Berry Petroleum Company Reports 178% Increase in Second Quarter Earnings.Business Editors TAFT, Calif.--(BUSINESS WIRE)--Aug. 8, 2000 Berry Berry, former province, France Berry (bĕrē`), former province, central France. Bourges, the capital, and Châteauroux are the chief towns. Petroleum Company (NYSE NYSE See: New York Stock Exchange :BRY BRY could refer to:
Bry ) today announced net income for the second quarter ended June June: see month. 30, 2000 of $8.9 million, or $.40 per share, on revenue of $26.6 million, up 178% from $3.2 million, or $.15 per share, on revenues of $14.6 million for the second quarter of 1999. Average sales price per barrel of oil equivalent The barrel of oil equivalent (bboe, sometimes BOE) is a unit of energy based on the approximate energy released by burning one barrel of crude oil. The US Internal Revenue Service defines it as equal to 5.8 × 106 BTU [1]. 5. (BOE BOE Based on Experience BOE Board of Education BOE Boletín Oficial del Estado (Spanish) BOE Bank of England BOE Board of Equalization BOE Board of Elections BOE Barrel of Oil Equivalent BOE Bind on Equip ) for the second quarter was $20.19 per barrel, up 78% from $11.37 in the second quarter of 1999, and up 1% from $19.99 in the first quarter of 2000. For the six months ended June 30, 2000, net income was up 368% to $17.8 million, or $.81 per share, on revenues of $52.7 million from $3.8 million, or $.17 per share, on revenues of $ 24.2 million earned in the same 1999 period. Jerry Jer·ry n. pl. Jer·ries Chiefly British Slang A German, especially a German soldier. [Alteration of German. V. Hoffman, Chairman, President and Chief Executive Officer, stated, "Our earnings continue at record levels due to strong crude oil prices and increasing production. Average production in the first six months of 2000 was 14,396 BOE per day, up 8% from 13,383 BOE per day in the same 1999 period. We expect continued increases in our production rates as our 2000 capital program is fully implemented. For example, by the end of July July: see month. our production had climbed to 15,276 BOE per day." Hoffman added, "Our operating costs operating costs npl → gastos mpl operacionales rose to $6.28 per barrel from $4.00 per barrel in the same 1999 period. This increase is directly related to the sharp rise in the price of natural gas which is consumed con·sume v. con·sumed, con·sum·ing, con·sumes v.tr. 1. To take in as food; eat or drink up. See Synonyms at eat. 2. a. as fuel for steam generation in our thermal production process and to higher steam volumes injected in·ject·ed adj. 1. Of or relating to a substance introduced into the body. 2. Of or relating to a blood vessel that is visibly distended with blood. injected 1. introduced by injection. 2. congested. . We anticipate continued higher operating costs if natural gas prices remain strong." Ralph J. Goehring, Senior Vice President and Chief Financial Officer, added, "Our cash generated from operations was $27.4 million, or $1.24 per share, for the first half of 2000. This was a record for the Company and compares very favorably fa·vor·a·ble adj. 1. Advantageous; helpful: favorable winds. 2. Encouraging; propitious: a favorable diagnosis. 3. to $4.8 million, or $.22 per share for the same 1999 period. We continue to apply excess cash to debt retirement. After paying $5 million in July, our long-term debt Long-Term Debt Loans and financial obligations lasting over one year. Notes: For example debts obligations such as bonds and notes which have maturities greater than one year would be considered long-term debt. outstanding is $37 million." Berry Petroleum Company is a publicly traded independent oil and gas production and exploitation company with headquarters in Taft, California Taft is a city in Kern County, California, United States. The population was 6,400 at the 2000 census. Adjoining the town to the north is the unincorporated area called Ford City. On the south end of Taft's municipal border is another unincorporated area known as South Taft. . For more information, including California California (kăl'ĭfôr`nyə), most populous state in the United States, located in the Far West; bordered by Oregon (N), Nevada and, across the Colorado River, Arizona (E), Mexico (S), and the Pacific Ocean (W). heavy oil price postings, visit www.bry.com. Note: Our earnings conference call will be Wednesday, Aug. 9, 2000 at 8:00 a.m. PT. Dial 800/523-5970 (passcode 2609508) to participate. For a digital replay dial 888/843-8996 (passcode 2609508) or visit www.streetfusion.com for an on-demand webcast. Transcripts of this and previous calls may be viewed at www.bry.com/tele.htm.
Condensed Income Statements
(In thousands, except per share data)
(unaudited) (unaudited)
Three Months Ended Six Months Ended
6/30/00 6/30/99 6/30/00 6/30/99
Revenues:
Sales of
oil and gas $ 26,477 $ 14,474 $ 52,503 $ 23,699
Interest and
other
income, net 110 87 221 518
Total 26,587 14,561 52,724 24,217
Expenses:
Operating costs 8,283 5,090 14,988 9,552
Depreciation,
depletion &
amortization 3,393 3,046 6,705 5,888
General and
administrative 1,598 1,148 4,308 2,260
Interest 857 1,039 1,792 1,966
Total 14,131 10,323 27,793 19,666
Income before
income taxes 12,456 4,238 24,931 4,551
Provision for
income taxes 3,562 991 7,198 760
Net income $ 8,894 $ 3,247 $ 17,753 $ 3,791
Basic net
income per
share $ .40 $ .15 $ .81 $ .17
Diluted net
income per
share $ .40 $ .15 $ .80 $ .17
Cash dividends
per share $ .10 $ .10 $ .20 $ .20
Weighted average
common shares:
Basic 22,029 22,009 22,024 22,009
Diluted 22,195 22,054 22,202 22,028
Condensed Balance Sheets
(In thousands)
(unaudited)
June 30, 2000 December 31, 1999
ASSETS
Current assets $ 25,243 $ 18,959
Property & equipment, net 192,996 186,519
Other assets 1,944 2,171
$ 220,183 $ 207,649
LIABILITIES & SHAREHOLDERS'
EQUITY
Current liabilities $ 16,918 $ 10,524
Long-term debt 42,000 52,000
Deferred taxes 31,568 28,912
Shareholders' equity 129,697 116,213
$ 220,183 $ 207,649
Condensed Statements of Cash Flows
(In thousands)
(unaudited)
Six Months Ended
6/30/00 6/30/99
Cash flows from operations:
Net income $ 17,753 $ 3,791
Depreciation,
depletion &
amortization 6,705 5,888
Increase
(decrease) in
deferred income taxes 2,656 (461)
Other, net (63) (83)
Net changes in
operating assets
and liabilities 311 (4,378)
Net cash provided
by operations 27,362 4,757
Net cash used
in investing (12,756) (38,594)
Net cash provided
by (used in) financing (14,407) 30,195
Net decrease
in cash & cash
equivalents 199 (3,642)
Cash & cash
equivalents,
beginning of year 980 7,058
Cash & cash
equivalents,
end of period $ 1,179 $ 3,416
Basic per share
cash flow from
operations $ 1.24 $ .22
Comparative Operating Statistics
Three Months Ended Six Months Ended
6/30/00 6/30/99 Change 6/30/00 6/30/99 Change
Net
production-
BOE
per
day 14,494 13,982 +4% 14,396 13,383 +8%
Per BOE:
Average
sales
price $20.19 $11.37 +78% $20.09 $ 9.64 +108%
Operating
costs 5.80 3.55 +63% 5.26 3.39 +55%
Production
taxes .48 .45 +7% .46 .55 -16%
Total
operating
costs 6.28 4.00 +57% 5.72 3.94 +45%
Depreciation &
depletion 2.57 2.39 + 8% 2.56 2.43 +5%
General &
administrative
expenses 1.21 .90 +34% 1.64 .93 +76%
Interest
expense .65 .82 -21% .69 .81 -15%
"Safe harbor Safe Harbor 1. A legal provision to reduce or eliminate liability as long as good faith is demonstrated. 2. A form of shark repellent implemented by a target company acquiring a business that is so poorly regulated that the target itself is less attractive. under the Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995": With the exception of historical information, the matters discussed in this news release are forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. that involve risks and uncertainties. Although the Company believes that its expectations are based on reasonable assumptions, it can give no assurance that its goals will be achieved. Important factors that could cause actual results to differ materially from those in the forward-looking statements herein include, but are not limited to, the timing and extent of changes in commodity prices for oil, gas and electricity, competition, environmental risks, litigation An action brought in court to enforce a particular right. The act or process of bringing a lawsuit in and of itself; a judicial contest; any dispute. When a person begins a civil lawsuit, the person enters into a process called litigation. uncertainties, drilling, development and operating risks Operating risk The inherent or fundamental risk of a firm, without regard to financial risk. The risk that is created by operating leverage. Also called business risk. , uncertainties about the estimates of reserves, government regulation, Y2k non-compliance by vendors, customers, other business associates and the Company. |
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