Shale producer Diamondback misses profit estimate, cuts capex forecast

Aug 4 (Reuters) - Diamondback Energy FANG.O missed analysts' estimates for second-quarter profit on lower crude oil prices and the shale producer cut its forecast for full-year capex.

Shares of the company fell 2.7% in extended trading on Monday. They are down nearly 11% so far this year, through last close.

Diamondback cut the upper end of its current year capital budget by $200 million to bring it to between $3.4 billion and $3.6 billion, dragged down by prolonged volatility and uncertainty.

The company, which dropped four rigs to 13 rigs in the April-June quarter, said on Monday there was no compelling reason to increase activity this year.

Diamondback in May said that a combination of global economic uncertainty and rising OPEC+ supply has brought U.S. oil production to a tipping point. It had also warned that it could reduce activity further if oil prices declined further.

The Midland, Texas-based company posted an adjusted profit of $2.67 per share for the three months ended June 30, compared with analysts' average estimate of $2.82, according to data compiled by LSEG.

Brent crude LCOc1 averaged 20% lower in the quarter from a year earlier, pressured by U.S. tariffs and their impact on global growth, OPEC+ supply gains and geopolitical tensions.

Prices briefly topped $80 per barrel after Israel targeted Iran's nuclear sites in June, but slid to $67 by the end of the period.

Diamondback said its average realized crude price, excluding hedges, for the quarter stood at $63.23 per barrel, down about 20% from last year.

Production almost doubled at 919,879 barrels of oil equivalent per day (boepd) following its $26 billion acquisition of private rival Endeavor Energy Resources.

The company raised its full-year production forecast to between 890,000 and 910,000 boepd, from between 857,000 and 900,000 boepd, on the back of gas demand.