Southwestern Energy Company (SWN) on April 21, 2016 announced its financial and operating results for the quarter ended March 31, 2016 as well as an update to the progress made on the strategic initiatives disclosed in February 2016. First quarter highlights include:
- Realized net cash (a non-GAAP measure reconciled below) of approximately $147 million, which exceeded capital investments by $25 million;
- Recorded adjusted net loss attributable to common stock (a non-GAAP measure reconciled below) of $32 million, or $0.08 per diluted share, when excluding a non-cash ceiling test impairment of natural gas and oil properties and certain other items;
- Exceeded guidance with natural gas and oil production of 237 Bcfe, including 134 Bcfe from the Appalachia Basin and 103 Bcf from the Fayetteville;
- Identified operating cost reductions of over $40 million annually, with over $15 million realized in the first quarter, as a result of margin enhancement efforts in addition to previously announced cost reductions associated with midstream contracts and workforce reductions; and
- Protected balance sheet with additional 2016 hedges; approximately 23% of expected gas production between April and October hedged utilizing fixed price swaps and put options with an average floor price of $2.42 per Mcf.
“We began the year by leveraging the momentum built by our operational teams in 2015 and are making good progress executing on our strategic initiatives to position the Company for long-term value creation,” remarked Bill Way, President and Chief Executive Officer of Southwestern Energy. “While adjusting activity levels to align with the commodity prices, we exceeded guidance on production volumes and associated costs by continuing our laser focus on efficiency improvements. The actions we are taking to further strengthen our balance sheet, enhance operating margins and optimize cash flow will continue to provide benefits in the current environment, and will enable us to enhance shareholder value as commodity prices improve.”
First Quarter of 2016 Financial Results
For the first quarter of 2016, Southwestern reported an adjusted net loss attributable to common stock (reconciled below) of $32 million, or $0.08 per diluted share and a net loss attributable to common stock of $1.2 billion, or $3.03 per diluted share. This compares to adjusted net income attributable to common stock of $84 million, or $0.22 per diluted share, and net income attributable to common stock of $46 million, or $0.12 per diluted share, in the first quarter of 2015.
Net cash (reconciled below) was $147 million for the first quarter of 2016, compared to $493 million for the same period in 2015. On a GAAP basis, net cash provided by operating activities was $92 million for the first quarter of 2016, compared to $541 million in the first quarter of 2015.
The first quarter of 2015 included the operating results from our gathering system in northeast Pennsylvania and our conventional E&P assets in East Texas and the Arkoma basin which were divested during the second quarter of 2015.
Southwestern Energy Company earnings per share showed a decreasing trend of -567.3% for the current fiscal year. The company’s expected EPS growth rate for next fiscal year is 39%.Analysts project EPS growth over the next 5 years at 57.35%. It has EPS annual decline over the past 5 fiscal years of -55.5% when sales grew 3.7. It reported -37.9% sales drop, and 0% EPS decline in the last quarter.
The stock is trading at $13.67, up 173.4% from 52-week low of $5. The stock trades down -48.55% from its peak of $25.46 and -24.51% below the consensus price target of $10.32. Its volume clocked up at 15.2 million shares which is lower than the average volume of 18.48 million shares. Its market capitalization currently stands at $5.02B.
0 yorum:
Yorum Gönder