HOUSTON, March 5, 2020 /PRNewswire/ -- Goodrich
Petroleum Corporation (NYSE American: GDP) (the "Company") today
announced fourth quarter and year-end 2019 financial and operating
results.
THE COMPANY HAS POSTED A NEW PRESENTATION ON THE COMPANY'S
WEBSITE WHICH WILL BE REVIEWED ON THE EARNINGS CONFERENCE
CALL. INVESTORS CAN ACCESS THE SLIDES AT:
http://goodrichpetroleumcorp.investorroom.com/presentations
HIGHLIGHTS
- Adjusted EBITDA was $20.9 million
for the quarter and $79.0 million for
the year. Discretionary cash flow ("DCF"), defined as net cash
provided by operating activities before changes in working capital,
was $19.8 million in the quarter and
$75.5 million for the year;
- The Company had a net loss of $0.9
million for the quarter and net income of $13.3 million ($1.09 per basic or $0.96 per diluted share) for the year;
- Return on Capital Employed ("ROCE"), defined as trailing twelve
month earnings before interest and taxes ("EBIT") divided by total
assets less current liabilities, was 12.4% for the year;
- Production for the quarter grew 6.5% sequentially to an average
of approximately 145,000 Mcfe per day, versus an average of
approximately 136,000 Mcfe per day in the third quarter of 2019.
For the year, production grew by 85% over the previous year to
approximately 131,000 Mcfe per day;
- Average realized price received in the quarter was $2.53 per Mcfe, which included cash settled
derivatives, and cash operating expense was $0.97 per Mcfe, generating a cash margin of 62%.
Average realized price for the year was $2.68 per Mcfe, which included cash settled
derivatives, and cash operating expense was $1.04 per Mcfe for the year, generating a cash
margin of 61%;
- Proved reserves grew by 8% over the previous year to 517 Bcfe.
SEC PV10 at year-end 2019 was $297
million. Proved developed producing reserves comprised 28%
of the total and 54% of PV10;
- Capital expenditures for the quarter and year were $18.5 million and $98.4 million, respectively; and
- We conducted drilling or completion operations on 16 wells,
adding 3 gross (1.85 net) and 9 gross (7.2 net) wells to production
in the quarter and year respectively, all in the core of the
Haynesville Shale Trend.
RESERVES
The Company announced that proved oil and natural gas reserves
as of December 31, 2019 increased by
8% to 517 billion cubic feet equivalent ("Bcfe") versus 480 Bcfe at
year-end 2018. The present value, using a 10% discount rate of the
future net cash flows ("PV10"), was $297
million. Proved developed producing PV10 comprised 54% of
total PV10. Oil and natural gas prices used to determine
proved reserves were $55.69 per
barrel of oil and $2.58 per MMBtu of
natural gas, pursuant to Securities and Exchange Commission ("SEC")
guidelines.
The Company had reserve additions of 218 Bcfe, production of 48
Bcfe and negative revisions of 133 Bcfe primarily from the transfer
to probable of proved undeveloped ("PUD") reserves due to the SEC's
five year rule. Drilling and completion capital expenditures in
2019 were $97.9 million, for an
organic finding and development cost of $0.45 per Mcfe. Proved developed reserve
additions had a finding and development cost of $1.09 per Mcfe.
FINANCIAL RESULTS
Cash Flow
Adjusted EBITDA was $20.9 million
in the quarter, compared to $21.4
million in the prior year period. Adjusted EBITDA for the
year was $79.0 million versus
$48.0 million in the prior year.
Discretionary cash flow ("DCF"), defined as net cash provided by
operating activities before changes in working capital, was
$19.8 million in the quarter,
compared to $20.0 million in the
prior year period. DCF was $75.5
million for the year, versus $46.3
million in the prior year.
(See accompanying tables at the end of this press release that
reconcile Adjusted EBITDA and DCF, each of which are non-US GAAP
financial measures, to their most directly comparable US GAAP
financial measure.)
Net Income (Loss)
Net loss for the quarter was $0.9
million, or ($0.08) per basic
and fully diluted share, versus net income of $8.1 million, or $0.68 per basic and $0.58 per fully diluted share in the prior year
period. Net income for the year was $13.3 million, or $1.09 per basic and $0.96 per fully diluted share, versus net income
of $1.8 million, or $0.15 per basic and $0.13 per fully diluted share in the prior
year.
Production
Production totaled 13.3 Bcfe in the quarter, or an average of
approximately 145,000 Mcfe (98% natural gas) per day, versus 9.1
Bcfe, or an average of approximately 99,000 Mcfe (97% natural gas)
per day in the prior year period. Production for the year was
47.7 Bcfe, or an average of approximately 131,000 Mcfe per day (98%
natural gas), versus 25.7 Bcfe, or an average of approximately
71,000 Mcfe (95% natural gas) per day in the prior year.
Revenues
Oil and natural gas revenues adjusted for cash settled
derivatives totaled $33.6 million in
the quarter, comprised of $30.2
million of realized oil and natural gas revenues and
$3.4 million of cash settled
derivatives. The average realized price per unit was
$2.27 per Mcfe ($2.14 per Mcf of natural gas and $58.52 per barrel of oil) or $2.53 per Mcfe when including cash settled
derivatives, versus $3.72 per Mcfe
($3.50 per Mcf of natural gas and
$64.57 per barrel of oil) or
$3.45 per Mcfe when including cash
settled derivatives in the prior year.
Oil and natural gas revenues adjusted for cash settled
derivatives totaled $127.9 million
for the year, comprised of $118.3
million of oil and natural gas revenues and $9.6 million of cash settled derivatives.
The average realized price per unit was $2.48 per Mcfe ($2.31 per Mcf of natural gas and $60.77 per barrel of oil) or $2.68 per Mcfe when including cash settled
derivatives, versus $3.42 per Mcfe
($2.99 per Mcf of natural gas and
$67.93 per barrel of oil), or
$3.29 per Mcfe when including cash
settled derivatives in the prior year.
(See accompanying table at the end of this press release that
reconciles oil and natural gas revenues adjusted for cash settled
derivatives, which is a non-US GAAP financial measure, to its most
directly comparable US GAAP financial measure.)
Operating Expenses
Lease operating expense ("LOE") was
$3.5 million in the quarter, or
$0.26 per Mcfe, which included
$0.4 million, or $0.03 per Mcfe for workovers. LOE was
$2.8 million, or $0.31 per Mcfe, in the prior year period, which
included $0.5 million, or
$0.05 per Mcfe, for workovers.
For the year, LOE totaled $12.4
million, or $0.26 per Mcfe,
which included $1.3 million, or
$0.03 per Mcfe, for workovers, versus
$10.4 million, or $0.41 per Mcfe in the prior year, which included
$1.4 million, or $0.06 per Mcfe, for
workovers.
Production and other taxes were $0.07 million in the quarter, or $0.05 per Mcfe, versus $0.3 million, or $0.04 per Mcfe, in the prior year period.
For the year, production and other taxes totaled $2.6 million, or $0.05 per Mcfe, versus $2.6 million, or $0.10 per Mcfe, in the prior year.
Transportation and processing expense was
$5.1 million in the quarter, or
$0.39 per Mcfe, versus $4.3 million, or $0.47 per Mcfe, in the prior year period.
For the year, transportation and processing expense totaled
$20.7 million, or $0.43 per Mcfe, versus $11.0 million, or $0.43 per Mcfe, in the prior year.
Depreciation, depletion and amortization ("DD&A")
expense was $14.2
million in the quarter, or $1.06 per Mcfe, versus $9.9 million, or $1.08 per Mcfe, in the prior year period.
For the year, DD&A expense totaled $50.7
million, or $1.06 per Mcfe,
versus $26.8 million, or $1.04 per Mcfe, in the prior year.
General and Administrative ("G&A")
expense was $5.3 million
in the quarter, or $0.40 per Mcfe,
versus $5.0 million, or $0.55 per Mcfe, in the prior year period.
G&A expense payable in cash was $3.7
million in the quarter, or $0.28 per Mcfe, versus $3.3 million or $0.36 per Mcfe, in the prior year period.
For the year, G&A expense totaled $20.8
million, or $0.44 per Mcfe,
versus $19.7 million, or $0.76 per Mcfe, in the prior year. G&A
expense payable in cash for the year was $14.5 million, or $0.30 per Mcfe, versus $13.2 million, or $0.51 per Mcfe, in the prior year.
G&A expense related to non-cash, stock based compensation
totaled $1.6 million in the quarter,
or $0.12 per Mcfe, versus
$1.7 million, or $0.19 per Mcfe, in the prior year
period. For the year, G&A expense related to
non-cash, stock based compensation totaled $6.3 million, or $0.14 per Mcfe, versus $6.4 million, or $0.25 per Mcfe, in the prior year.
(See accompanying table at the end of this press release that
reconciles G&A expense payable in cash, which is a non-US GAAP
financial measure, to its most directly comparable US GAAP
financial measure.)
Operating Income
Operating income adjusted for cash settled derivatives was
$4.8 million for the quarter, which
included $3.4 million for cash
settled derivatives. Operating income, defined as revenues minus
operating expenses, totaled $1.4
million in the quarter. Operating income adjusted for
cash settled derivatives of $9.6
million for the year was $20.7
million.
(See accompanying table at the end of this press release that
reconciles operating income adjusted for cash settled derivatives,
which is a non-US GAAP financial measure, to its most directly
comparable US GAAP financial measure.)
Interest Expense
Interest expense totaled $2.0
million in the quarter, which included interest payable in
cash of $1.2 million incurred on the
Company's credit facility and non-cash interest of $0.8 million, which included $0.4 million paid-in-kind interest and
$0.4 million amortization of debt
discount and issuance costs incurred on the Company's second lien
notes. Interest expense was $3.4
million in the prior year period, which included interest
payable in cash of $0.4 million
incurred on the Company's credit facility and non-cash interest of
$3.0 million, which included
$1.8 million paid-in-kind interest
and $1.2 million amortization of debt
discount on the Company's second lien notes.
Interest expense for the year totaled $11.0 million, which included interest payable in
cash of $3.9 million incurred on the
Company's credit facility and non-cash interest of $7.1 million, which included $4.0 million paid-in-kind interest and
$3.1 million amortization of debt
discount and issuance costs on the Company's second lien notes.
Interest expense was $11.9 million in
the prior year, which included interest payable in cash of
$1.0 million incurred on the
Company's credit facility and non-cash interest of $10.9 million, which included $6.7 million paid-in-kind interest and
$4.2 million amortization of debt
discount and issuance costs on the Company's second lien notes.
(See accompanying table at the end of this press release that
reconciles interest payable in cash, which is a non-US GAAP
financial measure, to its most directly comparable US GAAP
financial measure.)
Capital Expenditures
Capital expenditures totaled $18.5
million in the quarter, of which $18.3 million was spent on drilling and
completion costs and $0.2 million on
asset retirement obligations and other expenditures. For the
year, capital expenditures totaled $98.4
million, of which $97.9
million was spent on drilling and completion costs
and $0.5 million for asset retirement obligations and other
expenditures. The Company's Board of Directors will review the
Company's preliminary capital expenditure budget for 2020 quarterly
and adjust, if necessary, based on commodity prices and the goal of
free cash flow generation from moderate growth in volumes and a
further reduction in per unit costs.
Balance Sheet
The Company exited the year with $1.5
million of cash, $92.9 million
outstanding under the Company's senior credit facility and total
principal debt outstanding, including the senior credit facility
and the second lien notes, of $105.9
million.
Crude Oil and Natural Gas Derivatives
The Company had a loss of $0.4
million on its derivatives not designated as hedges in the
quarter, which was comprised of a $3.4
million gain on cash derivative settlements and a
$3.8 million loss from the change in
fair value of our natural gas and oil derivative contracts. The
Company had a loss of $0.6 million on
its derivatives not designated as hedges in the prior year period,
comprised of a $2.5 million realized
loss on derivative settlements and a $1.9
million gain from the change in fair value of our natural
gas and oil derivative contracts.
For the year ended December 31,
2019, the Company had a gain of $15.0
million on its derivatives not designated as hedges, which
was comprised of a gain of $9.6
million on cash derivative settlements and a
$5.4 million gain from the change in
fair value of our natural gas and oil derivative
contracts versus a loss of $4.0
million during the prior year, representing a $3.2 million realized loss on derivative
settlements and a $0.8 million loss
from the change in fair value of our natural gas and oil derivative
contracts.
OTHER INFORMATION
In this press release, the Company refers to several non-US GAAP
financial measures, including Adjusted EBITDA, DCF, Return on
Capital Employed ("ROCE"), operating income adjusted for cash
settled derivatives, oil and natural gas revenues adjusted for cash
settled derivatives and G&A expense payable in
cash. Management believes Adjusted EBITDA, DCF and ROCE are
good financial indicators of the Company's performance and ability
to internally generate operating funds. DCF should not be
considered an alternative to net cash provided by operating
activities, as defined by US GAAP. Adjusted EBITDA should
not be considered an alternative to net income (loss) applicable to
common stock, as defined by US GAAP. Operating income adjusted
for cash settled derivatives should not be considered an
alternative for operating income, as defined by US GAAP. Oil and
natural gas revenues adjusted for cash settled derivatives should
not be considered an alternative for oil and natural gas revenues,
as defined by US GAAP. G&A payable in cash should not be
considered an alternative to general and administrative expense, as
defined by US GAAP. Management believes that all of these non-US
GAAP financial measures provide useful information to investors
because they are monitored and used by Company management and
widely used by professional research analysts in the valuation and
investment recommendations of companies within the oil and gas
exploration and production industry.
Unless otherwise stated, oil production volumes include
condensate.
Certain statements in this news release regarding future
expectations and plans for future activities may be regarded as
"forward looking statements" within the meaning of the Securities
Litigation Reform Act. They are subject to various risks,
such as financial market conditions, changes in commodities prices
and costs of drilling and completion, operating hazards, drilling
risks, and the inherent uncertainties in interpreting engineering
data relating to underground accumulations of oil and gas, as well
as other risks discussed in detail in the Company's Annual Report
on Form 10-K for the year ended December 31,
2019 and other subsequent filings with the Securities and
Exchange Commission. Although the Company believes that the
expectations reflected in such forward-looking statements are
reasonable, it can give no assurance that such expectations will
prove to be correct.
Goodrich Petroleum is an independent oil and natural gas
exploration and production company listed on the NYSE American
under the symbol "GDP".
GOODRICH PETROLEUM
CORPORATION
|
SELECTED INCOME AND
PRODUCTION DATA
|
(In thousands, except
per share amounts)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Three Months
Ended
|
|
Year Ended
|
|
Year Ended
|
|
|
|
December 31,
2019
|
|
December 31,
2018
|
|
December 31,
2019
|
|
December 31,
2018
|
Volumes
|
|
|
|
|
|
|
|
|
|
Natural gas
(MMcf)
|
|
13,089
|
|
8,843
|
|
46,712
|
|
24,444
|
|
Oil and condensate
(MBbls)
|
|
37
|
|
48
|
|
171
|
|
217
|
|
Mmcfe -
Total
|
|
13,313
|
|
9,129
|
|
47,737
|
|
25,746
|
|
|
|
|
|
|
|
|
|
|
|
Mcfe per
day
|
|
144,704
|
|
99,227
|
|
130,787
|
|
70,537
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of Oil and natural gas revenues adjusted for cash
settled derivatives (non-US GAAP)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Three Months
Ended
|
|
Year Ended
|
|
Year Ended
|
|
|
|
December 31,
2019
|
|
December 31,
2018
|
|
December 31,
2019
|
|
December 31,
2018
|
Oil and natural gas
revenues (US GAAP)
|
|
$
30,160
|
|
$
33,985
|
|
$
118,353
|
|
$
87,943
|
Net cash received in
(paid for) settlement of derivative instruments
|
|
3,425
|
|
(2,499)
|
|
9,560
|
|
(3,236)
|
Oil and natural gas
revenues adjusted for cash settled derivatives
|
|
$
33,585
|
|
$
31,486
|
|
$
127,913
|
|
$
84,707
|
|
|
|
|
|
|
|
|
|
|
Oil and natural gas
revenues
|
|
$
30,160
|
|
$
33,985
|
|
$
118,353
|
|
$
87,943
|
Other
|
|
1
|
|
(78)
|
|
(3)
|
|
53
|
|
|
|
$
30,161
|
|
$
33,907
|
|
$
118,350
|
|
$
87,996
|
|
|
|
|
|
|
|
|
|
|
Operating
Expenses
|
|
|
|
|
|
|
|
|
|
Lease operating
expense (LOE excluding workovers - $3,109, $2,368, $11,087, $9,027,
respectively)
|
|
3,469
|
|
2,827
|
|
12,371
|
|
10,446
|
|
Production and other
taxes
|
|
695
|
|
337
|
|
2,573
|
|
2,605
|
|
Transportation and
processing
|
|
5,141
|
|
4,304
|
|
20,703
|
|
11,046
|
|
Depreciation,
depletion and amortization
|
|
14,172
|
|
9,875
|
|
50,722
|
|
26,809
|
|
General and
administrative (payable in cash - $3,724, $3,269, $14,473, $13,220,
respectively)
|
|
5,333
|
|
5,020
|
|
20,775
|
|
19,663
|
|
Other
|
|
(73)
|
|
(98)
|
|
106
|
|
7
|
Operating
income
|
|
1,424
|
|
11,642
|
|
11,100
|
|
17,420
|
|
|
|
|
|
|
|
|
|
|
Other income
(expense)
|
|
|
|
|
|
|
|
|
|
Interest expense
(payable in cash - $1,208, $432, $3,902, $961,
respectively)
|
|
(1,965)
|
|
(3,434)
|
|
(11,001)
|
|
(11,944)
|
|
Interest income
(expense) and other
|
|
1
|
|
398
|
|
25
|
|
508
|
|
Loss (gain) on
commodity derivatives not designated as hedges
|
|
(387)
|
|
(594)
|
|
15,010
|
|
(3,986)
|
|
Loss on early
extinguishment of debt
|
|
-
|
|
-
|
|
(1,846)
|
|
-
|
|
|
|
(2,351)
|
|
(3,630)
|
|
2,188
|
|
(15,422)
|
|
|
|
|
|
|
|
|
|
|
Reorganization
loss
|
|
-
|
|
-
|
|
-
|
|
(305)
|
|
|
|
|
|
|
|
|
|
|
Income (loss) before
income taxes
|
|
(927)
|
|
8,012
|
|
13,288
|
|
1,693
|
Income tax
benefit
|
|
-
|
|
57
|
|
-
|
|
57
|
Net income
(loss)
|
|
$
(927)
|
|
$
8,069
|
|
$
13,288
|
|
$
1,750
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Discretionary cash
flow (see non-US GAAP reconciliation) (1)
|
|
$
19,820
|
|
$
19,975
|
|
$
75,482
|
|
$
46,272
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDA (see
calculation and non-US GAAP reconciliation) (2)
|
|
$
20,948
|
|
$
21,352
|
|
$
78,953
|
|
$
47,950
|
|
|
|
|
|
|
|
|
|
|
Weighted average
common shares outstanding - basic
|
|
12,307
|
|
11,872
|
|
12,233
|
|
11,622
|
Weighted average
common shares outstanding - diluted (3)
|
|
12,307
|
|
14,005
|
|
13,895
|
|
13,655
|
|
|
|
|
|
|
|
|
|
|
Income (loss) per
share
|
|
|
|
|
|
|
|
|
|
Net income (loss) -
basic
|
|
$
(0.08)
|
|
$
0.68
|
|
$
1.09
|
|
$
0.15
|
|
Net income (loss) -
diluted
|
|
$
(0.08)
|
|
$
0.58
|
|
$
0.96
|
|
$
0.13
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Discretionary
cash flow is defined as net cash provided by operating activities
before changes in operating assets and liabilities. Management
believes that the non-US GAAP measure of discretionary cash flow is
useful as an indicator of an oil and natural gas exploration and
production company's ability to internally fund exploration and
development activities and to service or incur additional debt. The
company has also included this information because changes in
operating assets and liabilities relate to the timing of cash
receipts and disbursements which the company may not control and
may not relate to the period in which the operating activities
occurred. Operating cash flow should not be considered in isolation
or as a substitute for net cash provided by operating activities
prepared in accordance with US GAAP.
|
|
|
|
|
|
|
|
|
|
|
(2) Adjusted EBITDA
is defined as earnings before interest expense, income and similar
taxes, DD&A, share based compensation expense and impairment of
oil and natural gas properties. In calculating adjusted EBITDA,
reorganization gains/losses and gains/losses on commodity
derivatives not designated as hedges net of cash received or paid
in settlement of derivative instruments are also excluded. Other
excluded items include interest income and other, adjustments per
our 2019 Senior Credit Facility agreement for operating leases
under ASC 842 and any other extraordinary non-cash
gains/losses.
|
|
|
|
|
|
|
|
|
|
|
(3) Fully diluted
shares excludes approximately 2.1 million and 0.6 million
potentially dilutive instruments that were anti-dilutive for the
three months and year ended December 31, 2019, respectively, and
1.9 million potentially dilutive instruments that were
anti-dilutive for the three months and year ended December 31,
2018.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GOODRICH PETROLEUM
CORPORATION
|
Per Unit Sales Prices
and Costs (Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Three Months
Ended
|
|
Year Ended
|
|
Year Ended
|
|
|
|
December 31,
2019
|
|
December 31,
2018
|
|
December 31,
2019
|
|
December 31,
2018
|
|
|
|
|
|
|
|
|
|
|
Average sales price
per unit:
|
|
|
|
|
|
|
|
|
|
Oil (per
Bbl)
|
|
|
|
|
|
|
|
|
|
Including net cash received
from/paid to settle oil derivatives
|
|
$
54.15
|
|
$
59.32
|
|
$
56.78
|
|
$
59.27
|
|
Excluding net cash received
from/paid to settle oil derivatives
|
|
$
58.52
|
|
$
64.57
|
|
$
60.77
|
|
$
67.93
|
|
Natural gas (per
Mcf)
|
|
|
|
|
|
|
|
|
|
Including net cash received
from/paid to settle natural gas derivatives
|
|
$
2.41
|
|
$
3.24
|
|
$
2.53
|
|
$
2.94
|
|
Excluding net cash received
from/paid to settle natural gas derivatives
|
|
$
2.14
|
|
$
3.50
|
|
$
2.31
|
|
$
2.99
|
|
Oil and natural gas
(per Mcfe)
|
|
|
|
|
|
|
|
|
|
Including net cash received
from/paid to settle oil and natural gas derivatives
|
|
$
2.53
|
|
$
3.45
|
|
$
2.68
|
|
$
3.29
|
|
Excluding net cash received
from/paid to settle oil and natural gas derivatives
|
|
$
2.27
|
|
$
3.72
|
|
$
2.48
|
|
$
3.42
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Costs Per
Mcfe
|
|
|
|
|
|
|
|
|
|
Lease operating
expense ($0.23, $0.26, $0.23 and $0.35 per Mcfe excluding
workovers, respectively)
|
|
$
0.26
|
|
$
0.31
|
|
$
0.26
|
|
$
0.41
|
|
Production and other
taxes
|
|
$
0.05
|
|
$
0.04
|
|
$
0.05
|
|
$
0.10
|
|
Transportation and
processing
|
|
$
0.39
|
|
$
0.47
|
|
$
0.43
|
|
$
0.43
|
|
Depreciation,
depletion and amortization
|
|
$
1.06
|
|
$
1.08
|
|
$
1.06
|
|
$
1.04
|
|
General and
administrative (payable in cash - $0.28, $0.36, $0.30, and $0.51,
respectively)
|
|
$
0.40
|
|
$
0.55
|
|
$
0.44
|
|
$
0.76
|
|
Other
|
|
$
(0.01)
|
|
$
(0.01)
|
|
$
-
|
|
$
-
|
|
|
|
$
2.16
|
|
$
2.44
|
|
$
2.25
|
|
$
2.74
|
|
|
|
.
|
|
|
|
|
|
|
Note: Amounts on a
per Mcfe basis may not total due to rounding.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GOODRICH PETROLEUM
CORPORATION
|
Cash Flow Data (In
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of
discretionary cash flow and net cash provided by operating
activities (non-US GAAP)
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Three Months
Ended
|
|
Year Ended
|
|
Year Ended
|
|
December 31,
2019
|
|
December 31,
2018
|
|
December 31,
2019
|
|
December 31,
2018
|
|
|
|
|
|
|
|
|
Net cash provided by
operating activities (US GAAP)
|
|
$
22,224
|
|
$
12,451
|
|
$
79,071
|
|
$
49,186
|
Net changes in
working capital
|
|
2,404
|
|
(7,524)
|
|
3,589
|
|
2,914
|
Discretionary cash
flow (1)
|
$
19,820
|
|
$
19,975
|
|
$
75,482
|
|
$
46,272
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Three Months
Ended
|
|
Year Ended
|
|
Year Ended
|
|
|
December 31,
2019
|
|
December 31,
2018
|
|
December 31,
2019
|
|
December 31,
2018
|
CASH FLOWS FROM
OPERATING ACTIVITIES:
|
|
|
|
|
|
|
|
|
Net income
(loss)
|
|
$
(927)
|
|
$
8,069
|
|
$
13,288
|
|
$
1,750
|
Adjustments to
reconcile net income (loss) to net cash provided by operating
activities
|
|
|
|
|
|
|
|
|
Depletion,
depreciation and amortization
|
|
14,172
|
|
9,875
|
|
50,722
|
|
26,809
|
Right of use asset
depreciation
|
|
313
|
|
-
|
|
1,252
|
|
-
|
Deferred income
taxes
|
|
-
|
|
(57)
|
|
-
|
|
(57)
|
(Gain) loss on
derivatives not designated as hedges
|
|
387
|
|
594
|
|
(15,010)
|
|
3,986
|
Net cash received
(paid) for settlement of derivative instruments
|
|
3,425
|
|
(2,499)
|
|
9,560
|
|
(3,236)
|
Share based
compensation (non-cash)
|
|
1,635
|
|
1,781
|
|
6,400
|
|
6,545
|
Amortization of
finance cost, debt discount, paid in-kind interest and
accretion
|
757
|
|
3,002
|
|
7,097
|
|
10,983
|
Loss on early
extinguishment of debt
|
|
-
|
|
-
|
|
1,846
|
|
-
|
Loss (gain) from
material transfers & inventory write-downs
|
|
58
|
|
(9)
|
|
327
|
|
(32)
|
Reorganization items
(non-cash)
|
|
-
|
|
(781)
|
|
-
|
|
(476)
|
Change in assets and
liabilities:
|
|
|
|
|
|
|
|
|
Accounts receivable,
trade and other, net of allowance
|
|
(201)
|
|
370
|
|
6
|
|
835
|
Accrued oil and gas
revenue
|
|
(1,443)
|
|
(5,209)
|
|
3,119
|
|
(9,506)
|
Prepaid expenses and
other
|
|
(157)
|
|
(18)
|
|
35
|
|
(249)
|
Inventory
|
|
(45)
|
|
-
|
|
(45)
|
|
-
|
Accounts
payable
|
|
3,158
|
|
(4,434)
|
|
614
|
|
8,530
|
Accrued
liabilities
|
|
1,092
|
|
1,767
|
|
(140)
|
|
3,304
|
Net cash
provided by operating activities
|
|
22,224
|
|
12,451
|
|
79,071
|
|
49,186
|
CASH FLOWS FROM
INVESTING ACTIVITIES:
|
|
|
|
|
|
|
|
|
Capital
expenditures
|
|
(25,102)
|
|
(19,983)
|
|
(99,301)
|
|
(105,088)
|
Proceeds from sale of
assets
|
|
-
|
|
(81)
|
|
1,334
|
|
26,839
|
Net cash
used in investing activities
|
|
(25,102)
|
|
(20,064)
|
|
(97,967)
|
|
(78,249)
|
CASH FLOWS FROM
FINANCING ACTIVITIES:
|
|
|
|
|
|
|
|
|
Principal payments of
bank borrowings
|
|
-
|
|
-
|
|
(49,500)
|
|
(16,723)
|
Proceeds from bank
borrowings
|
|
5,000
|
|
12,000
|
|
115,400
|
|
27,000
|
Repayments of
Convertible Second Lien Notes
|
|
-
|
|
-
|
|
(56,728)
|
|
-
|
Proceeds from New 2L
Notes
|
|
-
|
|
|
|
12,000
|
|
|
Issuance cost,
net
|
|
(279)
|
|
1
|
|
(2,795)
|
|
(49)
|
Purchase of treasury
stock and other
|
|
(1,551)
|
|
(2,251)
|
|
(2,097)
|
|
(3,089)
|
Net cash
provided by financing activities
|
|
3,170
|
|
9,750
|
|
16,280
|
|
7,139
|
Net increase
(decrease) in cash and cash equivalents
|
|
292
|
|
2,137
|
|
(2,616)
|
|
(21,924)
|
Cash and cash
equivalents, beginning of period
|
|
1,160
|
|
1,931
|
|
4,068
|
|
25,992
|
Cash and cash
equivalents, end of period
|
|
$
1,452
|
|
$
4,068
|
|
$
1,452
|
|
$
4,068
|
|
|
|
|
|
|
|
|
|
|
GOODRICH PETROLEUM
CORPORATION
|
Other Information and
Reconciliations (In thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Supplemental
Balance Sheet Data (unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As of
|
|
|
|
|
|
|
|
|
|
December 31,
2019
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents
|
|
$
1,452
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Long-term debt,
net
|
|
$
104,435
|
|
|
|
|
|
|
|
Unamortized debt
discount and issuance cost
|
|
1,434
|
|
|
|
|
|
|
|
Total principal
amount of debt
|
|
$
105,869
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of
Net income (loss) to Adjusted EBITDA (non-US GAAP)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Three Months
Ended
|
|
Year Ended
|
|
Year Ended
|
|
|
|
December 31,
2019
|
|
December 31,
2018
|
|
December 31,
2019
|
|
December 31,
2018
|
|
|
|
|
|
|
|
|
|
|
|
Net income (loss) (US
GAAP)
|
|
$
(927)
|
|
$
8,069
|
|
$
13,288
|
|
$
1,750
|
|
Depreciation,
depletion and amortization ("DD&A")
|
|
14,172
|
|
9,875
|
|
50,722
|
|
26,809
|
|
Income tax
benefit
|
|
-
|
|
(57)
|
|
-
|
|
(57)
|
|
Stock compensation
expense (non-cash)
|
|
1,635
|
|
1,782
|
|
6,400
|
|
6,545
|
|
Interest
expense
|
|
1,965
|
|
3,434
|
|
11,001
|
|
11,944
|
|
Loss (gain) on
derivatives not designated as hedges
|
|
387
|
|
594
|
|
(15,010)
|
|
3,986
|
|
Net cash received in
(paid for) settlement of derivative instruments
|
|
3,425
|
|
(2,499)
|
|
9,560
|
|
(3,236)
|
|
Loss on early
extinguishment of debt
|
|
-
|
|
-
|
|
1,846
|
|
-
|
|
Other excluded items
**
|
|
291
|
|
154
|
|
1,146
|
|
209
|
|
Adjusted EBITDA
(2)
|
|
$
20,948
|
|
$
21,352
|
|
$
78,953
|
|
$
47,950
|
|
|
|
|
|
|
|
|
|
|
|
** Other items
include $0.3 million, zero, $1.2 million and zero, respectively,
from the impact of accounting for operating leases under ASC 842 as
well as interest income, reorganization items and other
non-recurring income and expense.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of
Return on Capital Employed ("ROCE") (non-US GAAP)
|
|
|
|
|
|
|
|
|
|
|
|
|
For the trailing 12
months ended December 31, 2019
|
|
|
|
|
|
|
|
|
|
Net income (US
GAAP)
|
|
$
13,288
|
|
|
|
|
|
|
|
Add: Interest
expense
|
|
11,001
|
|
|
|
|
|
|
|
Earnings before
Interest and Income Taxes ("EBIT") (non-US GAAP)
|
|
$
24,289
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As of December 31,
2019
|
|
|
|
|
|
|
|
|
|
Total Assets (US
GAAP)
|
|
$
239,318
|
|
|
|
|
|
|
|
Less: Current
Liabilities (US GAAP)
|
|
(42,963)
|
|
|
|
|
|
|
|
Capital Employed
("CE") (non-US GAAP)
|
|
$
196,355
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Return on Capital
Employed (ROCE) (EBIT / CE)
|
|
12.4%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Derivative
Activity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Three Months
Ended
|
|
Year Ended
|
|
Year Ended
|
|
|
|
December 31,
2019
|
|
December 31,
2018
|
|
December 31,
2019
|
|
December 31,
2018
|
|
Change in fair value
of derivatives not designated as hedges
|
|
$
(3,812)
|
|
$
1,905
|
|
$
5,450
|
|
$
(750)
|
|
Net cash received in
(paid for) settlement of derivative instruments
|
|
3,425
|
|
(2,499)
|
|
9,560
|
|
(3,236)
|
|
Net gain (loss) on
derivatives not designated as hedges
|
|
$
(387)
|
|
$
(594)
|
|
$
15,010
|
|
$
(3,986)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of
interest payable in cash to interest expense
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Three Months
Ended
|
|
Year Ended
|
|
Year Ended
|
|
|
|
December 31,
2019
|
|
December 31,
2018
|
|
December 31,
2019
|
|
December 31,
2018
|
|
|
|
|
|
|
|
|
|
|
|
Interest expense ( US
GAAP)
|
|
$
1,965
|
|
$
3,434
|
|
$
11,001
|
|
$
11,944
|
|
Amortization of debt
discount and issuance cost and paid-in-kind interest
|
|
(757)
|
|
(3,002)
|
|
(7,099)
|
|
(10,983)
|
|
Interest payable in
cash
|
|
$
1,208
|
|
$
432
|
|
$
3,902
|
|
$
961
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GOODRICH PETROLEUM
CORPORATION
|
Other Information and
Reconciliations continued (In thousands, except per unit
amounts)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of
capital expenditures (unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Three Months
Ended
|
|
Year Ended
|
|
Year Ended
|
|
|
December 31,
2019
|
|
December 31,
2018
|
|
December 31,
2019
|
|
December 31,
2018
|
Net cash used in
investing activities (US GAAP)
|
|
$
(25,102)
|
|
$
(20,064)
|
|
$
(97,967)
|
|
$
(78,249)
|
Cash calls
utilized
|
|
-
|
|
-
|
|
-
|
|
(1,193)
|
Inventory
utilized
|
|
-
|
|
(237)
|
|
-
|
|
(1,957)
|
Cash (proceeds)
payments related to sale of assets
|
|
-
|
|
81
|
|
(1,334)
|
|
(26,839)
|
Miscellaneous
capitalized costs & ARO adjustments
|
|
(318)
|
|
(319)
|
|
(1,020)
|
|
(1,097)
|
Cost incurred in
prior period and paid in current period
|
|
13,138
|
|
12,038
|
|
8,086
|
|
10,511
|
Capital accrual at
period end
|
|
(6,175)
|
|
(8,086)
|
|
(6,175)
|
|
(8,086)
|
Total capital
expenditures
|
|
$
(18,457)
|
|
$
(16,587)
|
|
$
(98,410)
|
|
$
(106,910)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of
general & administrative expense payable in cash to general and
administrative expense (non-US GAAP)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Three Months
Ended
|
|
Year Ended
|
|
Year Ended
|
|
|
|
December 31,
2019
|
|
December 31,
2018
|
|
December 31,
2019
|
|
December 31,
2018
|
General &
administrative expense (US GAAP)
|
|
$
5,333
|
|
$
5,020
|
|
$
20,775
|
|
$
19,663
|
Share based
compensation
|
|
(1,609)
|
|
(1,751)
|
|
(6,302)
|
|
(6,443)
|
General &
administrative expense payable in cash
|
|
$
3,724
|
|
$
3,269
|
|
$
14,473
|
|
$
13,220
|
|
Oil and natural gas
production (Mcfe)
|
|
13,313
|
|
9,129
|
|
47,737
|
|
25,746
|
|
General and
administrative expense payable in cash per Mcfe
|
|
$
0.28
|
|
$
0.36
|
|
$
0.30
|
|
$
0.51
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of Operating income adjusted for cash settled
derivatives (non-US GAAP)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Three Months
Ended
|
|
Year Ended
|
|
Year Ended
|
|
|
|
December 31,
2019
|
|
December 31,
2018
|
|
December 31,
2019
|
|
December 31,
2018
|
Operating income (US
GAAP)
|
|
$
1,424
|
|
$
11,642
|
|
$
11,100
|
|
$
17,420
|
Net cash received in
(paid for) settlement of derivative instruments
|
|
3,425
|
|
(2,499)
|
|
9,560
|
|
(3,236)
|
Operating income
adjusted for cash settled derivatives
|
|
$
4,849
|
|
$
9,143
|
|
$
20,660
|
|
$
14,184
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of organic finding and development cost per Mcfe
(unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Year Ended
|
|
|
|
|
|
|
|
|
|
December 31,
2019
|
|
|
|
|
|
|
Drilling and
completions capital expenditures
|
|
$
97,954
|
|
|
|
|
|
|
Proved reserves
additions (Mmcfe)
|
|
218,016
|
|
|
|
|
|
|
Organic finding and
development cost per Mcfe
|
|
$
0.45
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of finding and development cost per Mcfe
(unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Year Ended
|
|
|
|
|
|
|
|
|
|
December 31,
2019
|
|
|
|
|
|
|
Capital expenditures
for wells brought online
|
|
$
100,144
|
|
|
|
|
|
|
Proved developed
reserves additions (Mmcfe)
|
|
92,271
|
|
|
|
|
|
|
Finding and
development cost per Mcfe
|
|
$
1.09
|
|
|
|
|
|
|
View original
content:http://www.prnewswire.com/news-releases/goodrich-petroleum-announces-fourth-quarter-and-year-end-2019-results-301016771.html
SOURCE Goodrich Petroleum Corporation