This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Murphy Oil Announces Preliminary Quarterly Earnings

Stocks in this article: MUR


Corporate after-tax costs were $77.4 million in the first nine months of 2012 compared to costs of $40.7 million in the 2011 period. The higher net cost in the current year was mostly attributable to an unfavorable variance for transactions denominated in foreign currencies; these transactions led to after-tax costs of $3.5 million in the 2012 nine months compared to after-tax benefits of $32.2 million in 2011. The 2012 period also had higher administrative costs compared to 2011, primarily associated with more employee compensation expense in the later period. However, net interest expense was lower in the 2012 nine months, primarily due to higher amounts of interest costs capitalized to ongoing oil development projects.

Discontinued Operations

Income from discontinued operations of $10.5 million in the nine months of 2012 was associated with exploration and production operations in the U.K. Income from discontinued operations totaled $139.2 million in 2011, and included income of $6.8 million for U.K. E&P operations, plus a profit of $132.4 million associated with two U.S. refineries sold near the end of the third quarter 2011. The 2011 refinery profit included a $16.9 million net gain on sale of the two plants and associated marketing assets and inventories.

Steven A. Cossé, President and Chief Executive Officer, commented, “Our Company has recently made a number of key moves that are expected to enhance shareholder value when completed. As previously announced, the Board of Directors has set in place a plan to separate our U.S. Downstream business, which principally consists of over 1,150 retail service stations throughout the South and Midwest United States. We expect that this separation will occur in 2013. This action will allow the two key businesses – worldwide Upstream and U.S. Downstream – to gain sharper focus by fully concentrating on their own specific priorities, including strategic initiatives, allocation of resources and deployment of capital. Additionally, the Company will pay a special dividend of $2.50 per share on December 3 and has authorized a share buyback program of up to $1 billion. Furthermore, we are reviewing our portfolio of assets to rationalize their strategic fit within the organization; as part of this process, we have decided to sell our three oil and gas fields in the United Kingdom. This asset sale is expected to be completed by year-end.

6 of 8

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 17,778.15 +421.28 2.43%
S&P 500 2,061.23 +48.34 2.40%
NASDAQ 4,748.3960 +104.0840 2.24%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs