Discover the energy stocks with the biggest stock buybacks last quarter, Q1 2023
Buybacks
June 25, 2023
Gulfport Energy Corporation (GPOR) recently announced its financial results for the fourth quarter of 2022 and shared its outlook for 2023. Gulfport Energy reported strong net income of $748.6 million and adjusted EBITDA of $155.9 million for the fourth quarter. It generated significant cash flow and free cash flow, amounting to $188.0 million and $33.2 million, respectively. In addition, Gulfport repurchased 206 thousand shares of common stock for $13.6 million, bringing the total number of shares repurchased since the inception of the program to 3.1 million shares for $264.4 million. Gulfport Energy also expanded its common stock repurchase program from $300 million to $400 million. These buybacks indicate Gulfport's commitment to returning capital to its shareholders while maintaining a strong balance sheet. The authorization for the stock buyback can be attributed to Gulfport Energy's successful financial performance, strong cash flow generation, and the confidence it has in its future prospects. Gulfport's CEO, John Reinhart, emphasized Gulfport Energy's focus on improving margins and generating free cash flow in 2023, with a continued commitment to returning capital to shareholders through share repurchases.
Select Energy Services, Inc. has authorized a new $50 million share repurchase program, in addition to the remaining $8.6 million under the previous authorization. The combined outstanding repurchase authorization represents nearly ten percent of Select's outstanding Class A common stock. The decision to authorize the stock buyback is part of Select's disciplined capital allocation strategy, aimed at enhancing shareholder value. Select believes that returning capital to shareholders, based on positive earnings and free cash flow, is crucial. With a strong focus on maintaining a robust balance sheet, Select expects significant growth in revenue, EBITDA, and net income in 2023, driven by organic development, strategic acquisitions, and investments. The repurchase program will be funded through working capital, cash flow from operations, and borrowings.
Helix Energy Solutions Group, Inc. has recently announced that its Board of Directors has authorized a stock buyback program, allowing for the repurchase of up to $200 million worth of Helix's issued and outstanding shares. The decision to authorize this buyback is attributed to t Helix's strong balance sheet, ample liquidity, and a robust offshore services market recovery. Owen Kratz, President and Chief Executive Officer of Helix, believes that this program will effectively deploy cash to shareholders, increase shareholder value, and maintain sufficient cash and liquidity for operations and investment opportunities. The repurchases may occur through open market purchases, privately negotiated transactions, or established plans, instructions, or contracts, with the management making decisions based on market conditions, stock prices, and other relevant factors. It's important to note that the program does not impose any obligations on Helix to acquire a specific amount of common stock and can be modified or superseded as necessary.
Alliance Resource Partners, L.P. reported impressive financial results for the fourth quarter and full year of 2022, showcasing substantial growth in revenue, net income, and EBITDA compared to the previous year. Alliance Resource Partners achieved its highest reported EBITDA and operating cash flow in its 23-year history, driven by increased sales volumes and higher price realizations in its coal operations and royalty segments. With a strong balance sheet and focus on cash flow generation, ARLP authorized a stock buyback of up to $100.0 million, demonstrating its commitment to returning capital to its unitholders. The buyback authorization was supported by Alliance Resource Partners’ positive outlook, including approximately 94% of expected 2023 coal sales volumes being committed and priced above 2022 levels. This news, along with the successful refinancing of its revolving credit facility and recent mineral acquisitions, contributed to the decision to authorize the stock buyback. ARLP continues to position itself for growth opportunities in the market and aims to achieve even stronger results in 2023.
Talos Energy Inc. recently authorized a $100 million share repurchase program, marking its first approval for such buybacks since its inception. Talos's President and CEO, Timothy S. Duncan, explained that the decision stemmed from the belief that Talos’ stock has been undervalued for a significant period. Recognizing the buying opportunity created by this discount, Talos has revised its capital allocation framework and greenlit a substantial share repurchase authorization. Talos remains optimistic about its business outlook and the catalysts driving its stock. The timing and extent of the repurchases will be contingent upon market conditions, contractual limitations, and other factors, while the program itself can be modified, suspended, or discontinued at any time, without a set obligation to repurchase a specific dollar amount or number of shares.
BP, the British energy giant, reported record annual profits of $27.7 billion for 2022, more than doubling the previous year's total. These impressive earnings were driven by soaring fossil fuel prices following Russia's invasion of Ukraine. In response to their strong financial performance, BP authorized a $2.75 billion share buyback and increased their dividend by 10%. CEO Bernard Looney highlighted BP's operational reliability and low production costs, along with their commitment to both the energy transition and oil and gas investments. The buyback and dividend increase were supported by BP's reduced net debt of $21.4 billion in the fourth quarter. BP's results align with the profit bonanza seen across the oil and gas industry, raising concerns and calls for higher taxes amidst a climate of growing environmental consciousness. BP's own focus on transitioning to net zero emissions by 2050 or sooner and their prediction of a diminishing role for oil and gas in the global energy mix underscore their long-term strategic goals.
California Resources Corporation , an independent oil and natural gas company committed to energy transition, has reported strong operational and financial results for the fourth quarter and full year of 2022. With a positive outlook on 2023 free cash flow generation, CRC has authorized a $250 million increase in its Share Repurchase Program, bringing the total to $1.1 billion. This decision reflects California Resources’ confidence in its future cash flow and its commitment to delivering value to shareholders. Additionally, CRC has made significant progress in its Carbon Management Business, signing carbon dioxide management agreements and forming a consortium to create California's first Direct Air Capture (DAC) Hub. These developments reinforce CRC's dedication to California's energy transition and align with its goal of maximizing cash flow per share.
Oil States International, Inc. reported positive financial results for the fourth quarter of 2022, with net income of $2.9 million and revenues of $202.4 million. Oil States International experienced growth in its Offshore/Manufactured Products segment, with revenues increasing by 9% sequentially and backlog reaching $308 million. The Well Site Services segment also saw a revenue increase of 12%, driven by higher U.S. completion and production activity. However, the Downhole Technologies segment faced challenges, resulting in a decline in revenues and Adjusted Segment EBITDA. Despite these fluctuations, Oil States International remains optimistic about the future, with strong bidding and quoting activity for major offshore projects and a positive industry outlook. In light of their financial position and outlook, Oil States International's Board of Directors authorized a stock buyback program of $25.0 million, extending through February 2025, to focus on returning capital to stockholders. This move reflects their confidence in Oil States International's performance and commitment to delivering value to shareholders. Oil States International's recent advancements in technology, such as their deepsea mineral riser system and offshore wind installation prototype, have also garnered recognition, further highlighting their innovative approach in the industry.
All data was sourced from LevelFields AI
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