Revenue: As of FY2026 Q2, the actual value is USD 478.81 M, beating the estimate of USD 462.58 M.

EPS: As of FY2026 Q2, the actual value is USD 0.97, beating the estimate of USD 0.9455.

EBIT: As of FY2026 Q2, the actual value is USD 239.12 M.

Net Income and Profitability

Magnolia Oil & Gas Corporation reported a net income of $181.8 million for the second quarter of 2026, marking a 124% increase from $81.0 million in the second quarter of 2025. Adjusted net income for Q2 2026 was $184.3 million, a 128% increase compared to $80.9 million in Q2 2025. Adjusted EBITDAX reached $370.3 million in Q2 2026, up 66% from $223.2 million in the prior year period. The company generated an operating income as a percentage of revenue (pre-tax margins) of 50% during Q2 2026. Operating income for Q2 2026 was $239,501 thousand, significantly higher than $107,814 thousand in Q2 2025. Adjusted operating income margin increased to $25.15 per boe (51%) in Q2 2026 from $12.07 per boe (34%) in Q2 2025.

Segment Revenue

Total revenues for Q2 2026 were $478,811 thousand, an increase from $318,981 thousand in Q2 2025. Oil revenues rose to $373,759 thousand in Q2 2026 from $226,345 thousand in Q2 2025. Natural gas revenues were $39,669 thousand in Q2 2026, down from $42,850 thousand in Q2 2025. Natural gas liquids revenues increased to $65,383 thousand in Q2 2026 from $49,786 thousand in Q2 2025.

Operational Metrics

Total Company production volumes in Q2 2026 grew by 8% year-over-year to 106.1 thousand barrels of oil equivalent per day (Mboe/d), including 41.9 thousand barrels of oil per day (Mbbls/d), which grew by 5%. Production in Giddings increased 10% year-over-year to 85.5 Mboe/d, with oil volumes growing by 7%, and represented 81% of total Company volumes. Capital expenditures for drilling and completions (D&C) were $125.0 million in Q2 2026, a 31% increase from $95.2 million in Q2 2025, representing approximately 34% of adjusted EBITDAX. Operating costs per boe for Q2 2026 included lease operating expenses of $5.01, gathering, transportation and processing costs of $1.78, taxes other than income of $2.36, and depreciation, depletion and amortization of $12.07. Total adjusted cash operating costs were - $11.55 per boe in Q2 2026, compared to - $10.70 per boe in Q2 2025.

Cash Flow

Net cash provided by operating activities was $384.0 million during Q2 2026, compared to $198.7 million in Q2 2025. Free cash flow generated by the Company more than doubled year-over-year to $234.6 million in Q2 2026, from $107.474 million in Q2 2025.

Unique Metrics (Balance Sheet and Strategic Acquisition)

Magnolia Oil & Gas Corporation ended Q2 2026 with a cash balance of $295.9 million, an 18% increase from $251.8 million at the end of Q2 2025. The Company returned $80.1 million, or 34% of its free cash flow, to shareholders through share repurchases and dividends during Q2 2026. Magnolia repurchased 1.7 million shares of its Class A Common Stock for $49.3 million and declared a quarterly cash dividend of $0.18 per share, a 9% increase compared to the previous rate. The company entered into a definitive agreement to acquire WildFire Energy, which is expected to more than double Magnolia’s Giddings acreage and close late in the third quarter of 2026. The acquisition was funded with approximately half debt and half equity, involving the issuance of 53.3 million new shares for $1.23 billion in net proceeds and $500 million of senior notes at 6.625% due in 2034.

Outlook and Guidance

For the third quarter of 2026, standalone D&C capital spending is estimated to be approximately $115 million, with full-year 2026 standalone capital spending reiterated in the range of $440 million to $480 million. The company raised its full-year 2026 standalone production growth guidance from 5% to 6%, with Q3 2026 standalone production expected to be similar to Q2 levels. Additionally, oil price differentials for Q3 2026 are anticipated to be around a - $3 per barrel discount to Magellan East Houston.