Oasis Petroleum Inc (OAS) swung to a net loss for the quarter ended Dec. 31, 2016. The company has made a net loss of $54.69 million, or $ 0.25 a share in the quarter, against a net profit of $3.97 million, or $0.03 a share in the last year period. On an adjusted basis, net loss for the quarter stood at $16.24 million, or $0.08 a share compared with a net profit of $7.81 million, or $0.06 a share in the last year period. Revenue during the quarter grew 19.73 percent to $217.99 million from $182.07 million in the previous year period. Gross margin for the quarter expanded 265 basis points over the previous year period to 97.90 percent. Operating margin for the quarter stood at negative 0.78 percent as compared to a negative 29.20 percent for the previous year period.
Operating loss for the quarter was $1.70 million, compared with an operating loss of $53.17 million in the previous year period.
However, the adjusted EBITDA for the quarter stood at $130.86 million compared with $176.69 million in the prior year period. At the same time, adjusted EBITDA margin contracted 3702 basis points in the quarter to 60.03 percent from 97.05 percent in the last year period.
“Oasis continues to deliver industry leading performance across a top tier acreage position among oil resource plays in North America,” said Thomas B. Nusz, Oasis’ Chairman and Chief Executive Officer. “Despite the challenging commodity environment for most of 2016, the team drove down well costs and operating expenses while making significant strides on well performance. The net result has brought our capital efficiency to all-time records. With that momentum, we are increasing activity in 2017, as we already have one third-party completion crew working outside of Wild Basin, completing DUCs in the core. Additionally, we continue to expect to bring on two additional rigs in the middle of the year and another rig early in 2018. Under our current plan, we believe we can be free cash flow positive at current strip pricing in both 2017 and 2018.”
Operating cash flow drops significantly
Oasis Petroleum Inc has generated cash of $228.02 million from operating activities during the year, down 36.63 percent or $131.80 million, when compared with the last year. The company has spent $1,070.83 million cash to meet investing activities during the year as against cash outgo of $479.15 million in the last year.
Cash flow from financing activities was $844.31 million for the year, up 914.16 percent or $761.05 million, when compared with the last year.
Cash and cash equivalents stood at $11.23 million as on Dec. 31, 2016, up 15.38 percent or $1.50 million from $9.73 million on Dec. 31, 2015.
Working capital remains negative
Working capital of Oasis Petroleum Inc was negative $142.57 million on Dec. 31, 2016 compared with negative $15.51 million on Dec. 31, 2015. Current ratio was at 0.63 as on Dec. 31, 2016, down from 0.96 on Dec. 31, 2015.
Debt remains almost stable
Total debt of Oasis Petroleum Inc remained almost stable for the quarter at $2,297.21 million, when compared with the last year period. Long-term debt of Oasis Petroleum remained almost stable for the quarter at $2,297.21 million, when compared with the last year period. Total debt was 37.18 percent of total assets as on Dec. 31, 2016, compared with 40.76 percent on Dec. 31, 2015. Debt to equity ratio was at 0.79 as on Dec. 31, 2016, down from 0.99 as on Dec. 31, 2015. Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: [email protected]
