst consensus for revenues of ~$729 million. PXD’s 2Q16 revenues are almost the same when compared with 2Q15 revenues of ~$746 million. When compared sequentially with 1Q16, PXD’s 2Q16 revenues are higher by ~19%.

Pioneer Natural Resources’ earnings trend

As seen in the above chart, Pioneer Natural Resources reported much lower earnings in 2015 due to lower realized crude oil (USO) (UWTI) (DWTI) and natural gas (UNG) (BOIL) prices. In 1Q15, PXD saw its adjusted earnings turn negative for the first time since 2009.

Since 2013, PXD has surpassed earnings expectations ~71% of the time. Other upstream players like WPX Energy (WPX), Marathon Oil (MRO), and EOG Resources (EOG) have exceeded earnings expectations ~38%, ~54%, and ~92% of the time, respectively, since 2013.

In this series

In this series, we’ll also look at Pioneer Natural Resources’ 2Q16 cash flows, its operational performance, Wall Street analyst ratings, Pioneer Natural Resources’ price forecasts using implied volatility, and how Pioneer Natural Resources’ stock price reacted to past earnings beats.

In the next article, we’ll take a look at how much cash Pioneer Natural Resources generated in 2Q16.