CONSOL Energy Inc. (CNX) swung to a net loss for the quarter ended Dec. 31, 2016. The company has made a net loss of $306.05 million, or $ 1.33 a share in the quarter, against a net profit of $30.40 million, or $0.13 a share in the last year period. Revenue during the quarter plunged 30.63 percent to $462.02 million from $665.98 million in the previous year period. Gross margin for the quarter contracted 386 basis points over the previous year period to 90.38 percent. Operating margin for the quarter stood at negative 29.69 percent as compared to a positive 34.29 percent for the previous year period.
However, the adjusted EBITDA for the quarter stood at $209.35 million compared with $202.08 million in the prior year period. At the same time, adjusted EBITDA margin improved 1497 basis points in the quarter to 45.31 percent from 30.34 percent in the last year period.
"During the quarter, CONSOL further executed upon strategic goals with an additional ownership drop into CONE Midstream Partners LP and the dissolution of the Marcellus Shale joint venture," commented Nicholas J. DeIuliis, president and chief executive officer. "These successful transactions, in part, helped generate approximately $349 million in free cash flow1 during the quarter, while bringing the full year 2016 free cash flow to approximately $957 million. During the quarter, organic free cash flow from continuing operations, along with proceeds from asset sales, helped to pay down our revolving credit facility and increase our liquidity position by over $300 million to $1.73 billion. Our even stronger liquidity position and balance sheet allow us to continue to focus on opportunistically allocating capital to prudently develop our tier one assets, while simultaneously providing us with the flexibility and optionality to divest assets in order to pull value forward."
Operating cash flow declinesCONSOL Energy Inc. has generated cash of $469.28 million from operating activities during the year, down 7.23 percent or $36.56 million, when compared with the last year. Cash flow from investing activities was $487.37 million from investing activities during the year as against cash outgo of $996.22 million in the last year.
The company has spent $968.76 million cash to carry out financing activities during the year as against cash inflow of $385.96 million in the last year period.
Cash and cash equivalents stood at $60.48 million as on Dec. 31, 2016, down 16.67 percent or $12.10 million from $72.57 million on Dec. 31, 2015.
Debt comes down significantly
CONSOL Energy Inc. has recorded a decline in total debt over the last one year. It stood at $2,774.07 million as on Dec. 31, 2016, down 25.13 percent or $931.12 million from $3,705.19 million on Dec. 31, 2015. Total debt was 30.21 percent of total assets as on Dec. 31, 2016, compared with 33.90 percent on Dec. 31, 2015. Debt to equity ratio was at 0.70 as on Dec. 31, 2016, down from 0.76 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: editor@irisindia.net
