Printer Friendly

KERR-MCGEE REPORTS LOWER NET INCOME FOR FIRST QUARTER

 KERR-MCGEE REPORTS LOWER NET INCOME FOR FIRST QUARTER
 OKLAHOMA CITY, April 27 /PRNewswire/ -- Kerr-McGee Corp.'s


(NYSE: KMG) net income for the first quarter of 1992 was $8.6 million (18 cents per share), excluding an extraordinary charge. This represents a decrease of 71 percent from $29.7 million (61 cents per share) in the like quarter last year. The extraordinary, after-tax charge of $2.4 million (5 cents per share) was due to the early redemption of 9.75 percent debt.
 First-quarter operating profit declined 43 percent compared with the like 1991 quarter, said Frank A. McPherson, chairman and chief executive officer. Operating profit declined for each of the Kerr-McGee business segments, with the majority of the decline due to lower crude oil and natural gas prices and reduced refining and marketing margins, he said.
 In exploration and production, crude oil prices were down $3.37 per barrel, and natural gas prices declined 26 cents per thousand cubic feet. The effect of the lower sales prices more than offset increased crude oil and natural gas production and lower exploration expense.
 Crude oil production averaged 50,700 barrels per day in the first quarter, up from 48,600 barrels per day. Average daily natural gas deliveries increased 14 percent to 319 million cubic feet.
 First-quarter operating profit from chemicals, compared with the 1991 period, was down primarily due to a significant decrease in ammonium perchlorate sales volume as a result of cutbacks in U.S. defense spending and to somewhat lower sales price realizations from titanium dioxide pigment.
 Operating profit from coal was down as a result of lower margins and lower sales volumes.
 Net interest expense was up in the 1992 first quarter. The company had higher interest income in the corresponding 1991 quarter from the investment of proceeds from sales late in 1990 of its offshore contract drilling and soda products operations.
 First-quarter sales were $783 million, about the same as in last year's first quarter. Cash flow from operations totaled $87 million, compared with $110 million in the 1991 quarter. Capital expenditures were $106 million, up slightly from $102 million in the 1991 quarter.
 KERR-MCGEE CORP.
 OPERATING RESULTS
 (In millions of dollars, except per-share amounts)
 Three Months Ended Percent
 March 31, Increase
 1992 1991 (Decrease)
 Sales $ 782.7 $ 785.6 ---
 Income before Extraordinary
 Charge 8.6 29.7 (71)
 Extraordinary Charge,
 Net of Income Taxes (2.4) --- N/A
 Net Income 6.2 29.7 (79)
 Income per Common Share
 Income before Extraordinary
 Charge 0.18 0.61 (70)
 Extraordinary Charge (0.05) --- N/A
 Net Income $0.13 $0.61 (79)
 Weighted Average Shares
 Outstanding (thousands) 48,267 48,467 ---
 Shares Outstanding at
 End of Period (thousands) 48,267 48,442 ---
 Net Income Plus Net Noncash
 Operating Items $87.2 $110.3 (21)
 Cash Provided by Operating
 Activities 22.5 46.8 (52)
 FINANCIAL DATA
 (In million of dollars)
 Three Months Ended Percent
 March 31, Increase
 1992 1991 (Decrease)
 Interest Expense,
 Net of Interest Income $ 16.1 $ 7.6 112
 Nonoperating Expense, Net 8.0 10.6 (25)
 Income Tax Expense 3.8 18.6 (80)
 Total Tax Expense 24.5 39.5 (38)
 Dividends Paid 18.4 17.5 5
 Capital Expenditures -
 Exploration and production 53.3 59.0 (10)
 Refining and marketing 13.2 8.1 63
 Chemicals 8.4 28.3 (70)
 Coal 24.6 4.6 435
 Other 6.6 1.8 267
 Total Capital Expenditures 106.1 101.8 4
 Exploration Expenses -
 Petroleum
 Dry hole costs 0.4 6.1 (93)
 Amortization of undeveloped
 leases 4.5 4.8 (6)
 Other 6.4 7.4 (14)
 Total 11.3 18.3 (38)
 Minerals and other 0.9 0.9 ---
 Total Exploration Expenses 12.2 19.2 (36)
 Less - Amortization of oil and
 gas and minerals leases and
 other noncash expenses 4.5 4.8 (6)
 7.7 14.4 (47)
 Total Capital Expenditures
 and Cash Exploration Expenses $113.8 $116.2 (2)
 BUSINESS SEGMENT INFORMATION
 (In millions of dollars)
 Three Months Ended Percent
 March 31, Increase
 1992 1991 (Decrease)
 Sales
 Exploration and production (a) $ 87.6 $ 90.3 (3)
 Refining and marketing 504.5 511.9 (1)
 Chemicals 113.6 104.2 9
 Coal 76.8 78.8 (3)
 Other 0.2 0.4 (50)
 Total $782.7 $785.6 ---
 Operating Profit (Loss)
 Exploration and production $ 11.7 $ 18.6 (37)
 Refining and marketing (7.7) 5.5 N/A
 Chemicals 15.9 22.2 (28)
 Coal 18.2 21.4 (15)
 Other (0.1) (1.2) (92)
 Total $ 38.0 $ 66.5 (43)
 Net Operating Profit (Loss)
 Exploration and production $ 5.5 $ 10.4 (47)
 Refining and marketing (5.3) 3.4 N/A
 Chemicals 9.4 12.7 (26)
 Coal 13.5 16.5 (18)
 Other (0.1) (1.3) (92)
 Total 23.0 41.7 (45)
 Net Interest Expense (9.2) (5.0) 84
 Net Nonoperating Expense (5.2) (7.0) (26)
 Income before Extraordinary Charge 8.6 29.7 (71)
 Extraordinary Charge,
 Net of Income Taxes (2.4) --- N/A
 Net Income $ 6.2 $ 29.7 (79)
 (a) Excludes intercompany sales, primarily crude oil sales, of $43.7 and $53.1 for the three months ended March 31, 1992 and 1991, respectively.
 OPERATING STATISTICS
 Three Months Ended Percent
 March 31, Increase
 1992 1991 (Decrease)
 Crude oil & condensate prod.
 (thousands of bbls/day)
 United States 24.2 20.6 17
 Canada 5.2 4.7 11
 North Sea 17.0 19.1 (11)
 Other international 4.3 4.2 2
 Total 50.7 48.6 4
 Average price of crude oil
 sold (per bbl.)
 United States $16.73 $20.57 (19)
 Canada 14.77 17.66 (16)
 North Sea 17.64 21.11 (16)
 Other international 15.87 16.15 (2)
 Average $16.73 $20.10 (17)
 Natural gas sales (MMCF/day) 319 279 14
 Total refinery runs
 (thousands of bbls/day) 125.5 102.7 22
 Refined product sales
 (thousands of bbls/day) 245.4 205.0 20
 Industrial chemical sales
 (thousands of tons) 101 75 35
 Treated forest product sales
 (millions of board feet) 47 47 ---
 Coal shipped from company mines
 (thousands of tons) 5,236 5,502 (5)
 -0- 4/27/92
 /CONTACT: Sigrid A. Bowman of Kerr-McGee, 405-270-3992/
 (KMG) CO: Kerr-McGee Corp. ST: Oklahoma IN: OIL SU: ERN


MC -- DV006 -- 3349 04/27/92 16:17 EDT
COPYRIGHT 1992 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1992 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Apr 27, 1992
Words:1063
Previous Article:CIPRICO REPORTS SECOND QUARTER, SIX MONTH RESULTS
Next Article:AVERY DENNISON ANNOUNCES FIRST QUARTER RESULTS


Related Articles
KERR-MCGEE REPORTS LOWER NET INCOME FOR FIRST QUARTER
KERR-McGEE'S FIRST-QUARTER INCOME INCREASES 30%
Kerr-McGee's First-Quarter Net Income up 47%
Kerr-McGee Reports First-Quarter Net Income
Kerr-McGee Reports Record First-Quarter Earnings.
Kerr-McGee Reports First-Quarter Earnings.
Kerr-McGee Announces 2004 First-Quarter Earnings.
Kerr-McGee Reports 2003 Third-Quarter Results; Operating Profit Increases 24%.
Kerr-McGee Reports 2003 Second-Quarter Results.
Kerr-McGee More Than Doubles 2003 First-Quarter Operating Profit.

Terms of use | Copyright © 2016 Farlex, Inc. | Feedback | For webmasters