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Quicksilver Resources Inc. (KWK - Analyst Report) declared its revised net income and revenue figures for the fiscal fourth quarter and full year 2012. The current figures came in higher than the numbers reported in late Feb 2013.

At the time of the fourth quarter and 2012 earnings release, the company did not take into account any hedge qualifying effects. Instead of deferring the unrealized derivative and losses, Quicksilver took into consideration these adjustments which trickled down to the financial statement.

Including these modifications, net loss for the fourth quarter comes to $548.0 million corresponding to a GAAP loss of $3.22 per share. In comparison, the previous net loss stood at $1.1 billion translating to a GAAP loss of $6.47 per share. On a pro forma basis, the revised earnings per share figure comes to 5 cents compared with a loss of a penny as per the prior report.

For 2012, the recalculated net loss comes to $2.35 billion compared with a net loss of $2.49 billion reported earlier. The modified GAAP loss figure stands at $13.83 per share, favorable than the previous loss of $14.61 per share. Adjusted loss for 2012 also came in lower at 5 cents compared with a loss of 27 cents posted during the release.

Revenue for the quarter shot up 25.1% to $224.0 million from the previous $179.1 million. For 2012, the modified revenue increased 5.7% to $709.0 million from $670.8 million reported earlier.

We believe these positive revisions in both the top and the bottom line will unlock greater value for the company’s shareholders. With natural gas prices regaining its momentum and moving north, we believe independent oil and gas companies like Quicksilver will accrue substantial benefits, going forward. Moreover, the company’s effective hedging program will lend a degree of constancy to its returns.

Additionally, the company will stand to benefit from its agreement with Royal Dutch Shell plc.’s (RDS.A - Analyst Report) business wing – SWEPI LP. The company’s large presence at the resource-rich Horn River, Sand Wash and Barnett plays will certainly bode well for its broad growth objectives.

Quicksilver Resources at present carries a Zacks Rank #2 (Buy). Other oil and gas stocks that look better are Zacks Ranked #1(Strong Buy) EPL Oil &Gas Inc. and Range Resource Corp. (RRC - Analyst Report).

Based in Fort Worth, TX, Quicksilver Resources engages in the acquisition, exploration, development, and production of onshore oil and gas in North America.

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