Magnolia Oil & Gas (MGY) Q3 2026 earnings summary

Executive summary

• Q3 production was 117,286 boe/d, up 17% YoY, including oil production of 49,082 b/d, up 24%.

• Adjusted EBITDAX was $392.0M and adjusted free cash flow was $223.7M; $103.3M was returned to shareholders.

• WildFire closed September 10; Q3 included only a partial ownership period, and integration was progressing to plan.

Financial highlights

• Revenue was $513.9M versus $324.9M YoY; operating income was $154.6M versus $101.5M.

• Adjusted net income was $166.3M, or $0.71 per diluted share, up 114% YoY; GAAP net income was $80.5M versus $78.2M and diluted EPS was $0.35 versus $0.40.

• Adjusted EBITDAX was $392.0M, up 79% YoY; D&C capital spending was $147.4M, or 38% of adjusted EBITDAX.

• Adjusted free cash flow was $223.7M versus $133.9M; operating cash flow was $369.0M.

• Adjusted operating income margin was 43%, versus 31% YoY; adjusted cash operating margin was $28.86/boe versus $23.78/boe.

Outlook and guidance

• Q4 production guidance is 159,000–161,000 boe/d, with 49%–50% oil; D&C spending is estimated at $235M.

• FY27 oil and total production are each forecast to grow 4%–5% from Q2 2026 pro forma bases of ~78,000 b/d and 158,000 boe/d; D&C spending is $900M–$950M.

• FY27 activity is planned at ~65% Austin Chalk and 35% Eagle Ford, with four rigs and two completion crews.

• At least one-third of more than $100M in annual run-rate WildFire synergies is expected by year-end 2026, and more than three-quarters by mid-2027.

• Spending priorities include D&C capital at no more than 55% of adjusted EBITDAX, moderate volume growth and low financial leverage.