Cimarex Energy Co. (XEC) Tuesday reported lower profit for the first quarter influenced by higher operating expenses. Earnings per share were lower than analyst estimates. The company further reiterated the full-year production guidance.
For the quarter the company reported net income of $89.92 million or $1.04 per share, down from $106.1 million $1.23 per share for the year-earlier period.
The net income includes a non-cash hedging loss of $2.3 million, or $0.02 per share. Twenty four analysts on average polled by Thomson Reuters estimated earnings per share of $1.08 for the quarter. Analyst estimates typically exclude one-time items.
Revenue for the three months was $426.35 million, up from $423.03 million last year. Analysts were looking for revenue of $429.19 million for the three months.
Operating expenses for the three months were $281.85 million, up from $257.84 million for the prior-year period.
The firm further posted first quarter production of 661.1 million cubic feet equivalent or MMcfe per day compared with the prior-year first quarter output of 603.5 MMcfe per day.
Looking forward, Cimarex Energy said production volume guidance for the full-year is still projected to average 675-705 MMcfe per day, an increase of 8-13 percent over last year. Further, total volumes for the second quarter are projected to average 667-692 MMcfe per day, a 13-17 percent increase over the same period a year earlier.
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