| Range Resources Posts Narrower-than-Expected Loss in Q3 | |
| | |
|
Range Resources Corp. RRC reported third-quarter 2015 adjusted loss of 5 cents per share, narrower than the Zacks Consensus Estimate of a loss of 14 cents. Shares of the company gained over 4% in the after-hours trading session.
The bottom line, however, compared unfavorably with the year-ago quarter adjusted earnings of 32 cents per share. Range Resources Corporation (RRC) - Earnings Surprise | FindTheCompany Third-quarter total revenue of $416 million surpassed the Zacks Consensus Estimate of $392 million but plunged 32.6% year over year from $616.6 million. The year-over-year decline is attributable to reduced realizations.
Operational Performance
Range Resources’ third-quarter production averaged 1,445 million cubic feet equivalent per day (MMcfe/d). Of the total production, 73% comprised natural gas, while natural gas liquids (NGLs) and oil accounted for the remainder. Total production volume improved 20% from the year-earlier quarter, mainly on the back of sustained accomplishment from the company’s drilling program.
Oil production fell 3%, NGL rose 1% and natural gas production soared 29%, all on a year-over-year basis. Range Resources’ high spending level led to the relative increase in oil, natural gas liquids and natural gas production.
The company’s total price realization (including the effect of hedges and derivative settlements) averaged $2.18 per Mcfe, down 36% year over year. The overall price comprised NGL at $7.09 per barrel (down 64% year over year), crude oil at $76.25 per barrel (down 3%) and natural gas at $1.87 per Mcf (down 30%).
Financials
At the end of the quarter, long-term debt was $3,587 million, which represents a debt-to-capitalization ratio of 53.8%.
Guidance
For the fourth quarter, the company expects average production of 1.42 billion cubic feet equivalent (Bcfe) per day of which, liquids will be 26%. The company expects direct operating expenses in the range of $0.27–$0.29 per Mcfe. Transportation, gathering and compression expenses are likely to range between $0.79 per Mcfe and $0.81 per Mcfe, while exploration expenses are projected to be in the $6–$8 million range.
For 2015, the company has reaffirmed its production growth guidance of 20% year over year and capital budget outlook at $870 million.
Zacks Rank and Other Stock Picks
Range Resources carries a Zacks Rank #3 (Hold).
Some better-ranked stocks from the oil and gas exploration and production industry are Apache Corp. APA, Chesapeake Energy Corporation CHK and Denbury Resources Inc. DNR. All these stocks hold a Zacks Rank #2 (Buy).
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report RANGE RESOURCES (RRC): Free Stock Analysis Report CHESAPEAKE ENGY (CHK): Free Stock Analysis Report APACHE CORP (APA): Free Stock Analysis Report DENBURY RES INC (DNR): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research
|
|
|
Range Resources Ltd
|
|
EXPLORATION STAGE |
CODE : RRS.AX |
ISIN : AU000000RRS3 |
|
| |
ProfileMarket IndicatorsVALUE : Projects & res.Press releasesAnnual reportRISK : Asset profileContact Cpy |
Range Res. is a gold exploration company based in Australia. Range Res. holds various exploration projects in Australia. Its main exploration properties are CORACHAPI in Peru and DONNYBROOK in Australia. Range Res. is listed in Australia and in Germany. Its market capitalisation is AU$ 7.6 millions as of today (US$ 5.2 millions, € 4.7 millions). Its stock quote reached its highest recent level on March 11, 2011 at AU$ 0.38, and its lowest recent point on November 22, 2019 at AU$ 0.00. Range Res. has 7 595 830 272 shares outstanding. |