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What to Expect from Oasis Petroleum’s Q2 2018 Earnings

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OAS’s Q2 2018 revenue estimates

Oasis Petroleum (OAS) is expected to release its second-quarter earnings on August 1, 2018, after the markets close. For the second quarter, analysts’ revenue estimate for Oasis Petroleum is ~$387.67 million versus $254.10 million reported in the second quarter of 2017.

Revenues are expected to rise on an annual basis likely because of higher expected production in the second quarter compared to the second quarter of 2017. Higher expected crude oil price realizations in the second quarter could also explain the high revenue forecast. Crude oil accounted for 76.4% of Oasis Petroleum’s total production in the first quarter.

The above graph shows that Oasis Petroleum’s revenues beat estimates in the previous four quarters. Keep visiting Market Realist to see how things pan out for the upstream company in the second quarter.

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Oasis Petroleum’s Q2 2018 EPS estimates

Oasis Petroleum’s second-quarter earnings per share estimate is $0.07. Its 2017 second-quarter loss per share was $0.05. Like revenues, Oasis Petroleum’s earnings are expected to improve annually. Higher revenues explain the expected year-over-year rise in earnings.

Peer comparison

In comparison, peers Apache (APA), Cimarex Energy (XEC), Concho Resources (CXO), and Newfield Exploration (NFX) are expected to report second-quarter earnings per share of $0.40, $1.62, $0.93, and $0.81, respectively, compared to earnings per share of -$0.21, $1.06, $0.52, and $0.43, respectively, reported in the second quarter of 2017.

Key management comments

In the first quarter earnings release, Thomas Nusz, Oasis’s chair and CEO, commented, “Our strong start to the year enables the company to stand by its projection of being free cash flow positive on our E&P business for the year, while continuing to grow volumes 15% to 20% year over year.”

We’ll talk about Oasis’s production expectations in more detail in the next part of the series.

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