COP -- 2Q22

Link here. And, here. And, here.

Transcript here.

Profit pops past $5 billion; hikes planned return of capital by $5 billion. 

Beats:

• EPS: $3.91; beats by 6 cents
• increases $5 billion buyback
• declares dividend: 46 cents; in line with previous; forward yield: 2.1%;
• payable September 1, 2022
• also, a VROC of $1.40 / share 
• payable October 14; record date: September 29, 2022 
• VROC: variable return of cash

From Michael Fitzsimmons at SeekingAlpha:

• After two sizeable acquisitions in the Permian Basin last year, more than half of ConocoPhillips' production now comes from its Lower 48 shale acreage.
• However, COP also has significant production coming from Alaska, Australian & Qatari LNG, and Libya (just to name a few) - all of which realize Brent-based pricing.
• Brent oil typically trades at a premium to WTI. Indeed, at pixel time, that premium is ~$5.81/bbl. And that is the advantage COP has over its pure-play US shale peers.
• That advantage was on full-display during Q2 - at least from a realized price perspective.
• However, ConocoPhillips has the potential to become a much more efficient organization when it comes to free-cash-flow generation.