UPDATE: Hess Posts Better-Than-Expected Q2 Results, Shares Rise

Shares of Hess

jumped more than 4.5% in pre-market trading after the company reported upbeat results for the second quarter. The New York-based company posted quarterly earnings of $931 million, or $2.96 per share, compared to $1.43 billion, or $4.16 per share, in the year-ago period. Its adjusted earnings rose to $1.38 per share from $1.51 per share. Its revenue fell to $3.6 billion from $4.16 billion. However, analysts were expecting earnings of $1.18 per share on revenue of $2.515 billion. Its production slipped to 319,000 barrels of oil equivalent per day, versus 341,000 boe/d, in the year-earlier quarter. Exploration and Production earnings fell to $1,057 million from $1,533 million. Production from the Bakken rose 25% y/y to 80,000 boepd, while net production averaged 31,000 boepd from Valhall, up from 13,000 boepd. The company also announced its plans to pursue the formation of a master limited partnership. Hess raised its buyback plan from $4 billion to $6.5 billion. John Hess, chief executive officer of Hess, said: “This was another quarter of strong performance and execution of our strategic plan.” Hess shares climbed 4.60% to $103.99 in pre-market trading.