EV Energy Partners, L.P. (EVEP) saw its loss widen to $50.83 million, or $1.01 a share for the quarter ended Mar. 31, 2017. In the previous year period, the company reported a loss of $29 million, or $0.58 a share. Revenue during the quarter surged 48.99 percent to $56.99 million from $38.25 million in the previous year period. Gross margin for the quarter expanded 3362 basis points over the previous year period to 57.15 percent. Operating margin for the quarter stood at negative 97.23 percent as compared to a negative 75.63 percent for the previous year period.
Operating loss for the quarter was $55.41 million, compared with an operating loss of $28.93 million in the previous year period.
"First quarter results were in-line with guidance, and we expect to maintain production levels for the remainder of the year as our capital spending ramps up. We were happy to close the Karnes County acquisition during the first quarter and are pleased with the initial well results. Given the undeveloped nature of the Karnes County properties relative to the Barnett properties we sold in December and the reduction in bank lender future commodity price assumptions, we expected our borrowing base to decline. However, we still have over $100 million of liquidity, which we believe is sufficient to meet our near-term capital needs," said Michael Mercer, president and chief executive officer.
Operating cash flow drops significantly
EV Energy Partners, L.P. has generated cash of $5.53 million from operating activities during the quarter, down 61.15 percent or $ 8.71 million, when compared with the last year period. The company has spent $7.30 million cash to meet investing activities during the quarter as against cash outgo of $3.92 million in the last year period.
Cash flow from financing activities was $5 million for the quarter as against cash outgo of $26.87 million in the last year period.
Cash and cash equivalents stood at $8.78 million as on Mar. 31, 2017, up 127.12 percent or $4.92 million from $3.87 million on Mar. 31, 2016.
Working capital drops significantly
EV Energy Partners, L.P. has witnessed a decline in the working capital over the last year. It stood at $16.98 million as at Mar. 31, 2017, down 44.24 percent or $13.47 million from $30.44 million on Mar. 31, 2016. Current ratio was at 1.37 as on Mar. 31, 2017, down from 1.59 on Mar. 31, 2016.
Days sales outstanding went up to 65 days for the quarter compared with 62 days for the same period last year.
Debt comes down
EV Energy Partners, L.P. has recorded a decline in total debt over the last one year. It stood at $612.10 million as on Mar. 31, 2017, down 8.07 percent or $53.70 million from $665.79 million on Mar. 31, 2016. Ev Energy Partners Lp has recorded a decline in long-term debt over the last one year. It stood at $612.10 million as on Mar. 31, 2017, down 8.07 percent or $53.70 million from $665.79 million on Mar. 31, 2016. Total debt was 39.50 percent of total assets as on Mar. 31, 2017, compared with 35.73 percent on Mar. 31, 2016. 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]
