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Fortune 500

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BEST COMPANIES 2015  Devon Energy

<p class="p1">Devon Energy is an oil industry giant, bringing in revenues of $7.7 billion annually. Despite the company’s heft, employees describe a work environment that is friendly with an almost small-town feel. Workers are on a first-name basis with executives, and the company headquarters features an on-site gym and a medical facility that’s open to employees and their families. Employees are encouraged to volunteer, an example set by the CEO himself who plays an annual concert to raise money for children’s music lessons, and are rewarded for giving of their time. “The company values a good work-life balance and gives meaningful work to all of its employees,” said one worker. “I definitely feel that I can add value to the company every time I step into the building.” <a style="color:#ec412e;" href="http://us.greatrated.com/devon-energy" target="_blank">Read the Great Place to Work review.</a></p>

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Google tops the list once again, marking its eighth appearance and fifth time as No. 1.

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Devon Energy is an independent U.S. exploration and production company that extracts oil, natural gas, and natural gas liquids. The shale powerhouse is focused in five main areas: the Delaware Basin located in southeast New Mexico and west Texas, the Eagle Ford in south Texas, the Anadarko Basin in western Oklahoma, the Williston Basin in North Dakota, and the Powder River Basin in Wyoming. Devon was founded in 1971.

Q2 2026

Q1 2026

Q4 2025

Q3 2025

Q2 2025

Q1 2025

Q4 2024

Devon Energy (DVN): Company Profile, Stock Price, News, Rankings

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Devon Energy

devon energy

Welcome to Devon Energy's First Quarter twenty twenty five Conference Call. At this time, all participants are in listen only mode. This call is being recorded. I'd now like to turn the call over to Ms. Rosie Zuclich, Vice President of Investor Relations.

Good morning, and thank you for joining us on the call today. Last night, we issued Devon's first quarter earnings release and presentation materials. Throughout the call today, we will make references to these materials to support prepared remarks. The release and slides can be found in the Investors section of the Devon website. Joining me on the call today are Clay Gaspar, President and Chief Executive Officer Jeff Rittnauer, Chief Financial Officer John Raines, SVP, Asset Management Tom Hellman, SVP, E and P Operations and Trey Lowe, SVP, Technology and Chief Technology Officer.

As a reminder, this conference call will include forward looking statements as defined under U. S. Securities laws. These statements involve risks and uncertainties that may cause actual results to differ materially from our forecast. Please refer to the cautionary language and risk factors provided in our SEC filings and earnings materials.

With that, I'll turn the call over to Clay.

Thank you, Rosie. Good morning, everyone, and thank you for joining us. Devon delivered a very strong first quarter driven by a focus on operational excellence and financial discipline. Today, will share how we're accelerating our strategy to drive sustainable shareholder value. Our strategic priorities on slide three are clear: executing on our high quality portfolio through operational excellence maintaining financial strength, returning value to our shareholders, and cultivating a culture of success.

In a market characterized by dynamic headwinds, Devon stays focused first on what we can control. Leveraging Devon's fifty year history and an experienced leadership team prepared to handle the uncertainty of commodity price cycles, we remain confident in our value creation strategy. We're committed to our capital return framework underpinned by our high quality portfolio and our robust financial strength. With an investment grade balance sheet and a $45 corporate breakeven, we are well positioned to generate value even in a low price environment. With the recent changes in leadership across our organization and the resulting fresh perspectives, we believe that this is an opportune time for us to accelerate our business optimization efforts and deliver an additional $1,000,000,000 in annual free cash flow by year end '26.

This undertaking demonstrates the creativity, dedication and talent of our employees whose continued efforts advance Devon's success. We laid out our targets in our press release last month and look forward to providing additional details on today's call. Our initial expectation was for the material benefits to start to accrue in 2026. We now believe that we can pull forward some progress into this year and we're cutting 2025 full year capital by $100,000,000 while maintaining our productive capacity for the remainder of the year. Jeff will provide more details on this optimization plan later in our call.

In parallel with our business optimization efforts, we will continue to monitor the broader market dynamics and adjust our plans as needed to maintain our financial strength and deliver top tier returns for our shareholders. Now let's turn to slide four and discuss our quarterly results. Our first quarter results reflect consistent exceptional performance showcasing the strength of our diversified portfolio. Oil production exceeded the upper limit of our guidance range reaching an impressive 388,000 barrels per day. This achievement was largely attributed to stronger than anticipated base performance in the Rockies and outstanding early well results in the Eagle Ford.

From a capital perspective, we also delivered another solid quarter. Effective cost management and reduced infrastructure spending in the Delaware Basin allowed us to keep total capital below our guidance range. Overall, our production performance and capital discipline resulted in $1,000,000,000 of free cash flow generated in Q1. With this significant free cash flow, we returned nearly half to shareholders through dividends and share buybacks. We maintained a sharp focus on disciplined capital allocation, balancing high return investments with substantial dividends and share repurchases to create sustainable value for our shareholders.

Moving to slide five, the Delaware Basin continues to deliver exceptional performance driven by operational improvements year after year. The expanded implementation of Simulfrac across the asset has been a key contributor with up to 60% utilization in our 2025 program. This increased adoption has enhanced completion efficiencies by 12% year to date and continues to accelerate our days online. On the drilling front, our teams continue to improve efficiency and optimize our rig fleet achieving a 7% increase in drilling speeds year to date. These improvements have yielded meaningful operational changes enabling us to reduce our rig count once again this quarter.

As a reminder, we started the year expecting to run 14 rigs across the Delaware position, but now expected to reduce activity to 11 rigs in the second half of the year. Along with this reduction in rigs in the Delaware, we expect to build in some frac gaps both in Delaware and the Williston given the improvement to our completion efficiency. Importantly, despite the reduction in rigs and frac activity, we're able to maintain our productive capacity and confidence in our production outlook. This plan highlights our commitment to capturing these improvements through capital discipline rather than growing production in a saturated oil market. Now let's turn to slide six and talk about the Eagle Ford.

As announced last quarter, Devon and BPX agreed to dissolve the partnership in the Blackhawk Field. I'm pleased to share that this transaction successfully closed on 04/01/2025. Prior to close, Devon assumed operations of one of the legacy drilling rigs, and our teams have already delivered significant drilling improvements. On our first Devon operated pad, drilling speeds increased by more than 40% compared to recent legacy performance. These efficiencies coupled with improved well design and supply chain enhancements have amounted to nearly 50% reduction in costs.

With the cost savings seen today, Devon is effectively recurring incurring the same drilling capital with double the working interest in the Black Hawk Field. Going forward, we expect to realize $2,700,000 per well in savings as completions will commence on our first operated pad here in the second quarter. I have confidence that our team will continue to innovate and drive further improvements as we build operational momentum. With these early results, we are delivering on our plan to significantly enhance returns while providing a material uplift to the value of our position. With that, I'll now hand the call over to Jeff.

Thanks Clay. Turning to slide seven, highlighting our first quarter financial performance. Devon's core earnings totaled $779,000,000 or $1.21 per share. EBITDAX was $2,100,000,000 and we generated operating cash flow of $1,900,000,000 which exceeded consensus estimates by a healthy margin. After funding our capital requirements, we generated $1,000,000,000 in free cash flow for the quarter reaching the highest level since the third quarter of twenty twenty two.

Our free cash flow generation was underpinned by oil production that exceeded the top end of our guidance driven by the excellent operating performance highlighted by Clay, improving gas revenues that increased twofold from the prior quarter and disciplined capital investment that resulted in an impressive reinvestment rate of 50%. Our strong financial results supported another quarter of substantial cash returns to shareholders. We distributed $464,000,000 through dividends and share repurchases. Notably, we hit the upper end of our target buyback range for the quarter spending $3.00 $1,000,000 on share repurchases and bringing the total value of our buyback program to $3,600,000,000 Moving to slide eight, we touch on the outlook for the remainder of 2025. Even with the recent downturn in commodity pricing, we're well positioned to generate attractive free cash flow for the remainder of the year.

As highlighted on the slide, at today's strip pricing, we're on track to deliver greater than $2,000,000,000 of free cash flow and have a tremendous margin of safety with our breakeven funding at around $45 WTI including our fixed dividend. Furthermore, with our production exceeding expectations in the first quarter, we're increasing our full year oil production outlook to be in the range of 382,000 to 388,000 barrels per day. This higher production equates to a 1% increase to our full year outlook. In addition, reflecting the responsiveness of the organization to an acceleration of the business optimization plan, we're reducing our full year capital investment by $100,000,000 to a range of 3,700,000,000.0 to $3,900,000,000. This reduction is driven by better performance on base and wedge production and the acceleration of capital efficiencies.

Turning to slide nine. In the first quarter, our cash balances increased by $388,000,000 reaching $1,200,000,000. This strengthened liquidity position allowed Devon to exit the quarter with a healthy net debt to EBITDA ratio of one times. Looking ahead, we intend to use excess free cash flow to further build liquidity and retire upcoming debt maturities. After quarter end, we reached an agreement to sell our interest in the Matterhorn pipeline for approximately $375,000,000.

We expect the transaction to close late in the second quarter with pros proceeds further enhancing our cash position and liquidity. Our next next debt maturity of $5.04 $85,000,000 is due in December, and we also have the opportunity to retire our $1,000,000,000 term loan in 2026. As Clay mentioned earlier, our broader shareholder return framework remains unchanged. Backed by strong financial positioning, we have the flexibility to advance our debt reduction goals, fund our capital program, and continue delivering significant cash return to shareholders through our fixed dividend and share repurchase program. Now shifting gears to slide 10 to discuss our recently announced business optimization plan.

While we maintain a top tier portfolio and investment grade balance sheet, our focus remains on continuous improvement and delivering greater value to our shareholders. This initiative is designed to enhance operating margins, boost capital efficiency, and increase free cash flow generation. Our plan outlines a range of targeted actions to drive more efficient field level operations, including lowering drilling and completion cost, renegotiating contracts, and reducing corporate cost. Importantly, these efforts extend beyond financial metrics. They reflect the strategic integration of technology across our operations and reinforce our commitment to achieving industry leading returns.

We believe the impact of these initiatives is substantial and unlocks meaningful long term value for our shareholders. At our current valuation multiples, capitalizing the after tax impact of the targeted $1,000,000,000 of incremental free cash flow could translate to an estimated $10 per share in value, highlighting the significance of this work. Turning to slide 11, we outlined the improvements by category and the timeline for achieving them. As you can see on the pie chart, we expect our business to achieve $1,000,000,000 pretax free cash flow in sustainable annual improvements by year end 2026 as compared to our previously guided 2025 baseline. Beginning at the top with capital efficiency, we're targeting $300,000,000 of improvements by year end 2026.

These capital enhancements are structural and assume steady service and supply cost. Said another way, we have not assumed the benefit of any deflation from current price levels. Moving clockwise on the chart to production optimization, we expect to achieve $250,000,000 of improvements by reducing downtime, flattening production declines, and optimizing our operating cost structure. For commercial opportunities, our marketing team's contracting strategies are expected to deliver $300,000,000 in total improvements by increasing realizations and lowering GP and T cost. And finally, corporate cost reductions are expected to be $150,000,000 derived from lower interest expense, corporate capital, and G and A.

From a timing perspective, we are acting with a sense of urgency. As shown in the bar chart to the right, these combined initiatives are expected to deliver approximately $400,000,000 of cash flow uplift by year end 2025. Half of this uplift stems from renegotiated contracts already secured by our marketing organization, which will generate over $200,000,000 in improved margins primarily benefit benefiting the Delaware Basin through lower gathering, processing, transportation, and fractionation cost. These savings will begin to materialize in late twenty twenty five with full year impact in 2026. To be clear, we have not included any benefit related to the sale of our interest in Matterhorn pipeline in our business transformation uplift potential.

Of the $400,000,000 in expected uplift to be captured by year end, dollars 100,000,000 is attributable to our capital efficiency and production optimization efforts and represents the capital reduction to our 2025 guide disclosed earlier in our comments. Beyond 2025, we anticipate a steady cadence of improvements with all initiatives fully realized by year end 2026, providing the full run rate $1,000,000,000 pretax free cash flow improvement in 2027. With the increased free cash flow, we will remain committed to rewarding shareholders through share repurchases and growth in our fixed dividend while also strengthening our financial position through continued debt reduction. Slide 12 provides examples of the type of work our teams are pursuing to achieve the targets for each category. I won't talk through the detail now, but in our q and a session, we're happy to provide some additional color on how we're driving change with our business optimization efforts and creating long term value for Devon.

Bottom line is the teams have proactively begun implementing many of these initiatives. We're confident in our ability to achieve our targets and have clear line of sight to our objective. With that, I'll now turn the call back over to Rosie for q and a.

Thank you. Excuse me. Thank you, Jeff. We'll now open the call for Q and A. Please limit yourself to one question and one follow-up.

With that, Emily, we will take our first call.

Thank you. Your first question comes from Neil Mehta with Goldman Sachs. Neil, please go ahead.

Yes. Thanks so much. And start off with unpacking the cost reductions here on Slide ten and eleven that you talked about, Clay, and to give you an opportunity to kind of talk about your confidence interval around achieving it, when we can really see the run rate and help us to really itemize some of these buckets. I think people can kind of understand the corporate cost reductions, but some of the other things like commercial opportunities are a little harder to put our head around. Just kind of flush it out a bit.

Yeah. Thanks, Neil. Appreciate the the question. What I would tell you is, you know, so we've done a good job of pointing to things that we can achieve in 2025, again, pulling some of those values as you saw the capital reduction. As you start working through the list of the other items, I get that it becomes a little bit of two.

So I'll tell you what, happy to follow-up on that, but we've got a few of the experts in the room. I'll start with Jeff, and he can start talking about some of the commercial aspects of it.

Yeah. Neil, thanks for the question. Yeah. I'm happy to jump in and talk a little bit about commercial opportunities. Frankly, that's where we have the absolute highest confidence because we already have those contracts executed.

They'll they're in place, and they'll take effect at the end of this year and really into 2026, you'll get the full run rate benefit of that. Just to give you a little bit of color on what we've done there. So not a surprise to you. We have multiple midstream partners in the Delaware in addition to the the midstream infrastructure that we already own, you know, through our Catalyst JV and our caught Cotton Draw midstream partnerships. So that provides us a lot of leverage and opportunity and optionality, frankly, to work with all of our partners and attempt to maximize margins.

So we had the benefit of a couple contracts, you know, running their course as far as term over the next couple years, and we took advantage of the leverage that we have, you know, with our partners to really go in and look at how we could renegotiate those contracts and drive lower costs. So it's a combination of lower fees, higher recoveries. The bulk of that is related to NGLs, our NGL business in the Delaware. But bottom line, we've reduced our fees. In some in some cases, you know, we had legacy contracts that were two x of what we expect to move forward with going forward.

So, we've managed to reduce our fees on the gathering, processing, transportation, and fractionation. And, again, all that will take take effect at the beginning of twenty twenty six. So feel really confident in our ability to deliver on those outcomes.

In addition to that, John's here. He can talk a little bit about some of the opportunities in the production optimization.

Yeah, Neil. Thanks for the question. So, so far, you've seen $100,000,000 for 2025. Some of that's coming in the form of production optimization. We've seen an incredibly resilient base in The Rockies thus far this year.

And so that's some of the good work that we're already taking credit for. Just to give you some ideas, on the go forward, we've got projects that we listed in, the slide deck. I'll hit on a few of those just to give you some more color. So first, one that I'm pretty excited about is our LOE optimization through condition based maintenance. Over the last several years, Devon sought to really improve our reliability through planned maintenance, but a lot of that maintenance has been calendar based to date.

So equipment, essentially gets maintained whether it actually needs, that maintenance at that time or not. And so what we're attempting to do there is use advanced analytics, KPIs and move that essentially to condition based maintenance of the idea that we could eliminate some of those ineffective or, potentially wasteful maintenance activities. And so that will help us reduce, on the LOE front. Another one I'd like to talk about is our smart gas lift calibration. Devon uses a lot of centralized gas lift, in certain assets, predominantly in the Stateline area in the Delaware Basin, and also in the Williston Basin.

And sometimes these operations can be a little bit constrained, on the gas lift injection. And so when that occurs, we've got suboptimal lift occurring. And so this is a project that we're already advancing. We're looking to use real time analytics and AI models essentially to determine how much gas to allocate to each well, for optimal performance. Those recommended injection rates are pushed directly.

Okay. So I'll continue. But these, real time analytics and AI models essentially determine how much gas to allocate to each well for, optimal performance. And so those injection rates are pushed directly to end device for adjustment. So again, where we have these big centralized gas lift operations, we expect to see some pretty significant uplift there.

And as opposed to the project that I described earlier, this largely comes in the form of lowering our downtime and flattening our base decline curve. So it gives you a little flavor. We expect to see some of this on the LOE side and expect to see some of this through improved production, which would eventually come in the form of lower capital.

Thank you. Moving on to our next question, which comes from Arun Jayaram with JPMorgan. Please go ahead.

Yes. Jeff, just a follow-up. I just wanted to see if you could just maybe clarify your comments on the lower GP and T rates in the Delaware. Could you maybe give us a sense of what this would do to your broad GP and T cost per unit if we're to translate that into our models in 2026?

Yes. You better. You better, Arun. Just to give you a little bit additional color. As I said, it's really specific to our NGL business.

There's some on the gas side as well, but that's where the biggest driver of this is. Just to give you a sense, we had some legacy contracts that were, call it, dollars 1.5 an M, and now they're going to be almost half of that, right, in some cases. So it's going be pretty material. Again, specific to the Delaware, not at a corporate level, but specific to the volumes in the Delaware, it's going to be pretty material to our overall business. And as we highlighted in the slide deck, dollars 200,000,000 of that is already locked up and captured.

And then the team is working on the incremental, call it, dollars 50,000,000 to $100,000,000 over the course of the rest of this year. So by the beginning of 2026, we should have that all locked down and in good shape, and you'll start to see it flow through our financials. It will come through our financials in two ways. One, you'll see lower GP and T cost, but you'll also see, just given the nature of some of those contracts, it will show up in better realizations for us as well. So a combination on the financial statement between realizations and our GP and T cost.

You guys highlighted some divestitures, your interest in Matterhorn and some real estate assets. So I'm Clay, if you could highlight some of your incremental midstream investments that you have at Devon that could be subject to future monetization.

Yes. Thanks for the question Arun. We have a lot of midstream assets in particular that hold various values to us. We've highlighted a few times the value that Grayson Mills brought along with the midstream assets and what that can mean to not just the individual well economics, but the increase related to the amount of portfolio options we have there. And so sometimes it has really interesting and incremental value.

I would say there's other parts of the midstream asset portfolio that we may question, is this the right is something for us to continue to hold on to. Without going into details one for one, I would just tell you we're taking a holistic look that maybe there's sometimes we need to expand our midstream footprint to replicate what we're doing there with the Grayson assets. And I would say there's other times, for example, with Matterhorn, where it's kind of served its purpose. We continue to hold on to that capacity, which is incredibly valuable. But the equity ownership clearly wasn't reflected in our organizational value.

And therefore, when we monetize, it's just additional cash. So I would say there's more of that to come, but it's too early to tell which direction we're going to be going overall as a corporation.

Thank you. The next question comes from Doug Leggate with Wolfe Research. Please go ahead, Doug.

Please proceed with your question. Are getting no response from Doug's line. And so moving on to our next question, which comes from Paul Cheng with Scotiabank. Please go ahead, Paul.

Thank you. Hey, guys. Can you hear me okay?

Hello. Okay, good. Two questions, please. First, I think, Jeff and Clay, you guys talking about on the business optimization. Seems like technology is going to be a big piece of that.

Can you give us some understanding then? I mean, how that the adoption now you are doing is different than what you've been doing? And also that how you are different from the rest of your peers in terms of the adoption of the technology? And can you give us some example that what's new adoption versus that what you guys have been doing? That's the first question.

Second question is that when we're looking at these model, look like the Delaware Basin, comparing to the number of wells that you bought on, the production is a little bit light for us. Wondering that if there is some one off item other than, say, the winter storm, is it the cadence of the well coming on stream throughout the quarter is different than a more variable on the back end loaded? Any kind of maybe the colors that you can provide that will be great. Thank you.

Yes. Thanks, Paul. I love technology near and dear to my heart. And one of the changes we made organizationally was promoting Trello, our Chief Technology Officer, to the Executive Committee. And I think it's just already paying huge dividends.

I have a ton of faith in our organization's ability to embrace technology across the board. But I'd love for Trey to expand a little bit on some of the things that he sees, one, as the leader of technology, but also the leader of our business optimization project.

Definitely appreciate the question, Paul. We view technology as a differentiator for Devon, just as you highlighted. And the ability for us to to use technology to improve our operations is kinda core to our culture that we have here. The the things that are new, John highlighted a couple in the production space that that will be underpinned by new technologies that we've been investing in over the last few years. The other one that I would highlight is we've made a substantial investment in all of our industrial systems, sensors that we have across the field.

We've invested heavily in in standardizing that across all of our well thousands of wells that we have across the business. And when you mix that with, the competency that we've built in our teams and the alignment that we have across our leadership group to to use that data, we're going to continue to see those those advantages on the productions on the production space. One of the exciting projects that they have in our business optimization program is to take all of that real time information and start running both physics based models and algorithms in real time at scale across all of our wells to reach an optimal flowing condition for each well. And so we're going to see the implementation of that over the next year, and that's a significant portion of that $250,000,000 of targets that we have in the production optimization space. And then the second example that I love to talk about is AI and what we think that will mean for our company and for our employee base.

And this year, we've rolled out a brand new platform for all of our employees. And honestly, it's caught like wildfire across our employees. And so we've seen productivity boost from various domains up to 15% to 30% on the projects that they're working on. And these are real examples in our core business around things like how do you optimize final frac on a well or how do you take, mud logs and cutting descriptions and use AI to give you a better geologic answer. And so we're starting to see all of those things kind of flow through the company and that productivity boost for our employees, and we're empowering a group of individuals that are already aligned to using these tools and we're real excited about it.

And then Paul for your second question, John will pick that one up.

Hey Paul, to your question on the Delaware Basin, there's a few things I'll highlight there. One, yes from a gross well standpoint, we brought on quite a few wells in the Delaware Basin. We did have a little bit lower working interest in Q1. So from a net wells perspective, we're pretty similar to what you saw in Q4. The second thing I would point to there is the cadence of those wells was later in the quarter.

So you got less production contribution from those wells in the quarter and that's a little bit of the phenomenon you're seeing. You mentioned the weather. That was certainly a factor. We did see some minor weather downtime also in Q1 in the Delaware Basin. But what I would tell you is from a well productivity standpoint going back to Q4, what we're seeing in Q1, we're really pleased with what we're seeing especially early time.

Most all of our projects and our major programs are meeting to exceeding expectations. So despite what you're seeing, we're really, really pumped about what's going on in the Delaware.

Thank you. The next question comes from Scott Hanold with RBC. Please go ahead.

Yes. Thanks. Good morning. Clay, maybe give your view on sort of the broad macro trends. A lot of your peers have made some cuts to their activity levels, bringing down production relative to prior expectations.

And I think part of the effort too is to continue to enhance free cash flow. Can you give us a sense of like how you're looking and thinking about the macro? I mean there were no specifically defined cuts related to weaker oil prices, but what would it take for Devon to sort of reevaluate its plan?

Yes. Thanks for the question. Very topical today and certainly the macro environment is not lost on us. When we first think about the macro and we think about the commodity price and how it affects our investment decisions, we think about things through really kind of three lenses. One is the corporate breakevens that we mentioned earlier, 45 including our dividends.

That's kind of one test. We think about the well returns, the economics. But we also think about the operational objectives and the associated distraction of making moves up and down, yo yoing essentially the activity. All of the operational efficiencies we keep baking in quarter after quarter after quarter are on the back of that consistency. So we don't take changes like that lightly.

You've seen us gradually move down the rig count in the Delaware Basin 16 projecting going down to 11 with a similar output and that's incredible efficiency. But as you mentioned, those are operational changes and not really a reaction to the macro. When I think about the macro today, the forward curve is relatively flat relative to the last couple of years, hovering around just under $60 We're watching that. We think about these incremental, these marginal investments really in the twelve twenty four month timeframe. And when I look at that curve, it still passes the test.

But I can tell you, we're very self aware. We're thinking about what's going on. We understand our flexibility. We reviewed all of our contracts. We have a tremendous amount of flexibility.

And I would say we're closer to taking those kind of actions, but not quite there. I think when market gets a little closer to the low 50s and we feel like that has some sustainability, I think we'd be more likely to take more aggressive actions addition to the maintenance capital node that we're in now. As for now, we'll take the operational improvements, accrue that to capital savings, continue to build free cash flow related to that. And then again, this the business optimization is our incredible focus on driving more and more free cash flow, which we think has a tremendous amount of uplift for the organization and ultimately for the investors. And that's on the back of some really focused work by the organization and not yo yoing them around too much.

Appreciate the comment. And I think this one's for Jeff. You all have pegged roughly what 203 hundred million dollars per quarter on stock buybacks. And obviously related to everything we were just talking about a lot of the equities in energy have come down quite a bit including near Devon as well. Given that you're pulling forward some of this optimization value, you've got it sounds like very good visibility on achieving it.

Does it make sense to maybe step up buybacks a little bit in the near term and utilize some of that free cash flow opportunistically?

Yes, Scott. Thanks. Appreciate the question. And yes, we've thought a lot about that and do consistently debate that with our Board each quarter as based on the macro environment and our broader strategic objectives. At this point, we feel very committed in not changing our game plan.

Devon Energy (DVN) Q1 2025 Earnings Call Transcript

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