Devon Energy reported net income of $562 million, or 90 cents a share, for the quarter, down from $639 million, or 98 cents a share, a year earlier. The decline in earnings per share comes as the company prepares for its $4.8 billion merger with Coterra Energy, announced in January.

The oil and gas producer has been navigating volatile commodity prices and production challenges in recent quarters. The company's revenue also declined compared to the prior year period, though specific figures were not disclosed in the brief report. Analysts had expected Devon to face headwinds as energy markets remained uncertain.

Despite the profit slip, Devon's merger with Coterra is expected to close in the second quarter, creating a combined entity with significant scale in U.S. shale operations. The deal positions the merged company to better weather market volatility and capitalize on production efficiencies. Devon's latest results suggest the company faces challenges even as it pursues strategic consolidation in the sector.