Callon Petroleum Company (NYSE:CPE) Q3 2023 Results Conference Call November 2, 2023 9:00 AM ET

Company Participants

Kevin Haggard - CFO

Joe Gatto - CEO

Russell Parker - COO

Conference Call Participants

Neal Dingmann - Truist Securities

Zach Parham - JPMorgan

Oliver Huang - TPH

Derrick Whitfield - Stifel

Scott Hanold - RBC Capital Markets

Paul Diamond - Citi

Gabe Daoud - Cowen and Company

Operator

Ladies and gentlemen, thank you for standing by. Welcome to Callon Petroleum’s Third Quarter Earnings Conference Call. [Operator Instructions] Just as a reminder, today’s conference call is being recorded. [Operator Instructions]

I would now like to turn the call over to Callon’s CFO, Kevin Haggard. Please go ahead, sir.

Kevin Haggard

Thanks, operator, and good morning, everyone. Apologies. We had a little hiccup with the link to the webcast. I think we’re now all in, and there will be a recording afterwards. So we appreciate your interest in Callon.

With me today are our CEO, Joe Gatto; and our COO, Russell Parker. We will happily take your questions at the end of our prepared remarks. We will reference our third quarter earnings release and supplemental slides, which are available on our website under the Investors tab.

Today’s call will also include forward-looking statements that refer to estimates and plans. Actual results could differ materially due to risk factors noted in our presentation and SEC filings. We will also refer to some non-GAAP financial measures, which we believe help facilitate comparisons across periods and with our peers. For any non-GAAP measures referenced, we provide a reconciliation to the nearest corresponding GAAP measure in the appendix to our slide deck and our earnings press release, both of which are available on our website.

With that, I will now turn the call over to Joe.

Joe Gatto

Thank you, Kevin. Good morning, everyone. Cowen posted solid results for the third quarter, marking our 14th consecutive quarter of adjusted free cash flow generation, cash flow that we are using to reduce debt and repurchase our shares. Our corporate priorities are clear. We are focused on maximizing free cash flow, aggressively driving down our cost structure, reducing absolute debt and returning cash to owners through our share buyback program.

I’ll divide today’s call into 3 segments. First, I’ll summarize third quarter financial and operating results. Overall, it was a good quarter with total production and key operating costs in line with expectations and capital investments below guidance. However, we did experience some headwinds related to our near-term oil production, which I will address shortly.