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Anadarko Petroleum (APC) Misses Earnings Estimates in Q4

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Anadarko Petroleum Corporation’s (APC - Free Report) fourth-quarter 2018 adjusted earnings of 38 cents per share missed the Zacks Consensus Estimate of 57 cents by 33.33%.

On a GAAP basis, Anadarko Petroleum’s bottom line was 21 cents per share, up from prior-year quarter’s figure of $1.80.

Total Revenues

In the reported quarter, Anadarko Petroleum’s revenues of $3,349 million missed the Zacks Consensus Estimate of $3,475 million by 3.6%. Nevertheless, the top line increased 14.3% year over year. The upside was primarily driven by higher oil and natural gas sales.

In 2018, the company reported revenues of $ 13,382 million, up 12.4% year over year.

Anadarko Petroleum Corporation Price, Consensus and EPS Surprise

 

Anadarko Petroleum Corporation Price, Consensus and EPS Surprise | Anadarko Petroleum Corporation Quote

 

Operational Highlights

In the quarter under review, the company’s average daily sales volume was 701,000 barrels of oil equivalent per day (BOE/d) up 10% year over year. U.S. Onshore assets delivered sales volumes of 457,000 BOE/d on a divestiture-adjusted basis, up 17.2% from the prior-year quarter’s tally.

The company’s total costs and expenses in the fourth quarter increased 19.4% year over year to $3,079 million, primarily owing to higher oil and gas operating as well as transportation, depreciation, depletion and  amortization along with impairments expenses.

Interest expenses came in at $244 million, down 3.2% from $252 million in the year-earlier quarter.

Financial Condition

Anadarko Petroleum had cash and cash equivalents of $1,295 million as of Dec 31, 2018, down from $4,553 million as of Dec 31, 2017.

Long-term debt as of Dec 31, 2018 was $15,470 million, reflecting a decline from $15,547 million as of Dec 31, 2017.

The company’s net cash flow from operating activities during the quarter under consideration was $1,627 million compared with $1,390 million in the prior-year quarter.

Guidance

Anadarko Petroleum expects average daily oil sales volume in the range of 667,000-711,000 BOE/d for the first quarter of 2019.

It expects capital expenditure in the range of $1,100-$1,300 million for first-quarter 2019.

Anadarko Petroleum anticipates an average daily oil sales volume in the band of 712,000-740,000 BOE/d for 2019.

It projects 2019 capital expenditure between $4,300 million and $4,700 million.

Zacks Rank

Anadarko Petroleum currently has a Zacks Rank #5 (Sell).

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Other Oils-Energy Releases

CNX Resources Corporation (CNX - Free Report) delivered adjusted earnings of 67 cents per share in fourth-quarter 2018, beating the Zacks Consensus Estimate of 28 cents by 139.3%.

Murphy Oil Corporation (MUR - Free Report) delivered fourth-quarter 2018 adjusted earnings of 31 cents per share, beating the Zacks Consensus Estimate of 26 cents by 19.2%

Upcoming Release

Cheniere Energy, Inc (LNG - Free Report) has Earnings ESP of +59.63% and a Zacks Rank #3. The company is expected to release fourth-quarter 2018 results on Feb 26.

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