QEP Resources, Inc. (QEP - Free Report) reported in-line third quarter profit, primarily driven by robust production. Precisely, the upstream player’s output of 8,404 thousand barrels of oil equivalent (Mboe) surpassed the Zacks Consensus Estimate of 7,500 Mboe. Consequently, the company saw its net income per share (excluding special items) come in at 5 cents per share, same as the Zacks Consensus Estimate.
However, QEP Resources’ bottom line witnessed a fall from the year-ago quarter’s adjusted profit of 17 cents on weak commodity price realizations.
Quarterly revenues of $307.5 million surpassed the Zacks Consensus Estimate of $296 million. However, the top line deteriorated sharply from the year-ago figure of $560.8 million.
Further, it has increased its full-year output guidance, and trimmed cost and capex forecasts. QEP Resources expects to generate positive free cash flow in the remainder of 2019 and 2020 at an oil price of $55 a barrel.
QEP Resources also named two new independent directors to its board as per the company’s cooperation agreement with billionaire activist investor Paul Singer’s Elliott Management Corp. Notably, despite the multibillion-dollar buyout offer from Elliot, the Denver-based oil and gas explorer has decided to remain an independent firm.