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devon Devon Energy Reports 46 Percent Increase in Operating Cash Flow and Record Free Cash Flow Generation in Third - Quarter 2021 OKLAHOMA CITY - Nov. 2 , 2021 - Devon Energy Corp. ( NYSE : DVN ) today reported financial and operational results for the third - quarter 2021. Supplemental financial tables and forward - looking guidance are available on the company's website at www.devonenergy.com . KEY FINANCIAL AND OPERATIONAL HIGHLIGHTS ● ● Devon Energy Corporation 333 West Sheridan Avenue Oklahoma City , OK 73102-5015 Fixed - plus - variable dividend increased by 71 percent to $ 0.84 per share Board authorizes a $ 1 billion share buyback , representing 4 percent of the company's market capitalization Delaware Basin drove third - quarter results that were favorable to guidance on production and costs Operating cash flow increased 46 percent from the prior quarter to $ 1.6 billion Disciplined capital allocation limited reinvestment rates to 30 percent of cash flow Free cash flow generation accelerated to $ 1.1 billion , an 8 - fold increase from the fourth quarter of 2020 Balance sheet strengthened with cash balances increasing by $ 782 million to a total of $ 2.3 billion CEO PERSPECTIVE " The power of Devon's asset portfolio and disciplined cash - return strategy was evidenced by another quarter of operational and financial outperformance , " said Rick Muncrief , president and CEO . " The team's outstanding execution , coupled with an improved cost structure , has allowed us to fully capture the benefits of rising commodity prices and deliver robust growth in free cash flow . " " With this free cash flow , we are delivering on our commitment to accelerate the return of cash to shareholders with a 71 percent increase in the dividend and we have continued to strengthen our investment - grade balance sheet . " " As a result of our improving financial outlook , I am excited to announce the next step in our cash - return strategy with the authorization of a $ 1 billion share - repurchase program , " Muncrief added . " While our market - leading dend will remain the top priority for free cash flow , this program provides us with another avenue to opportunistically return value to shareholders and enhance per - share results . " " Looking ahead to the remainder of this year and into 2022 , we will continue to prioritize free cash flow over volume growth , " Muncrief commented . " With our operations successfully scaled to generate strong cash flow growth , we have no intention of pursuing production growth until it is clear that market fundamentals have sustainably recovered , and worldwide spare oil capacity is effectively absorbed . " FINANCIAL SUMMARY Devon reported net earnings of $ 838 million , or $ 1.24 per diluted share , in the third quarter of 2021. Adjusting for items analysts typically exclude from estimates , the company's core earnings were $ 733 million , or $ 1.08 per diluted share . Operating cash flow totaled $ 1.6 billion in the third quarter , a 46 percent increase from the prior quarter . With capital reinvestment rates limited to 30 percent of cash flow , the company generated $ 1.1 billion of free cash flow in the quarter . This represents an 8 - fold increase in free cash flow compared to the fourth quarter of 2020 and is the highest quarterly amount in Devon's 50 - year history . Based on the third - quarter financial performance , Devon's board declared a fixed - plus - variable dividend of $ 0.84 per share . This payout represents a 71 percent increase compared to the payout declared from the previous quarter . The dividend is payable on Dec. 30 , 2021 to shareholders of record at the close of business on Dec. 10 , 2021 . 1