Company: MGY
Filing Date: 2025-07-31
Form Type: 10-Q
Source: 0001698990-25-000021
Chunk: 33

Company: Magnolia Oil & Gas Corp
Filing Date: 2025-07-31
Form: 10-Q
Item: Item 8
Chunk 33
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, than the six months ended June 30, 2024. G&A increased in both periods due to an increase in overall labor costs, including changes from the modification of stock based compensation awards in 2025, partially offset by lower professional services and certain one-time costs incurred in 2024. G&A per boe decreased due to higher production.

Interest expense, net, during the three months ended June 30, 2025 was $2.1 million higher than the three months ended June 30, 2024. Interest expense, net, during the six months ended June 30, 2025 was $5.0 million higher than the six months ended June 30, 2024. The increase in both periods was primarily driven by lower interest income realized during 2025 as a result of lower interest rates and cash balances.

Other expense, net, during the three months ended June 30, 2025 was $0.2 million compared to other income, net of $1.0 million during the three months ended June 30, 2024. Other income, net, during the six months ended June 30, 2025 was $1.0 million compared to other expense, net of $3.3 million during the six months ended June 30, 2024. The change year-over-year is primarily comprised of the revaluation of the contingent consideration liability associated with the prior acquisition of certain oil and gas producing properties in the Giddings area, offset by a loss on sale of other assets in 2025.

Income Tax Expense

The following table summarizes the Company’s income tax expense for the periods indicated.

Three Months EndedSix Months Ended(In thousands)June 30, 2025June 30, 2024June 30, 2025June 30, 2024Current income tax expense$4,126 $10,528 $16,922 $22,156 Deferred income tax expense16,812 16,241 29,153 24,948 Income tax expense$20,938 $26,769 $46,075 $47,104 

For the three months ended June 30, 2025, income tax expense was $5.8 million lower than the three months ended June 30, 2024 driven by a $6.4 million decrease in current income tax expense and offset by a $0.6 million increase in deferred income tax expense. Income tax expense