Gulfport Energy(US:GPOR)2024-05-01 17:49Financial Performance - Total revenues for Q1 2024 were $283.229 million, a decrease of 61.3% compared to $731.221 million in Q1 2023[36] - Natural gas sales in Q1 2024 were $188.286 million, down 33.4% from $282.534 million in Q1 2023[36] - Net income attributable to common stockholders for Q1 2024 was $43.398 million, a decline of 90.0% from $435.526 million in Q1 2023[36] - Basic net income per common share for Q1 2024 was $2.39, compared to $23.08 in Q1 2023[36] - Net income for the three months ended March 31, 2024, was $52,035, compared to $523,054 for the same period in 2023, reflecting a significant decrease[41] - Net cash provided by operating activities decreased to $188,022 from $304,055 year-over-year, a decline of approximately 38.3%[41] - Operating expenses for Q1 2024 totaled $201.463 million, a slight decrease from $208.634 million in Q1 2023[36] - Total sales for natural gas, oil, and NGL decreased by 33% to $238.1 million for the three months ended March 31, 2024, compared to $353.2 million in 2023[155] - The average price of natural gas, including settled derivatives, was $3.16 per Mcfe for the three months ended March 31, 2024, down from $3.71 per Mcfe in 2023[155] Assets and Liabilities - Total current assets decreased to $353.510 million as of March 31, 2024, from $396.806 million at December 31, 2023[34] - Total property and equipment, net, increased to $2.306 billion as of March 31, 2024, from $2.252 billion at December 31, 2023[34] - Total liabilities decreased to $1.023 billion as of March 31, 2024, from $1.062 billion at December 31, 2023[34] - Stockholders' equity increased to $2.187 billion as of March 31, 2024, compared to $2.162 billion at December 31, 2023[34] - The company’s long-term debt decreased to $636,442 as of March 31, 2024, down from $667,382 at the end of 2023, a reduction of approximately 4.9%[60] - The company’s accounts payable and accrued liabilities totaled $290,144 as of March 31, 2024, down from $309,532 at the end of 2023, a decline of about 6.3%[51] Cash Flow and Capital Expenditures - Cash and cash equivalents at the end of the period increased to $8,209 from $3,460 year-over-year, marking a rise of approximately 137.5%[41] - Capital expenditures for the three months ended March 31, 2024, totaled $124.4 million, with $106.4 million allocated to drilling and completion activities[183] - The company estimates drilling and completion capital expenditures for 2024 to be between $330 million and $360 million, with an expected production of approximately 1,045 to 1,080 MMcfe per day[184] - The company expects to spend approximately $50 million to $60 million in 2024 for maintenance leasehold and land investment, focusing on near-term drilling programs[184] Debt and Financing - As of March 31, 2024, the Company had $87.0 million in outstanding borrowings under the Credit Facility and $63.8 million in letters of credit outstanding, in compliance with all covenants[66] - The Credit Facility bore interest at a weighted average rate of 8.33% for the three months ended March 31, 2024[67] - The Company issued $550 million aggregate principal amount of 8.0% senior notes due 2026, with interest payable semi-annually[69] - The carrying value of the outstanding debt represented by the 2026 Senior Notes was $549.4 million, with a fair value of $560.0 million as of March 31, 2024[72] - The company had $87.0 million in outstanding borrowings under its Credit Facility at a weighted average interest rate of 8.33% for the three months ended March 31, 2024[201] Stock and Dividends - During the three months ended March 31, 2024, the Company repurchased 210,075 shares for $29.5 million at a weighted average price of $140.39 per share[83] - The Company paid $1.1 million and $1.3 million in cash dividends to holders of preferred stock for the three months ended March 31, 2024 and 2023, respectively[80] - For the three months ended March 31, 2024, net income attributable to common stockholders was $43.398 million, resulting in a basic EPS of $2.39 and diluted EPS of $2.34[93] Production and Operations - The company's total net production averaged approximately 1,053.7 MMcfe per day for the three months ended March 31, 2024, compared to 1,057.4 MMcfe per day for the same period in 2023[149] - Natural gas production volumes increased by 4% to 88,594 MMcf for the three months ended March 31, 2024, from 84,997 MMcf in the same period of 2023[155] - The company spud five gross (4.66 net) operated wells in Q1 2024, with total incurred costs of approximately $94.1 million[186] Tax and Expenses - The effective income tax rate for the company was 22.4% for the three months ended March 31, 2024, compared to 0% for the same period in 2023[137] - Income tax expense for Q1 2024 was recorded at $14.9 million, compared to no income tax expense in Q1 2023[167] - General and administrative expenses increased by 5% from $8,733,000 in Q1 2023 to $9,198,000 in Q1 2024, primarily due to increases in employee headcount and compensation[163] Derivative Instruments - The fair value of the company's derivative instruments as of March 31, 2024, includes a short-term derivative asset of $228,579,000 and a long-term derivative asset of $45,617,000, resulting in a total commodity derivative position of $220,042,000[113] - For the three months ended March 31, 2024, the total gains on natural gas derivatives amounted to $45,136,000, a significant decrease from $378,061,000 in the same period of 2023[114] - The company's derivative assets as of March 31, 2024, were reported at $274,196,000, while derivative liabilities were $54,154,000, resulting in a net amount of $225,980,000 after offsetting[115]