EASTEX ANNOUNCES THIRD QUARTER RESULTS
EASTEX ANNOUNCES THIRD QUARTER RESULTS HOUSTON, Nov. 6 /PRNewswire/ -- Eastex Energy Inc. (NASDAQ: ETEX)
today reported net earnings of $447,000 or $0.10 per common share on sales revenues of $28.2 million for the three months ended Sept. 30, 1991, as compared to a net loss of $190,000 or $0.04 per share for the quarter ended Sept. 30, 1990. For the nine months ended Sept. 30, 1991, the company earned $761,000 or $0.18 per common share on sales revenues of $96.1 million, compared to a net loss of $1,232,000 or $0.26 per common share on revenues of $102.6 million for the same period 1990.
The company's improvement in profits during the third quarter 1991 were due to a 23 percent increase in natural gas sales and transportation volumes and a 60 percent increase in gross margins as a percentage of revenues, despite a 13 percent decline in average sales prices when compared to the same period last year. Eastex's combined volumes were 21.3 Bcf or 232,000 Mmbtu/d in the third quarter 1991 and 66.9 Bcf or 245,000 Mmbtu/d for the nine months ended Sept. 30, 1991. "We are pleased to successfully complete the third quarter with continued growth in natural gas operations and a healthy financial condition," stated Eastex Chairman Robert G. Phillips. "The company's focus on increased sales to the electrical generation markets and use of the Rotherwood Storage and Interchange Facility to meet the needs of these power plant customers resulted in higher than average margins during the recent period. We will continue to pursue long term contract opportunities which benefit from our ownership of gas storage at Rotherwood. The current expansion of Rotherwood to interconnect with Natural Gas Pipeline Co. of America's Gulf Coast System will provide access to greater supplies and markets." The company is currently evaluating the acquisition of gathering, processing and production assets to increase the size and scope of operations in its non-marketing businesses. Additionally, Eastex is continuing to develop its Strategic Reserve Acquisition Plan which entails the formation of joint ventures with industry partners to acquire low cost oil and natural gas reserves for dedication under long term gas sales contracts. Eastex Energy Inc. through its various subsidiaries is involved in the marketing, storage, gathering and transportation of natural gas. EASTEX ENERGY INC. Selected Operating Information (000's omitted, except per share amounts) 9/30/91 12/31/90 Balance Sheet Data: Total assets $38,373 $46,666 Property and equipment, net 15,370 16,249 Long-term debt, less current maturities 5,777 6,055 Stockholders' equity $13,621 $12,878 Periods ended Three Months Nine Months Sept. 30 1991 1990 1991 1990 Income Statement Data: Revenues $28,161 $26,094 $96,061 $102,592 Gross profit 2,126 1,152 4,779 2,102 General and admin. expense 808 841 2,110 2,754 Depreciation, depletion and amortization 347 382 1,023 1,110 Operating income (loss) 971 (71) 1,646 (1,762) Net other income (expense) (133) (115) (357) (229) Net income (loss) before federal and state income taxes and minority interest 838 (186) 1,289 (1,991) Net income (loss) $ 447 $ (190) $ 761 $ (1,232) Earnings (loss) per share $0.10 $(0.04) $0.18 $(0.26) -0- 11/6/91 /CONTACT: Robert G. Phillips, president and chief executive officer of Eastex Energy, 713-650-6255/ (ETEX) CO: Eastex Energy Inc. ST: Texas IN: OIL SU: ERN GK -- NY072 -- 1824 11/06/91 15:14 EST
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|Date:||Nov 6, 1991|
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