TALO Earnings Prediction
The chart below shows how TALO performed 10 days before and after its earnings report, based on data from the past quarters. Typically, TALO sees a +1.51% change in stock price 10 days leading up to the earnings, and a -0.19% change 10 days following the report. On the earnings day itself, the stock moves by -1.73%. This data can give you a slight idea of what to expect for the next quarter's release.
TALO Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
509.29M
32.93%
-7.26%
Gross Margin
14.03%
-53.51%
-41.76%
Operating Margin
6.93%
-68.28%
-58.50%
Net Margin
17.31%
3247.27%
669.33%
EPS
0.49
2550.00%
600.00%
No Data Available
TALO Earnings Analysis
Talos Energy, Inc. Common Stock Corporation (TALO.N) Earnings Conference Call
Positive
Record Oil Production: 1. Record Production: Talos achieved record production of 96,500 barrels of oil equivalent per day, with 70% being oil, despite facing disruptions from hurricanes.
EBITDA Performance Highlights: 2. Strong EBITDA Performance: The company reported EBITDA of $324 million, reflecting a robust EBITDA netback margin of approximately $37 per Boe, ranking in the top quartile among public E&P companies.
Free Cash Flow Achievement: 3. Positive Free Cash Flow: Talos generated positive free cash flow of $122 million during the quarter, contributing to a total of $347 million for the year-to-date.
Debt Reduction Success: 4. Debt Reduction Achievement: The company successfully paid down $100 million of debt, achieving a leverage ratio of 0.9, ahead of its target of 1 or below.
Resource Discovery Potential: 5. Significant Resource Potential: The Ewing Bank 953 discovery logged approximately 127 feet of net pay, with an estimated recoverable resource potential of 15 to 25 million barrels of oil equivalent, expected to lead to production flow rates of 8,000 to 10,000 barrels of oil equivalent.
Negative
Internal Control Deficiencies: 1. Internal Control Weaknesses: The company identified two material weaknesses in its internal control environment, which could impact operational efficiency and financial reporting integrity.
Leadership Instability Concerns: 2. CEO Transition Uncertainty: The ongoing search for a new CEO indicates potential instability in leadership, which may affect strategic direction and investor confidence.
Storm-Related Operational Challenges: 3. Hurricane Disruptions: The company faced multiple named storms, leading to production shut-ins and operational challenges, although specific financial impacts were not quantified.
High Debt Concerns: 4. Debt Levels: Despite paying down $100 million of debt, the total debt remains high at $1.375 billion, which could pose risks in a volatile market environment.
M&A Regulatory Uncertainty: 5. Regulatory Challenges: The financial assurance plan introduced by the Biden administration has created uncertainty in M&A activity, potentially limiting growth opportunities for the company.
TALO FAQs
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TALO Earning Call Sentiment
Talos Energy Inc. (TALO) Q3 2024 Earnings Call Transcript
1.0x
00:00
00:00
TALO.N
-3.84%Positive
The earnings call highlights strong financial performance, including significant free cash flow and debt reduction, which are positive indicators. The Q&A section reveals some operational risks due to hurricanes and internal control weaknesses, but management's confidence in production guidance and strategic focus on debt repayment and shareholder returns are reassuring. The market cap suggests moderate volatility, and the positive elements outweigh the risks, leading to a likely stock price increase in the 2% to 8% range.
