Oil and natural gas producer Petrohawk Energy Corp. (HK)Wednesday reported a loss in the third quarter compared to profit in the same period last year, mainly hurt by lower operating revenues along with an increase in operating expenses. Further, the company raised fourth-quarter and fiscal-2009 production outlook.
For the latest quarter, the US-based company posted net loss available to common stock holders of $40.18 million or $0.14 per share, compared to net income available to common stock holders of $305.47 million or $1.28 per share in the corresponding quarter a year ago. Net income available to common stock holders, excluding selected items, for the quarter were $31.21 million or $0.11 per share, down from $43.95 million or $0.19 per share in the prior year quarter. Pre-tax loss for the quarter was $65.04 million, versus pre-tax loss of $496.07 million last year.
Analysts polled by Thomson Reuters expected the company to report earnings of $0.12 per share for the quarter. Analysts' estimates typically exclude special items.
Total operating revenues for the three-month period fell to $237.94 million from $304.96 million on year. Fourteen analysts had consensus revenue estimate of $305.02 million for the quarter.
Segment-wise, oil and natural gas divison recorded revenues of $174.78 million, lower than $304.96 million in the previous year. Also, for the most recent quarter, the company reported marketing revenues of $63.16 million, which was absent in the same quarter last year.
In the third quarter of fiscal 2009, the company incurred marketing expenses of $66.59 million, versus zero marketing expenses in the preceding year. Besides, general and administrative expenses increased year-over-year to $20.41 million from $15.61 million. As a result, Petrohawk Energy reported loss from operations of $4.49 million for the latest quarter, compared to income from operations of $147.87 million last year. Total other expenses were $60.55 million, versus other income of $348.2 million in the prior year.
For the three-month period, Petrohawk's daily production rose to 512 Mmcfe from 315 Mmcfe on year.
For the first nine months, the US-based company posted net loss available to common stock holders of $1.06 billion or $3.88 per share, in comparison with net income avialble to common stock holders of $157.09 million or $0.74 per share in the same quarter a year earlier. Excluding selected items, net income avilable to common stock holders dropped year-over-year to $72.39 million or $0.23 per share from $124.27 million or $0.59 per share in the prior year. Pre-tax loss was 1.71 billion compared to pre-tax income of $256.86 million last year.
Total operating revenues for the latest period plunged to $728.69 million from $824.53 million in the previous year.
Looking ahead, Petrohawk Energy lifted fourth-quarter production guidance to the range of 565 Mmcfe/d and 575 Mmcfe/d from 525 Mmcfe/d and 535 Mmcfe/d expected earlier, excluding the effect of Permian Basin production for two months of the quarter.
Production outlook for 2010 is raised to the range of 665 Mmcfe/d and 685 Mmcfe/d, which represents a 43% pro forma increase over 2009, taking into account the sale of the Permian Basin properties.
HK closed Wednesday's regular trade at $24.24, up $0.38 or 1.59%, on a volume of 4.38 million shares. In the afterhours, the company's shares plummeted $0.19 or 0.78% to $24.05.
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