Revenue during the quarter surged 34.80 percent to $524.58 million from $389.15 million in the previous year period. Gross margin for the quarter expanded 1144 basis points over the previous year period to 76.64 percent. Operating margin for the quarter stood at negative 28.47 percent as compared to a positive 17.10 percent for the previous year period.

Operating loss for the quarter was $149.34 million, compared with an operating income of $66.53 million in the previous year period.

However, the adjusted EBITDAX for the quarter stood at $397.22 million compared with $401.35 million in the prior year period.

Tim Leach, Chairman, Chief Executive Officer and President, commented, "Concho had an exceptional year. At the start of 2016 our production growth guidance was flat to down 5% over 2015. Over the course of the year we improved productivity per well, decreased cash costs and strengthened our balance sheet. As a result, we were able to increase production by 5% while spending within cash flow. We remain focused on executing a disciplined capital program and enhancing the impact of each dollar we deploy. We continue to benefit from our economies of scale as we run the largest drilling program in the Permian and are uniquely positioned to generate differentiated growth within cash flow."

Operating cash flow declines
Concho Resources Inc. has generated cash of $1,384.45 million from operating activities during the year, down 9.54 percent or $145.97 million, when compared with the last year.

The company has spent $2,224.66 million cash to meet investing activities during the year as against cash outgo of $2,602.64 million in the last year. It has incurred net capital expenditure of $2,125.91 million on net basis during the year, down 15.35 percent or $385.39 million from year ago.

Cash flow from financing activities was $664.92 million for the year, down 48.88 percent or $635.83 million, when compared with the last year.

Cash and cash equivalents stood at $53.26 million as on Dec. 31, 2016, down 76.70 percent or $175.29 million from $228.55 million on Dec. 31, 2015.

Working capital turns negative
Working capital of Concho Resources Inc. has turned negative to $206.69 million on Dec. 31, 2016 from positive $718.13 million on Dec. 31, 2015. Current ratio was at 0.73 as on Dec. 31, 2016, down from 2.20 on Dec. 31, 2015.

Debt comes down 
Concho Resources Inc. has recorded a decline in total debt over the last one year. It stood at $2,740.58 million as on Dec. 31, 2016, down 17.75 percent or $591.61 million from $3,332.19 million on Dec. 31, 2015. Concho Resources has recorded a decline in long-term debt over the last one year. It stood at $2,740.58 million as on Dec. 31, 2016, down 17.75 percent or $591.61 million from $3,332.19 million on Dec. 31, 2015. Total debt was 22.61 percent of total assets as on Dec. 31, 2016, compared with 26.36 percent on Dec. 31, 2015. Debt to equity ratio was at 0.36 as on Dec. 31, 2016, down from 0.48 as on Dec. 31, 2015.