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Antero Resources (AR) Q1 Earnings Beat on Higher Production
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Antero Resources Corporation (AR - Free Report) reported first-quarter 2024 adjusted earnings of 7 cents per share, which beat the Zacks Consensus Estimate of 4 cents. However, the bottom line declined significantly from the year-ago quarter’s level of 51 cents.
Total quarterly revenues of $1.12 billion surpassed the Zacks Consensus Estimate of $1.08 billion. The top line, however, decreased from the year-ago quarter’s figure of $1.41 billion.
Better-than-expected quarterly earnings can be primarily attributed to higher production volumes, driven by strong well performance and lower operating expenses. However, a decline in natural-gas-equivalent price realization has offset the positives.
Antero Resources Corporation Price, Consensus and EPS Surprise
Total production in the first quarter was 312 billion cubic feet equivalent (Bcfe), up 6% from 295 Bcfe recorded a year ago. Our estimate for the same was pinned at 297 Bcfe.
Natural gas production (accounting for 65% of the total production) was 202 Bcf, up 4% from 194 Bcf recorded a year ago. The figure also exceeded our estimate of 197 Bcf.
Oil production in the quarter amounted to 1,035 thousand barrels (MBbls), up 25% from the 831 MBbls registered in the year-ago period.
AR reported production of 6,760 MBbls of C2 Ethane, up 10% from 6,141 MBbls recorded a year ago. Our estimate for the same was pinned at 7,108 MBbls.
The company’s production of 10,564 MBbls of C3+ NGLs was 7% higher than 9,857 MBbls reported in the year-ago period. The figure also surpassed our estimate of 10,254 MBbls.
Weighted natural-gas-equivalent price realization in the quarter was $3.39 per thousand cubic feet equivalent (Mcfe), lower than the year-ago quarter’s figure of $4.13. Our estimate for the same was pegged at $2.75 Mcfe.
Realized prices for natural gas declined 32% to $2.35 per Mcf from $3.45 recorded a year ago. Our estimate for the same was pinned at $2.24 per Mcf.
The company’s oil price realization in the quarter was $62.53 per barrel (Bbl), slightly up from $62.35 registered a year ago. The figure was below our estimate of $65.43 per Bbl.
The realized price for C3+ NGLs increased to $43.05 per Bbl from $42.95 reported a year ago.
The realized price for C2 Ethane decreased 21% to $9.32 per Bbl from $11.73 recorded a year ago. The figure also missed our estimate of $12.54 per Bbl.
Operating Expenses
Total operating expenses decreased to $1.06 billion from $1.08 billion reported in the year-ago period. Our estimate for the same was pinned at $1.02 million.
However, average lease operating costs were 9 cents per Mcfe, down 10% from 10 cents recorded in the year-ago period. The gathering and compression costs were 72 cents per Mcfe in line with the prior-year quarter’s number.
Transportation expenses declined 6% from the prior-year quarter’s level to 62 cents per Mcfe, while processing costs increased 1% to 82 cents per Mcfe.
Capex & Financials
In the first quarter, Antero Resources spent $187 million on drilling and completion operations. As of Mar 31, 2024, it had no cash and cash equivalents. The company had a long-term debt of $1.51 billion as of the same date.
Guidance
For 2024, Antero Resources increased its net daily natural gas-equivalent production guidance to 3.35-3.4 Bcfe/d, including higher liquid volumes. The company lowered its cash production expense guidance to $2.40-$2.50 per Mcfe.
Zacks Rank & Stocks to Consider
Currently, Antero Resources carries a Zacks Rank #3 (Hold).
SM Energy Company is an independent oil and gas company engaged in the exploration, exploitation, development, acquisition, and production of oil and gas in North America. SM currently has a Value Score of B.
The Zacks Consensus Estimate for SM’s 2024 and 2025 EPS is pegged at $6.33 and $6.96, respectively. The stock has witnessed upward earnings estimate revisions for 2024 and 2025 in the past seven days.
EOG Resources, an oil and gas exploration company, boasts attractive growth prospects, top-tier returns, and a disciplined management team, leveraging highly productive acreages in prime oil shale plays like the Permian and Eagle Ford.
The Zacks Consensus Estimate for EOG’s 2024 EPS is pegged at $12.29. The company has a Zacks Style Score of B for Value. It has witnessed upward earnings estimate revisions for 2024 and 2025 in the past seven days.
PBF Energy operates with a diverse asset base of six refineries, boasting higher daily crude processing capacity and a complex refining system enabling the production of superior-grade refined products.
The Zacks Consensus Estimate for PBF’s 2024 and 2025 EPS is pegged at $7.39 and $5.87, respectively. PBF currently has a Zacks Style Score of A for Value and A for Momentum. Over the past seven days, PBF has witnessed upward earnings estimate revisions for 2024 and 2025.
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Antero Resources (AR) Q1 Earnings Beat on Higher Production
Antero Resources Corporation (AR - Free Report) reported first-quarter 2024 adjusted earnings of 7 cents per share, which beat the Zacks Consensus Estimate of 4 cents. However, the bottom line declined significantly from the year-ago quarter’s level of 51 cents.
Total quarterly revenues of $1.12 billion surpassed the Zacks Consensus Estimate of $1.08 billion. The top line, however, decreased from the year-ago quarter’s figure of $1.41 billion.
Better-than-expected quarterly earnings can be primarily attributed to higher production volumes, driven by strong well performance and lower operating expenses. However, a decline in natural-gas-equivalent price realization has offset the positives.
Antero Resources Corporation Price, Consensus and EPS Surprise
Antero Resources Corporation price-consensus-eps-surprise-chart | Antero Resources Corporation Quote
Overall Production
Total production in the first quarter was 312 billion cubic feet equivalent (Bcfe), up 6% from 295 Bcfe recorded a year ago. Our estimate for the same was pinned at 297 Bcfe.
Natural gas production (accounting for 65% of the total production) was 202 Bcf, up 4% from 194 Bcf recorded a year ago. The figure also exceeded our estimate of 197 Bcf.
Oil production in the quarter amounted to 1,035 thousand barrels (MBbls), up 25% from the 831 MBbls registered in the year-ago period.
AR reported production of 6,760 MBbls of C2 Ethane, up 10% from 6,141 MBbls recorded a year ago. Our estimate for the same was pinned at 7,108 MBbls.
The company’s production of 10,564 MBbls of C3+ NGLs was 7% higher than 9,857 MBbls reported in the year-ago period. The figure also surpassed our estimate of 10,254 MBbls.
Realized Prices (Excluding Derivative Settlements)
Weighted natural-gas-equivalent price realization in the quarter was $3.39 per thousand cubic feet equivalent (Mcfe), lower than the year-ago quarter’s figure of $4.13. Our estimate for the same was pegged at $2.75 Mcfe.
Realized prices for natural gas declined 32% to $2.35 per Mcf from $3.45 recorded a year ago. Our estimate for the same was pinned at $2.24 per Mcf.
The company’s oil price realization in the quarter was $62.53 per barrel (Bbl), slightly up from $62.35 registered a year ago. The figure was below our estimate of $65.43 per Bbl.
The realized price for C3+ NGLs increased to $43.05 per Bbl from $42.95 reported a year ago.
The realized price for C2 Ethane decreased 21% to $9.32 per Bbl from $11.73 recorded a year ago. The figure also missed our estimate of $12.54 per Bbl.
Operating Expenses
Total operating expenses decreased to $1.06 billion from $1.08 billion reported in the year-ago period. Our estimate for the same was pinned at $1.02 million.
However, average lease operating costs were 9 cents per Mcfe, down 10% from 10 cents recorded in the year-ago period. The gathering and compression costs were 72 cents per Mcfe in line with the prior-year quarter’s number.
Transportation expenses declined 6% from the prior-year quarter’s level to 62 cents per Mcfe, while processing costs increased 1% to 82 cents per Mcfe.
Capex & Financials
In the first quarter, Antero Resources spent $187 million on drilling and completion operations. As of Mar 31, 2024, it had no cash and cash equivalents. The company had a long-term debt of $1.51 billion as of the same date.
Guidance
For 2024, Antero Resources increased its net daily natural gas-equivalent production guidance to 3.35-3.4 Bcfe/d, including higher liquid volumes. The company lowered its cash production expense guidance to $2.40-$2.50 per Mcfe.
Zacks Rank & Stocks to Consider
Currently, Antero Resources carries a Zacks Rank #3 (Hold).
Investors interested in the energy sector may look at some better-ranked companies like SM Energy Company (SM - Free Report) , EOG Resources Inc., (EOG - Free Report) and PBF Energy Inc. (PBF - Free Report) . While SM Energy sports a Zacks Rank #1 (Strong Buy), EOG Resources and PBF Energy carry a Zacks Rank #2 (Buy) each at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
SM Energy Company is an independent oil and gas company engaged in the exploration, exploitation, development, acquisition, and production of oil and gas in North America. SM currently has a Value Score of B.
The Zacks Consensus Estimate for SM’s 2024 and 2025 EPS is pegged at $6.33 and $6.96, respectively. The stock has witnessed upward earnings estimate revisions for 2024 and 2025 in the past seven days.
EOG Resources, an oil and gas exploration company, boasts attractive growth prospects, top-tier returns, and a disciplined management team, leveraging highly productive acreages in prime oil shale plays like the Permian and Eagle Ford.
The Zacks Consensus Estimate for EOG’s 2024 EPS is pegged at $12.29. The company has a Zacks Style Score of B for Value. It has witnessed upward earnings estimate revisions for 2024 and 2025 in the past seven days.
PBF Energy operates with a diverse asset base of six refineries, boasting higher daily crude processing capacity and a complex refining system enabling the production of superior-grade refined products.
The Zacks Consensus Estimate for PBF’s 2024 and 2025 EPS is pegged at $7.39 and $5.87, respectively. PBF currently has a Zacks Style Score of A for Value and A for Momentum. Over the past seven days, PBF has witnessed upward earnings estimate revisions for 2024 and 2025.