Revenue growth remains cyclically volatile, with gross margins contracting from a 54.4% peak in 2023Q4 to 49.0% in 2026Q1, suggesting potential pressure from shifting production profiles.
| Sales/Revenue | 1.32B | 1.31B | 1.32B | 1.23B | 1.69B | 1.08B | 541.3M | 942.16M | 1.04B | 403.19M | 110.93M |
| Revenue Growth % | -1.98% | -0.31% | 7.25% | -27.59% | 57.14% | 99.21% | -42.55% | -9.38% | 157.87% | 263.48% | - |
| Cost of Goods Sold | 706.41M | 699.17M | 635.2M | 524.61M | 439.42M | 335.59M | 412.49M | 631.87M | 108.48M | 157.23M | 44.76M |
| COGS % of Revenue | - | 53.3% | 48.27% | 42.76% | 25.93% | 31.12% | 76.2% | 67.07% | 10.43% | 39% | 40.35% |
| Gross Profit | 613.64M | 612.67M | 680.69M | 702.37M | 1.26B | 742.76M | 128.81M | 310.29M | 931.25M | 245.96M | 66.17M |
| Gross Margin % | 46.49% | 46.7% | 51.73% | 57.24% | 74.07% | 68.88% | 23.8% | 32.93% | 89.57% | 61% | 59.65% |
| Gross Profit Growth % | - | -9.99% | -3.09% | -44.04% | 68.97% | 476.63% | -58.49% | -66.68% | 278.61% | 271.74% | - |
| Operating Expenses | 182.44M | 173.49M | 168.7M | 167.89M | 181.29M | 140.17M | 2.05B | 182.35M | 657.75M | 1.15M | 37.31M |
| OpEx % of Revenue | - | 13.22% | 12.82% | 13.68% | 10.7% | 13% | 379.54% | 19.35% | 63.26% | 0.28% | 33.63% |
| Selling, General & Admin | 103.89M | 97.04M | 88.73M | 77.1M | 72.43M | 75.28M | 68.92M | 69.43M | 97.64M | 980.83K | 12.16M |
| SG&A % of Revenue | - | 7.4% | 6.74% | 6.28% | 4.27% | 6.98% | 12.73% | 7.37% | 9.39% | 0.24% | 10.96% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - | - | - | - | - |
| Other Operating Expenses | 4M | 76.45M | 79.97M | 90.78M | 108.86M | 64.89M | 1.99B | 112.92M | 560.11M | 166.48K | 25.15M |
| Operating Income | 431.12M | 439.18M | 511.99M | 534.49M | 1.07B | 602.59M | -1.93B | 127.5M | 273.5M | -1.15M | 28.86M |
| Operating Margin % | 32.66% | 33.48% | 38.91% | 43.56% | 63.37% | 55.88% | -355.75% | 13.53% | 26.3% | -0.28% | 26.02% |
| Operating Income Growth % | - | -14.22% | -4.21% | -50.22% | 78.19% | 131.29% | -1610.3% | -53.38% | 23938.28% | -103.98% | - |
| EBITDA | 880.09M | 883.74M | 926.48M | 859.27M | 1.32B | 799.63M | -1.63B | 665.58M | 718.94M | 0 | 61.98M |
| EBITDA Margin % | 66.67% | 67.37% | 70.41% | 70.03% | 77.72% | 74.15% | -300.72% | 70.64% | 69.15% | - | 55.88% |
| EBITDA Growth % | -7.02% | -4.61% | 7.82% | -34.75% | 64.69% | 149.12% | -344.57% | -7.42% | - | -100% | - |
| D&A (Non-Cash Add-back) | 448.96M | 444.56M | 414.49M | 324.79M | 243.15M | 197.03M | 297.86M | 538.08M | 445.44M | 1.15M | 33.12M |
| EBIT | 429.75M | 439.03M | 507.51M | 549.85M | 1.08B | 599.57M | -1.92B | 128.12M | 332.56M | -1.15M | 22.14M |
| Net Interest Income | -22.37M | -21.62M | -14.37M | -33K | -23.44M | -31M | -28.7M | -28.36M | -29.89M | 0 | 0 |
| Interest Income | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 22.37M | 21.62M | 14.37M | 33K | 23.44M | 31M | 28.7M | 28.36M | 29.89M | 0 | 0 |
| Other Income/Expense | -23.77M | -21.77M | -18.84M | 15.33M | -16.9M | -34.03M | -22.66M | -27.74M | -48.13M | 3.98M | -6.71M |
| Pretax Income | 407.35M | 417.41M | 493.14M | 549.81M | 1.06B | 568.57M | -1.95B | 99.77M | 225.37M | 2.83M | 22.14M |
| Pretax Margin % | 30.86% | 31.82% | 37.48% | 44.81% | 62.37% | 52.73% | -359.93% | 10.59% | 21.68% | 0.7% | 19.96% |
| Income Tax | 75.88M | 80.13M | 95.81M | 107.21M | 6.64M | 8.85M | -79.34M | 14.76M | 27.49M | 1.16M | 673K |
| Effective Tax Rate % | 18.63% | 19.2% | 19.43% | 19.5% | 0.63% | 1.56% | 4.07% | 14.79% | 12.2% | 40.94% | 3.04% |
| Net Income | 322.15M | 325.25M | 366.03M | 388.3M | 893.84M | 417.28M | -1.21B | 50.2M | 93.83M | 1.67M | 21.47M |
| Net Margin % | 24.4% | 24.79% | 27.82% | 31.65% | 52.75% | 38.7% | -223.24% | 5.33% | 9.02% | 0.41% | 19.36% |
| Net Income Growth % | -16.08% | -11.14% | -5.74% | -56.56% | 114.2% | 134.53% | -2507.34% | -46.5% | 5513.45% | -92.22% | - |
| Net Income (Continuing) | 331.47M | 337.28M | 397.33M | 442.6M | 1.05B | 559.72M | -1.87B | 85M | 197.88M | 1.67M | 21.47M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 59.22M | 53.75M | 191M | 164.14M | 228.49M | 291.26M | 952.48M | 1.03B | 0 | 0 |
| EPS (Diluted) | 1.76 | 1.75 | 1.94 | 2.04 | 4.71 | 2.36 | -7.27 | 0.28 | 0.60 | 2.20 | 0.29 |
| EPS Growth % | -13.43% | -9.79% | -4.9% | -56.69% | 99.58% | 132.46% | -2696.43% | -53.33% | -72.73% | 658.62% | - |
| EPS (Basic) | - | 1.75 | 1.94 | 2.04 | 4.73 | 2.38 | -7.27 | 0.29 | 1.65 | 2.20 | 0.29 |
| Diluted Shares Outstanding | 183.28M | 185.59M | 186.49M | 188.35M | 187.9M | 175.36M | 166.27M | 167.05M | 158.57M | 81.25M | 75M |
| Basic Shares Outstanding | 183.27M | 185.58M | 186.47M | 188.17M | 187.43M | 174.36M | 166.27M | 161.89M | 156.3M | 81.25M | 75M |
| Dividend Payout Ratio | - | 34.77% | 26.67% | 22.68% | 8.41% | 3.39% | - | - | - | - | - |
Commodity price volatility exposure
According to the provided quarterly income statements, MGY's revenue growth has fluctuated significantly, ranging from a 9.7% expansion in 2025Q1 to a 5.3% contraction in 2025Q2, reflecting the inherent sensitivity of the company's production volumes and realized commodity prices to broader energy market cycles.
The inconsistent top-line performance suggests that MGY remains highly susceptible to spot market pricing for its crude oil and natural gas output. While the 2.3% growth observed in 2026Q1 indicates a potential stabilization, investors should monitor whether this reflects sustainable volume increases or merely temporary price tailwinds.
As reported in financial statements, MGY's gross margin has trended downward from a peak of 54.4% in 2023Q4 to 49.0% in 2026Q1, suggesting that rising production costs or shifts in the underlying commodity mix may be exerting pressure on the company's core profitability metrics.
The erosion of gross margins appears to correlate with the company's increased operational focus on the Giddings Field. This transition may imply higher per-unit extraction costs compared to the mature Karnes County assets, potentially signaling a long-term shift in the company's cost structure.
Based on MGY's reported figures, the operating margin has maintained a range between 29.6% and 42.8% over the last ten quarters, demonstrating that management has successfully kept SG&A expenses contained even as the company navigates the complexities of developing its Austin Chalk acreage.
The ability to sustain operating margins above 30% in most periods suggests a lean corporate overhead structure that effectively scales with production. However, the recent dip to 29.6% in 2025Q4 warrants further investigation into whether administrative costs are beginning to creep upward as development intensity increases.
Analysis of the income statement reveals that MGY's net income is periodically impacted by stock-based compensation, which reached $7.3 million in both 2025Q2 and 2025Q3, potentially diluting the quality of earnings reported during those specific periods of operational activity.
While the company maintains a strong net margin profile, the presence of non-cash compensation expenses suggests that reported EPS may not fully capture the economic cost of equity-based incentives. Investors should monitor these charges to ensure they remain aligned with long-term shareholder value creation rather than excessive management dilution.
Data from recent filings suggests that MGY's reliance on high-margin Karnes County assets may be nearing an inflection point, as the shift toward the Giddings Field introduces higher geological complexity and potentially lower-margin production profiles that could challenge the company's historical profitability standards.
Short-term margin volatility may indicate that the company is struggling to replicate the exceptional returns of its legacy assets in newer, less-proven formations. If the Giddings Field fails to deliver comparable margins, the company's current valuation premium may face significant downward pressure.
Quick answers to the most common questions about buying MGY stock.
For fiscal year 2025, Magnolia Oil & Gas Corporation (MGY) reported total revenue of $1.31B. This represents a 1082.6% increase compared to $110.9M in 2016.
Magnolia Oil & Gas Corporation (MGY) is profitable, generating $325.3M in net income for the fiscal year ending 2025 with a net profit margin of 24.8%.
Magnolia Oil & Gas Corporation (MGY) reported an operating income of $439.2M, resulting in an operating profit margin of 33.5%. This margin reflects the operational efficiency of the business before interest and taxes.
Magnolia Oil & Gas Corporation (MGY) generated $612.7M in gross profit for the year, representing a gross profit margin of 46.7%. This demonstrates the company's core pricing power and production efficiency.