Civitas Resources, Inc (NYSE:CIVI) Q2 2023 Earnings Conference Call August 3, 2023 10:00 AM ET

Company Participants

John Wren - Investor Relations

Chris Doyle - Chief Executive Officer

Marianella Foschi - Chief Financial Officer

Hodge Walker - Chief Operating Officer

Brian Cain - Chief Sustainability Officer

Conference Call Participants

Neal Dingmann - Truist Securities

Phillips Johnston - Capital One

Leo Mariani - ROTH MKM

Nicholas Pope - Seaport Research

Operator

Good morning, ladies and gentlemen. Thank you for standing by. My name is Erica and I will be the conference operator today. At this time, I would like to welcome everyone to the Civitas Resources Second Quarter 2023 Earnings Conference Call. [Operator Instructions] At this time, I’ll be turning over everything to John Wren. Go ahead, John.

John Wren

Thanks, operator, and good morning, everyone and thanks for joining us this morning. I am joined today by our CEO, Chris Doyle; CFO, Marianella Foschi; COO, Hodge Walker; and Brian Cain, our Chief Sustainability Officer. I hope you have reviewed our earnings release, 10-Q and slide deck, all of which are available on our website. We will make forward-looking statements, which are subject to risks and uncertainties that could cause actual results to differ materially from our projections. Please read our full disclosures regarding forward-looking statements in our 10-Q and other SEC filings.

We may also refer to certain non-GAAP financial metrics. Reconciliations to certain non-GAAP metrics can be found in yesterday’s release and our SEC filings. After Chris’ brief prepared remarks, we will all be available to take your questions. [Operator Instructions] I’ll now turn the call over to Chris.

Chris Doyle

Thanks, John. Good morning, everyone. We’ve been extremely busy year-to-date and certainly this quarter, in particular, capturing and now closing two transformative deals in the Permian, while continuing to deliver on our DJ business. You can see that our second quarter financial and operating results are very strong and top consensus estimates for both production and cash flow. In addition, we’re managing our investment and activity levels with capital expenditures under expectations for the quarter and allowing us to reallocate some of our capital savings to value-adding projects in Colorado.

Our teams are laser-focused on continuing to build upon our track record of delivering on our promises. Our results continue to prove that an E&P company with high-quality assets can return cash to shareholders through commodity cycles while also maintaining a strong balance sheet. Inclusive of our dividend payment next month, Civitas will return more than $800 million year-to-date to our shareholders, one of the highest dividend yields alongside an active stock repurchase program.