Diamondback Energy Files 8-K on Financials

TL;DR

DBK filed an 8-K on July 11th detailing financial and operational results.

AI Summary

Diamondback Energy, Inc. filed an 8-K on July 11, 2024, to report results of operations and financial condition. The filing provides updated information regarding the company's financial performance and operational status as of July 11, 2024.

Why It Matters

This filing provides crucial updates on Diamondback Energy's financial health and operational performance, which can influence investor decisions and market perception.

Risk Assessment

Risk Level: low — This is a routine filing reporting financial and operational results, not indicating any immediate new risks.

Key Players & Entities

• Diamondback Energy, Inc. (company) — Registrant
• July 11, 2024 (date) — Date of report
• 500 West Texas Ave. Suite 100 Midland, TX 79701 (address) — Principal executive offices

FAQ

Key Financial Figures

• $79.51 — 4 average unhedged realized prices were $79.51 per barrel of oil, $0.10 per Mcf of nat
• $0.10 — d prices were $79.51 per barrel of oil, $0.10 per Mcf of natural gas and $17.97 per b
• $17.97 — f oil, $0.10 per Mcf of natural gas and $17.97 per barrel of natural gas liquids ("NGL
• $78.55 — 024 average realized hedged prices were $78.55 per barrel of oil, $1.03 per Mcf of nat
• $1.03 — d prices were $78.55 per barrel of oil, $1.03 per Mcf of natural gas and $17.97 per b
• $28 million — ttlements for derivative instruments of $28 million and a net gain on non-cash derivative i
• $46 million — n on non-cash derivative instruments of $46 million as detailed in the table below (in mill

Filing Documents

• fang-20240711.htm (8-K) — 54KB
• 0001539838-24-000144.txt ( ) — 210KB
• fang-20240711.xsd (EX-101.SCH) — 2KB
• fang-20240711_def.xml (EX-101.DEF) — 15KB
• fang-20240711_lab.xml (EX-101.LAB) — 26KB
• fang-20240711_pre.xml (EX-101.PRE) — 15KB
• fang-20240711_htm.xml (XML) — 3KB

02. Results of Operations and Financial Condition

Item 2.02. Results of Operations and Financial Condition. Diamondback Energy, Inc. ("Diamondback") presents in this Item 2.02 certain information for the quarter ended June 30, 2024 regarding its derivative activity, realized prices, and weighted average basic and diluted shares outstanding. Realized Prices Second quarter 2024 average unhedged realized prices were $79.51 per barrel of oil, $0.10 per Mcf of natural gas and $17.97 per barrel of natural gas liquids ("NGLs"). Second quarter 2024 average realized hedged prices were $78.55 per barrel of oil, $1.03 per Mcf of natural gas and $17.97 per barrel of NGLs. Average Prices: Oil ($ per Bbl) $ 79.51 Natural gas ($ per Mcf) $ 0.10 Natural gas liquids ($ per Bbl) $ 17.97 Oil, hedged ($ per Bbl) (1) $ 78.55 Natural gas, hedged ($ per Mcf) (1) $ 1.03 Natural gas liquids, hedged ($ per Bbl) (1) $ 17.97 (1) Hedged prices reflect the effect of our commodity derivative transactions on our average sales prices and include gains and losses on cash settlements for matured commodity derivatives, which we do not designate for hedge accounting. Hedged prices exclude gains or losses resulting from the early settlement of commodity derivative contracts. Derivative Activity For the second quarter of 2024, Diamondback anticipates a net loss on cash settlements for derivative instruments of $28 million and a net gain on non-cash derivative instruments of $46 million as detailed in the table below (in millions): Gain (loss) on derivative instruments, net: Commodity contracts $ 54 Interest rate swaps (11) Treasury locks (1) (25) Total $ 18 Net cash received (paid) on settlements: Commodity contracts $ 24 Interest rate swaps (27) Treasury locks (1) (25) Total $ (28) (1) Loss on 30 year treasury locks executed prior to, and fully settled upon, pricing of the senior notes issued in April 2024. Diamondback plans to exclude the loss on treasury locks from its second quarter return of capital calcula

Forward-Looking Statements

Forward-Looking Statements This report contains "forward-looking statements" within the meaning of Section 27A of the Securities Act and Section 21E of the Exchange Act, which involve risks, uncertainties, and assumptions. All statements, other than statements of historical fact, including statements regarding Diamondback's: future performance; business strategy; future operations (including drilling plans and capital plans); estimates and projections of revenues, losses, costs, expenses, returns, cash flow, and financial position; reserve estimates and its ability to replace or increase reserves; anticipated benefits of strategic transactions (including acquisitions and divestitures); and plans and objectives of management (including plans for future cash flow from operations and for executing environmental strategies) are forward-looking statements. When used in this report, the words "aim," "anticipate," "believe," "continue," "could," "estimate," "expect," "forecast," "future," "guidance," "intend," "may," "model," "outlook," "plan," "positioned," "potential," "predict," "project," "seek," "should," "target," "will," "would," and similar expressions (including the negative of such terms) as they relate to Diamondback are intended to identify forward-looking statements, although not all forward-looking statements contain such identifying words. In particular, the factors discussed in our Annual Report on Form 10-K for the year ended December 31, 2023 and in subsequent filings we have made with the SEC could affect our actual results and cause our actual results to differ materially from expectations, estimates or assumptions expressed, forecasted or implied in such forward-looking statements. Unless the context requires otherwise, references to "we," "us," "our" or the "Company" are intended to mean the business and operations of Diamondback and its consolidated subsidiaries. Factors that could cause our outcomes to differ materially include (but are not limi