Diamondback Energy, Inc. (Nasdaq: FANG) today announced financial and operating results for the second quarter ended June 30, 2017.

About Diamondback Energy, Inc.

Diamondback is an independent oil and natural gas company headquartered in Midland, Texas focused on the acquisition, development, exploration and exploitation of unconventional, onshore oil and natural gas reserves in the Permian Basin in West Texas. Diamondback’s activities are primarily focused on the horizontal exploitation of multiple intervals within the Wolfcamp, Spraberry, Clearfork, Bone Spring and Cline formations.

Q2 FINANCIAL HIGHLIGHTS

• Net income: $158 million, or $1.61 per diluted share.
• Adjusted net income: $123 million, or $1.25 per share.
• Adjusted EBITDA: UP 25% to $218 million, up 25% from Q1. 
• Revenues: UP 15% to $269 million from Q1 2017.
• Average realized prices: DOWN 9% to $38.18/boe ($45.43 per barrel of oil, $2.57 per Mcf of natural gas and $17.83 per barrel of natural gas liquids).
• Cash operating costs: DOWN 18% to $7.66 per boe.
• As of June 30, 2017, Diamondback had $15 million in standalone cash and $84 million outstanding on its $750 million credit facility.

OPERATIONAL HIGHLIGHTS

• Production: UP 25% (UP 15% in organic growth) to 77.0 Mboe/d (75% oil),

Travis Stice, Chief Executive Officer of Diamondback stated in company's press release that:

“Diamondback has continued to build on its strong execution track record by increasing full year production guidance while decreasing CAPEX and cash cost guidance. We believe these results continue to affirm the strength of our business plan. Today we are positioned with acreage and well locations that provide many years of visible production growth. Our growth rate is determined by returns to shareholders,without reliance on the capital markets to fund our development plan. 

Our balance sheet remains strong and provides us the operational flexibility to increase and decrease activity as commodity price
dictates, allowing us to grow differentially within cash flow.

We are impressed with the initial operated results out of the Wolf camp A in the Southern Delaware Basin, and are extremely excited about our initial Second Bone Spring result on our Pecos acreage, providing us another zone that can compete for capital in our current portfolio. We will continue to lower well costs in the Delaware Basin with our organization’s relentless focus on capital efficiency and full cycle economics."