Diamondback Energy, Inc. Files 10-Q for Q1 2024

TL;DR

<b>Diamondback Energy filed its Q1 2024 10-Q, detailing financial performance and operational data for the period ending March 31, 2024.</b>

AI Summary

Diamondback Energy, Inc. (FANG) filed a Quarterly Report (10-Q) with the SEC on May 2, 2024. Diamondback Energy reported financial results for the first quarter ended March 31, 2024. The filing covers the period from January 1, 2024, to March 31, 2024. Key financial statement elements such as Common Stock, Additional Paid-In Capital, Retained Earnings, Accumulated Other Comprehensive Income, and Noncontrolling Interest are detailed as of March 31, 2024, and compared to prior periods. Production data for Oil, Natural Gas, and Natural Gas Liquids are included for Q1 2024 and Q1 2023. Information on Oil Purchased and Natural Gas Gathering, Transportation, Marketing, and Processing is provided for Q1 2024 and Q1 2023.

Why It Matters

For investors and stakeholders tracking Diamondback Energy, Inc., this filing contains several important signals. This 10-Q filing provides investors with the latest financial snapshot of Diamondback Energy's performance in the first quarter of 2024, crucial for assessing operational health and strategic direction. The detailed breakdown of production volumes and financial statement components allows for a direct comparison with previous periods, enabling analysis of trends in revenue, costs, and profitability within the oil and gas sector.

Risk Assessment

Risk Level: medium — Diamondback Energy, Inc. shows moderate risk based on this filing. The filing is a standard quarterly report (10-Q) which typically contains detailed financial information but does not usually include significant new strategic announcements or forward-looking guidance that would drastically alter risk perception.

Analyst Insight

Review the detailed financial statements and production figures in this 10-Q to understand Diamondback Energy's operational performance and financial position in Q1 2024.

Key Numbers

• 2024-03-31 — Period End Date (Quarterly report period)
• 2024-01-01 — Period Start Date (Quarterly report period)
• 2023-03-31 — Prior Year Q1 End Date (Comparative period)
• 2023-01-01 — Prior Year Q1 Start Date (Comparative period)

Key Players & Entities

• Diamondback Energy, Inc. (company) — Filer name
• 2024-05-02 (date) — Filing date
• 2024-03-31 (date) — Period of report
• MIDLAND (location) — Business address city
• TX (location) — Business address state
• 0001539838 (company) — Central Index Key
• 1311 (industry) — Standard Industrial Classification
• 001-35700 (filing) — SEC File Number

FAQ

Industry Context

Diamondback Energy operates in the crude petroleum and natural gas industry, focusing on oil exploration and production.

Regulatory Implications

The filing is made under the Securities Exchange Act of 1934, requiring public companies to submit regular financial disclosures.

What Investors Should Do

1. Analyze the detailed financial statements for Q1 2024, paying attention to revenue, costs, and net income.
2. Compare production volumes for oil, natural gas, and NGLs between Q1 2024 and Q1 2023 to identify trends.
3. Review any disclosures related to debt, equity, and cash positions to assess the company's financial health.

Key Dates

• 2024-05-02: 10-Q Filing — Submission of the quarterly report for the period ending March 31, 2024.

Year-Over-Year Comparison

This filing represents the first quarterly report for 2024, providing updated financial and operational data compared to the previous year's Q1 and the end of 2023.

Filing Documents

• fang-20240331.htm (10-Q) — 1742KB
• q12024diamondback10-qxex311.htm (EX-31.1) — 9KB
• q12024diamondback10-qxex312.htm (EX-31.2) — 9KB
• q12024diamondback10-qxex321.htm (EX-32.1) — 5KB
• q12024diamondback10-qxex322.htm (EX-32.2) — 5KB
• 0001539838-24-000094.txt (&nbsp;) — 9676KB
• fang-20240331.xsd (EX-101.SCH) — 69KB
• fang-20240331_cal.xml (EX-101.CAL) — 80KB
• fang-20240331_def.xml (EX-101.DEF) — 409KB
• fang-20240331_lab.xml (EX-101.LAB) — 786KB
• fang-20240331_pre.xml (EX-101.PRE) — 611KB
• fang-20240331_htm.xml (XML) — 1532KB

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

Condensed Consolidated Financial Statements (Unaudited)

Item 1. Condensed Consolidated Financial Statements (Unaudited) 1 Condensed Consolidated Balance Sheets 1 Condensed Consolidated Statements of Operations 2 Condensed Consolidated Statements of Stockholders' Equity 3 Condensed Consolidated Statements of Cash Flows 4 Condensed Notes to Consolidated Financial Statements 5

Management's Discussion and Analysis of Financial Condition and Results of Operations

Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 26

Quantitative and Qualitative Disclosures About Market Risk

Item 3. Quantitative and Qualitative Disclosures About Market Risk 42

Controls and Procedures

Item 4. Controls and Procedures 43

OTHER INFORMATION

PART II. OTHER INFORMATION

Legal Proceedings

Item 1. Legal Proceedings 44

Risk Factors

Item 1A. Risk Factors 44

Unregistered Sales of Equity Securities and Use of Proceeds

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 44

Other Information

Item 5. Other Information 44

Exhibits

Item 6. Exhibits 45

Signatures

Signatures 46 i Table of Contents GLOSSARY OF OIL AND NATURAL GAS TERMS The following is a glossary of certain oil and natural gas industry terms that are used in this Quarterly Report on Form 10-Q (this "report"): Argus WTI Houston Grade of oil that serves as a benchmark price for oil at Houston, Texas. Argus WTI Midland Grade of oil that serves as a benchmark price for oil at Midland, Texas. Basin A large depression on the earth's surface in which sediments accumulate. Bbl or barrel One stock tank barrel, or 42 U.S. gallons liquid volume, used in this report in reference to crude oil or other liquid hydrocarbons. BO One barrel of crude oil. BO/d One BO per day. BOE One barrel of oil equivalent, with six thousand cubic feet of natural gas being equivalent to one barrel of oil. BOE/d BOE per day. Brent A major trading classification of light sweet oil that serves as a benchmark price for oil worldwide. British Thermal Unit or Btu The quantity of heat required to raise the temperature of one pound of water by one degree Fahrenheit. Completion The process of treating a drilled well followed by the installation of permanent equipment for the production of natural gas or oil, or in the case of a dry hole, the reporting of abandonment to the appropriate agency. Gross acres or gross wells The total acres or wells, as the case may be, in which a working interest is owned. Henry Hub Natural gas gathering point that serves as a benchmark price for natural gas futures on the NYMEX. Horizontal wells Wells drilled directionally horizontal to allow for development of structures not reachable through traditional vertical drilling mechanisms. MBbl One thousand barrels of crude oil and other liquid hydrocarbons. MBOE One thousand BOE. MBOE/d One thousand BOE per day. Mcf One thousand cubic feet of natural gas. Mineral interests The interests in ownership of the resource and mineral rights, giving an owner the right to profit from the extracted reso

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

ITEM 1. CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) Diamondback Energy, Inc. and Subsidiaries Condensed Consolidated Balance Sheets (Unaudited) March 31, December 31, 2024 2023 (In millions, except par values and share data) Assets Current assets: Cash and cash equivalents $ 896 $ 582 Restricted cash 3 3 Accounts receivable: Joint interest and other, net 208 192 Oil and natural gas sales, net ($ 132 million and $ 109 million related to Viper) 734 654 Income tax receivable — 1 Inventories 57 63 Derivative instruments 7 17 Prepaid expenses and other current assets 43 109 Total current assets 1,948 1,621 Property and equipment: Oil and natural gas properties, full cost method of accounting ($ 8,455 million and $ 8,659 million excluded from amortization at March 31, 2024 and December 31, 2023, respectively) ($ 4,649 million and $ 4,629 million and $ 1,719 million and $ 1,769 million excluded from amortization related to Viper) 43,240 42,430 Other property, equipment and land 675 673 Accumulated depletion, depreciation, amortization and impairment ($ 913 million and $ 866 million related to Viper) ( 16,891 ) ( 16,429 ) Property and equipment, net 27,024 26,674 Equity method investments 529 529 Derivative instruments 7 1 Deferred income taxes, net 61 45 Investment in real estate, net 83 84 Other assets 38 47 Total assets $ 29,690 $ 29,001 Liabilities and Stockholders' Equity Current liabilities: Accounts payable - trade $ 243 $ 261 Accrued capital expenditures 570 493 Other accrued liabilities 337 475 Revenues and royalties payable 732 764 Derivative instruments 102 86 Income taxes payable 134 29 Total current liabilities 2,118 2,108 Long-term debt ($ 1,094 million and $ 1,083 million related to Viper) 6,629 6,641 Derivative instruments 144 122 Asset retirement obligations 266 239 Deferred income taxes 2,502 2,449 Other long-term liabilities 12 12 Total liabilities 11,671 11,571 Commitments and contingencies