Cimarex Reports Second Quarter 2020 Results
DENVER, Aug. 5, 2020 /PRNewswire/ --
-- Generated Cash from Operating Activities of $145 million in the quarter
-- Invested $84 million in the second quarter
-- $26 million in free cash flow after dividend
-- Oil production averaged 78,000 barrels per day
Cimarex Energy Co. (NYSE: XEC) today reported a second quarter 2020 net loss of $925.1 million, or $9.28 per share, compared to net income of $109.3 million, or $1.07 per share, in the same period a year ago. Second quarter results were negatively impacted by non-cash charges related to the impairment of oil and gas properties. Second quarter adjusted net income (non-GAAP) was $(52.4) million, or $(0.51) per share, compared to second quarter 2019 adjusted net income (non-GAAP) of $83.0 million, or $0.82 per share(1). Net cash provided by operating activities was $144.7 million in the second quarter of 2020 compared to $414.0 million in the same period a year ago. Adjusted cash flow from operations (non-GAAP) was $144.5 million in the second quarter of 2020 compared to $336.4 million in the second quarter a year ago(1).
Oil production averaged 78.0 thousand barrels (MBbls) per day. Total company production volumes for the quarter averaged 254.7 thousand barrels of oil equivalent (MBOE) per day. Second quarter production volumes were impacted by the operational slow down announced in March and a 20 percent temporary curtailment of May production related to the extreme fluctuation in oil prices caused by the COVID-19 pandemic and the actions of OPEC and other countries during the quarter.
Realized oil prices averaged $19.57 per barrel, down 64 percent from the $54.24 per barrel received in the second quarter of 2019. Realized natural gas prices averaged $0.91 per thousand cubic feet (Mcf), up 82 percent from the second quarter 2019 average of $0.50 per Mcf. NGL prices averaged $7.52 per barrel, down 43 percent from the $13.08 barrel received in the second quarter of 2019.
Cimarex's realized oil price was impacted by a negative differential to WTI of $8.28 per barrel in the quarter from $1.99 per barrel in the previous quarter, with a negative oil price differential in the Permian of $8.12 per barrel in the second quarter, $2.00 per barrel sequentially. Our realized local natural gas price differentials improved in both regions. The company realized a negative differential to Henry Hub on its Permian natural gas production of $1.09 per Mcf in the second quarter of 2020 compared to $3.10 per Mcf in the second quarter of 2019 and $1.85 in the first quarter of 2020. In the Mid-Continent region, the company's average negative differential to Henry Hub was $0.31 per Mcf versus $0.86 per Mcf in the second quarter of 2019 and $0.57 in the first quarter of 2020.
Cimarex invested a total of $84 million during the second quarter, of which $49 million was attributable to drilling and completion activities. Second quarter investments were funded with cash flow from operating activities. Total debt at June 30, 2020 consisted of $2.0 billion of long-term notes, with no debt maturities until 2024. Cimarex had no borrowings under its revolving credit facility and a cash balance of $44 million at quarter end.
Outlook
Cimarex Chairman and CEO, Tom Jorden, said, "The second quarter required drastic and prudent action. Our response to the challenging price environment included a significant decrease in activity and curtailing May production volumes. With improved oil prices we have elected to resume activity. We are bringing three additional drilling rigs back to work in the third quarter and will begin completing wells again in September with two completion crews on the schedule. As a result, we expect capital investment for the year to total approximately $600 million, in line with expectations of an operational restart from our previous guidance range." The table below shows a breakdown of the projected capital by category:
Capital Investment ($MM)
Updated 2020E Guidance
Drilling and Completion (D&C)
~ $430
Midstream/Saltwater Disposal (SWD)
~ 40
Other*
~ 130
Total Capital Investment
~ $600
*Capitalized overhead, production, NPL, and technology
Cimarex is also giving production and expense guidance for the remainder of 2020. Third quarter 2020 production volumes are expected to average 230 - 250 MBOE per day, with oil volumes estimated to average 69.0 - 74.0 MBbls per day. Total 2020 daily production volumes are expected to average 240 - 250 MBOE per day, with annual oil volumes estimated to average 75.0 - 78.0 MBbls per day.
Expenses per BOE of production for 2020 are estimated to be:
Production expense
$2.90 - $3.30
Transportation, processing and other expense
2.10 - 2.40
DD&A and ARO accretion
7.40 - 7.90
General and administrative expense
0.95 - 1.15
Taxes other than income (% of oil and gas revenue) 6.0% - 8.0%
Mr. Jorden continued, "This activity puts us in a strong position as we enter 2021. We see Cimarex in a position to generate more than enough free cash flow to fund our dividend in 2021 at $35 WTI, a testament to increasing efficiencies. Any excess free cash flow would be used to fund dividend increases and grow cash on the balance sheet to retire debt."
"The health and safety of our employees remains top of mind. Cimarex has taken a number of steps to protect employees in the wake of the COVID-19 pandemic including the implementation of a staggered office schedule and the adoption of COVID-19 protocols for field staff and employees working in the office."
Operations Update
Cimarex invested $84 million during the second quarter, with 88 percent invested in the Permian Basin and 12 percent in the Mid-Continent. Cimarex brought 37 gross (12.5 net) wells on production during the quarter. At June 30, 73 gross (31.1 net) wells were waiting on completion.
WELLS BROUGHT ON PRODUCTION BY REGION
Three Months Ended Six Months Ended
June 30, June 30,
2020 2019 2020 2019
Gross
wells
Permian
Basin 17 44 52 56
Mid-
Continent 20 66 39 92
37 110 91 148
Net
wells
Permian
Basin 11.1 31.9 30.9 36.9
Mid-
Continent 1.4 7.8 1.7 10.7
12.5 39.7 32.6 47.6
Permian Region
Production from the Permian region averaged 185.7 MBOE per day in the second quarter, a two percent decrease from second quarter 2019. Oil volumes averaged 68.8 MBbls per day, a three percent decrease from second quarter 2019 and down 14 percent sequentially.
Cimarex brought 17 gross (11.1 net) wells on production in the Permian region during the second quarter. There were 47 gross (31.1 net) wells waiting on completion at June 30. Cimarex is currently operating three drilling rigs but no completion crews in the region.
Mid-Continent Region
Production from the Mid-Continent averaged 68.7 MBOE per day for the second quarter, down 20 percent from second quarter 2019 and down 6 percent sequentially.
During the second quarter, 20 gross (1.4 net) wells were brought on production in the Mid-Continent region. At the end of the quarter, 26 gross (<1 net) wells were waiting on completion. Cimarex is not currently operating drilling rigs or completion crews in the Mid-Continent.
Cimarex's average daily production and commodity price by region is summarized below:
DAILY PRODUCTION BY REGION
Three Months Ended Six Months Ended
June 30,
June 30,
2020 2019 2020 2019
Permian Basin
Gas (MMcf) 417.8 379.3 433.4 360.1
Oil (Bbls) 68,791 70,669 74,198 67,835
NGL (Bbls) 47,291 54,813 48,111 50,567
Total Equivalent (MBOE) 185.7 188.7 194.5 178.4
Mid-Continent
Gas (MMcf) 237.3 285.5 240.7 291.3
Oil (Bbls) 9,063 12,623 9,502 13,419
NGL (Bbls) 20,068 25,496 21,089 26,060
Total Equivalent (MBOE) 68.7 85.7 70.7 88.0
Total Company
Gas (MMcf) 656.0 665.8 675.2 652.5
Oil (Bbls) 77,956 83,430 83,873 81,433
NGL (Bbls) 67,402 80,362 69,251 76,680
Total Equivalent (MBOE) 254.7 274.8 265.6 266.9
AVERAGE REALIZED PRICE BY REGION
Three Months Ended Six Months Ended
June 30,
June 30,
2020 2019 2020 2019
Permian Basin
Gas ($ per Mcf) 0.62 (0.46) 0.35 0.34
Oil ($ per Bbl) 19.73 54.02 32.84 51.15
NGL ($ per Bbl) 6.78 11.97 7.83 13.72
Mid-Continent
Gas ($ per Mcf) 1.40 1.78 1.39 2.24
Oil ($ per Bbl) 18.32 55.43 31.83 54.01
NGL ($ per Bbl) 9.26 15.47 10.71 16.51
Total Company
Gas ($ per Mcf) 0.91 0.50 0.72 1.19
Oil ($ per Bbl) 19.57 54.24 32.74 51.64
NGL ($ per Bbl) 7.52 13.08 8.71 14.67
Other
Cimarex received cash settlements of $5.9 million related to its gas hedges during the quarter. Settlement of oil hedges resulted in cash receipts of $58.1 million.
The following table summarizes the company's current open hedge positions:
3Q20 4Q20 1Q21 2Q21 3Q21 4Q21 1Q22
Gas Collars:
PEPL (2)
Volume (MMBtu/d) 100,000 100,000 100,000 90,000 70,000 70,000 40,000
Wtd Avg Floor $
1.78 $
1.78 $
1.83 $
1.83 $
1.88 $
1.88 $
2.00
Wtd Avg Ceiling $
2.21 $
2.21 $
2.23 $
2.22 $
2.29 $
2.29 $
2.40
El Paso Perm (2)
Volume (MMBtu/d) 70,000 70,000 70,000 70,000 50,000 50,000 20,000
Wtd Avg Floor $
1.36 $
1.36 $
1.50 $
1.50 $
1.64 $
1.64 $
1.85
Wtd Avg Ceiling $
1.64 $
1.64 $
1.79 $
1.79 $
1.95 $
1.95 $
2.18
Waha (2)
Volume (MMBtu/d) 70,000 70,000 90,000 90,000 70,000 70,000 40,000
Wtd Avg Floor $
1.43 $
1.43 $
1.52 $
1.52 $
1.65 $
1.65 $
1.77
Wtd Avg Ceiling $
1.73 $
1.73 $
1.83 $
1.83 $
1.98 $
1.98 $
2.15
Oil Collars:
WTI (3)
Volume (Bbl/d) 41,000 41,000 40,000 30,000 21,000 21,000 7,000
Wtd Avg Floor $
40.91 $
40.91 $
38.06 $
34.23 $
31.48 $
31.48 $
35.00
Wtd Avg Ceiling $
49.84 $
49.84 $
46.45 $
42.25 $
39.67 $
39.67 $
45.28
Oil Basis Swaps:
WTI Midland (4)
Volume (Bbl/d) 32,000 32,000 31,000 25,000 20,000 20,000 7,000
Wtd Avg Differential $
0.18 $
0.18 $
0.03 $
(0.10) $
(0.38) $
(0.38) $
0.11
Oil Roll Differential
WTI (3)
Swaps:
Volume (Bbl/d) 7,000 7,000 7,000 7,000 7,000
Wtd Avg Price
$
$ $
(0.24) $
(0.24) $
(0.24) $
(0.24) $
(0.24)
Conference call and webcast
Cimarex will host a conference call tomorrow, August 6, 2020 at 11:00 a.m. EST (9:00 a.m. MST). The call will be webcast and accessible on the Cimarex website at www.cimarex.com. To join the live, interactive call, please dial 866-367-3053 ten minutes before the scheduled start time (callers in Canada dial 855-669-9657 and international callers dial 412-902-4216). A replay will be available on the company's website.
Investor Presentation
For more details on Cimarex's second quarter 2020 results, please refer to the company's investor presentation available at www.cimarex.com.
About Cimarex Energy
Denver-based Cimarex Energy Co. is an independent oil and gas exploration and production company with principal operations in the Permian Basin and Mid-Continent areas of the U.S.
This press release contains forward-looking statements, including statements regarding projected results and future events. In particular, the disclosures under the heading "Outlook" contain projections for certain 2020 operational and financial metrics. These forward-looking statements are based on management's judgment as of the date of this press release and include certain risks and uncertainties. Please refer to the company's Annual Report on Form 10-K for the year ended December 31, 2019, filed with the SEC, and other filings including our Current Reports on Form 8-K and Quarterly Reports on Form 10-Q, for a list of certain risk factors that may affect these forward-looking statements.
Actual results may differ materially from company projections and other forward-looking statements and can be affected by a variety of factors outside the control of the company including among other things: oil, NGL and natural gas price levels and volatility, including those resulting from demand destruction from the COVID-19 pandemic; disruptions to the availability of workers and contractors due to illness and stay at home orders related to the COVID-19 pandemic; disruptions to gathering, pipeline, refining, transportation and other midstream and downstream activities due to the COVID-19 pandemic; disruptions to supply chains and availability of critical equipment and supplies, including as a result of the COVID-19 pandemic; the effectiveness of controls over financial reporting; declines in the values of our oil and gas properties resulting in impairments; impairments of goodwill; higher than expected costs and expenses, including the availability and cost of services and materials, which may be impacted by the COVID-19 pandemic; our ability to successfully integrate the March 2019 acquisition of Resolute Energy Corporation; compliance with environmental and other regulations; costs and availability of third party facilities for gathering, processing, refining and transportation; risks associated with concentration of operations in one major geographic area; environmental liabilities; the ability to receive drilling and other permits and rights-of-way in a timely manner, which may be negatively impacted by COVID-19 restrictions on regulatory personnel who process and approve those matters; development drilling and testing results; the potential for production decline rates to be greater than expected; performance of acquired properties and newly drilled wells; regulatory approvals, including regulatory restrictions on federal lands which may be negatively impacted by a change in administration; legislative or regulatory changes, including initiatives related to hydraulic fracturing, emissions and disposal of produced water, which may be negatively impacted by a change in administration; unexpected future capital expenditures; economic and competitive conditions; the availability and cost of capital; the ability to obtain industry partners to jointly explore certain prospects, and the willingness and ability of those partners to meet capital obligations when requested; changes in estimates of proved reserves; derivative and hedging activities; the success of the company's risk management activities; title to properties; litigation; the ability to complete property sales or other transactions; and other factors discussed in the company's reports filed with the SEC. Cimarex Energy Co. encourages readers to consider the risks and uncertainties associated with projections and other forward-looking statements. In addition, the company assumes no obligation to publicly revise or update any forward-looking statements based on future events or circumstances.
1 Adjusted net income and adjusted
cash flow from operations are non-
GAAP financial measures. See
below for reconciliations of the
related GAAP amounts.
2 PEPL refers to Panhandle Eastern
Pipe Line Tex/OK Mid-Continent
index, El Paso Perm refers to El
Paso Permian Basin index, and Waha
refers to West Texas (Waha) Index,
all as quoted in Platt's Inside
FERC.
3 WTI refers to West Texas
Intermediate oil price as quoted
on the New York Mercantile
Exchange.
4 Index price on basis swaps is WTI
NYMEX less the weighted average
WTI Midland differential, as
quoted by Argus Americas Crude.
RECONCILIATION OF ADJUSTED NET (LOSS) INCOME
The following reconciles net (loss) income as reported under generally accepted accounting principles (GAAP) to adjusted net (loss) income (non-GAAP) for the periods indicated.
Three Months Ended Six Months Ended
June 30,
June 30,
2020 2019 2020 2019
(in thousands, except per share data)
Net income (loss) $
(925,147) $
109,309 $
(1,699,429) $
135,625
Impairment of oil and gas
properties (1) 941,198 1,274,849
Impairment of goodwill 714,447
Mark-to-market loss (gain)
on open derivative
positions 187,826 (34,531) 4,000 71,870
Loss on early extinguishment
of debt 4,250
Acquisition related costs 74 8,391
Asset retirement obligation 2,800
Tax impact (2) (256,289) 8,166 (289,653) (20,029)
Adjusted net (loss) income $
(52,412) $
83,018 $
7,014 $
200,107
Diluted earnings (loss) per
share $
(9.28) $
1.07 $
(17.05) $
1.34
Adjusted diluted earnings
(loss) per share* $
(0.51) $
0.82 $
0.07 $
2.01
Weighted-average number of
shares outstanding:
Adjusted diluted** 102,114 101,448 102,122 99,592
______________________________________
(1) An additional ceiling test
impairment is anticipated in the
third quarter.
(2) Because the goodwill impairment is
not deductible for tax purposes,
the tax impact in the 2020 period
is calculated using an effective
tax rate determined by excluding
goodwill from the effective tax
rate calculation.
Adjusted net (loss) income and adjusted diluted earnings (loss) per share exclude the
noted items because management believes these items affect the comparability of
operating results. The company discloses these non-GAAP financial measures as a useful
adjunct to GAAP measures because:
a) Management uses adjusted net (loss) income to evaluate the company's operating
performance between periods and to compare the company's performance to other
oil and gas exploration and production companies.
b) Adjusted net (loss) income is more comparable to earnings estimates provided by
research analysts.
* Does not include adjustments resulting from application of the "two-class method"
used to determine earnings per share under GAAP.
** Reflects the weighted-average number of common shares outstanding during the period
as adjusted for the dilutive effects of outstanding stock options.
RECONCILIATION OF ADJUSTED CASH FLOW FROM OPERATIONS, FREE CASH FLOW AND FREE CASH FLOW AFTER DIVIDEND
The following table provides a reconciliation from generally accepted accounting principles (GAAP) measures of net cash provided by operating activities to adjusted cash flows from operations (non-GAAP), free cash flow (non-GAAP) and free cash flow after dividend (non-GAAP) for the periods indicated.
Three Months Ended Six Months Ended
June 30,
June 30,
2020 2019 2020 2019
(in thousands)
Net cash provided by
operating activities $
144,706 $
413,992 $
453,497 $
664,083
Change in operating
assets and liabilities (178) (77,630) (2,548) 23,341
Adjusted cash flow from
operations 144,528 336,362 450,949 687,424
Oil and gas expenditures (152,510) (379,015) (418,580) (711,757)
Other capital
expenditures (11,627) (22,313) (38,052) (40,141)
Change in capital
accruals 68,813 61,085 86,286 14,654
Free cash flow 49,204 (3,881) 80,603 (49,820)
Dividends paid (23,616) (21,468) (45,209) (38,647)
Free cash flow after
dividend $
25,588 $
(25,349) $
35,394 $
(88,467)
Management uses the non-GAAP financial measures of adjusted cash flow from operations, free cash flow and free cash flow after dividend as means of measuring our ability to fund our capital program and dividends, without fluctuations caused by changes in current assets and liabilities, which are included in the GAAP measure of net cash provided by operating activities. Management believes these non-GAAP financial measures provide useful information to investors for the same reason, and that they are also used by professional research analysts in providing investment recommendations pertaining to companies in the oil and gas exploration and production industry.
OIL AND GAS CAPITALIZED EXPENDITURES
Three Months Ended Six Months Ended
June 30,
June 30,
2020 2019 2020 2019
(in thousands)
Acquisitions:
Proved
$ $
1,200 $
7,250 $
693,800
Unproved 1,000 1,051,782
2,200 7,250 1,745,582
Exploration and
development:
Land and seismic 12,116 14,552 $
26,040 $
24,079
Exploration and
development 71,666 310,428 306,394 668,919
83,782 324,980 332,434 692,998
Property sales:
Proved (22,058)
$ $
(18,028)
Unproved (6,253) (830) (9,754)
(28,311) (830) (27,782)
$
83,782 $
298,869 $
338,854 $
2,410,798
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS)
(unaudited)
Three Months Ended Six Months Ended
June 30,
June 30,
2020 2019 2020 2019
(in thousands, except per share information)
Revenues:
Oil sales $
138,817 $
411,766 $
499,797 $
761,072
Gas and NGL sales 100,261 126,044 198,742 343,959
Gas gathering and other 10,305 8,653 23,674 18,389
249,383 546,463 722,213 1,123,420
Costs and expenses:
Impairment of oil and gas
properties 941,198 1,274,849
Depreciation, depletion,
amortization, and accretion 196,615 215,484 416,425 407,950
Impairment of goodwill 714,447
Production 64,337 88,995 151,573 167,399
Transportation, processing,
and other operating 53,282 54,107 108,204 113,682
Gas gathering and other 3,526 6,560 11,824 11,742
Taxes other than income 16,486 41,033 47,447 74,727
General and administrative 26,226 24,911 51,735 53,995
Stock compensation 6,747 6,494 13,141 13,207
Loss (gain) on derivative
instruments, net 123,885 (40,768) (103,055) 74,684
Other operating expense, net 130 590 381 8,916
1,432,432 397,406 2,686,971 926,302
Operating (loss) income (1,183,049) 149,057 (1,964,758) 197,118
Other (income) and expense:
Interest expense 23,047 24,674 46,228 45,079
Capitalized interest (12,939) (16,805) (26,121) (25,547)
Loss on early extinguishment
of debt 4,250
Other, net 3,496 (2,167) 2,625 (4,408)
(Loss) income before income
tax (1,196,653) 143,355 (1,987,490) 177,744
Income tax (benefit) expense (271,506) 34,046 (288,061) 42,119
Net (loss) income $
(925,147) $
109,309 $
(1,699,429) $
135,625
Earnings (loss) per share to
common stockholders:
Basic $
(9.28) $
1.07 $
(17.05) $
1.34
Diluted $
(9.28) $
1.07 $
(17.05) $
1.34
Dividends declared per common
share $
0.22 $
0.20 $
0.44 $
0.40
Weighted-average number of
shares outstanding:
Basic 99,880 99,658 99,861 97,800
Diluted 99,880 99,665 99,861 97,809
Comprehensive (loss) income:
Net (loss) income $
(925,147) $
109,309 $
(1,699,429) $
135,625
Other comprehensive income:
Change in fair value of
investments, net of tax of
$0, $89, $0 and $428,
respectively 304 1,453
Total comprehensive (loss)
income $
(925,147) $
109,613 $
(1,699,429) $
137,078
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited)
Three Months Ended Six Months Ended
June 30,
June 30,
2020 2019 2020 2019
(in thousands)
Cash flows from operating activities:
Net (loss) income $
(925,147) $
109,309 $
(1,699,429) $
135,625
Adjustments to reconcile net (loss)
income to net cash provided by
operating activities:
Impairment of oil and gas properties 941,198 1,274,849
Depreciation, depletion, amortization,
and accretion 196,615 215,484 416,425 407,950
Impairment of goodwill 714,447
Deferred income taxes (271,543) 34,046 (287,900) 42,119
Stock compensation 6,747 6,494 13,141 13,207
Loss (gain) on derivative instruments,
net 123,885 (40,768) (103,055) 74,684
Settlements on derivative instruments 63,941 6,237 107,055 (2,814)
Loss on early extinguishment of debt 4,250
Amortization of debt issuance costs
and discounts 818 783 1,602 1,502
Changes in non-current assets and
liabilities 4,609 601 7,019 2,749
Other, net 3,405 4,176 6,795 8,152
Changes in operating assets and
liabilities:
Accounts receivable 85,010 83,716 204,615 117,692
Other current assets 1,519 (1,111) 1,495 (761)
Accounts payable and other current
liabilities (86,351) (4,975) (203,562) (140,272)
Net cash provided by operating
activities 144,706 413,992 453,497 664,083
Cash flows from investing activities:
Acquisition of Resolute Energy, net of
cash acquired (284,441)
Oil and gas capital expenditures (152,510) (379,015) (418,580) (711,757)
Other capital expenditures (11,627) (22,313) (38,052) (40,141)
Sales of oil and gas assets 8,233 830 13,233
Sales of other assets 1,007 234 1,188 434
Net cash used by investing activities (163,130) (392,861) (454,614) (1,022,672)
Cash flows from financing activities:
Borrowings of long-term debt 60,000 528,000 161,000 1,710,310
Repayments of long-term debt (60,000) (528,000) (161,000) (2,081,000)
Financing, underwriting, and debt
redemption fees (1,457) (853) (1,557) (11,791)
Finance lease payments (1,343) (920) (2,808) (1,555)
Dividends paid (23,616) (21,468) (45,209) (38,647)
Employee withholding taxes paid upon
the net settlement of equity-
classified stock awards (24) (189) (654)
Proceeds from exercise of stock
options 594 674
Net cash used by financing activities (26,440) (22,647) (49,763) (422,663)
Net change in cash and cash
equivalents (44,864) (1,516) (50,880) (781,252)
Cash and cash equivalents at beginning
of period 88,706 20,930 94,722 800,666
Cash and cash equivalents at end of
period $
43,842 $
19,414 $
43,842 $
19,414
CONDENSED CONSOLIDATED BALANCE SHEETS (unaudited)
June 30, 2020 December 31,
2019
Assets (in thousands, except share and
per share information)
Current assets:
Cash and cash equivalents $
43,842 $
94,722
Accounts receivable, net of
allowance 244,826 448,584
Oil and gas well equipment and
supplies 51,184 47,893
Derivative instruments 71,590 17,944
Other current assets 12,660 12,343
Total current assets 424,102 621,486
Oil and gas properties at cost,
using the full cost method of
accounting:
Proved properties 21,014,098 20,678,334
Unproved properties and
properties under development,
not being amortized 1,258,002 1,255,908
22,272,100 21,934,242
Less - accumulated depreciation,
depletion, amortization, and
impairment (18,373,655) (16,723,544)
Net oil and gas properties 3,898,445 5,210,698
Fixed assets, net of accumulated
depreciation of $423,873 and
$389,458, respectively 478,553 519,291
Goodwill 716,865
Derivative instruments 580
Other assets 68,688 71,109
$
4,869,788 $
7,140,029
Liabilities, Redeemable
Preferred Stock, and
Stockholders' Equity
Current liabilities:
Accounts payable $
25,032 $
49,020
Accrued liabilities 268,462 418,978
Derivative instruments 51,556 16,681
Revenue payable 102,824 207,939
Operating leases 56,901 66,003
Total current liabilities 504,775 758,621
Long-term debt principal 2,000,000 2,000,000
Less-unamortized debt issuance
costs and discounts (13,729) (14,754)
Long-term debt, net 1,986,271 1,985,246
Deferred income taxes 50,524 338,424
Derivative instruments 23,210 1,018
Operating leases 155,023 184,172
Other liabilities 217,518 214,787
Total liabilities 2,937,321 3,482,268
Redeemable preferred stock -
8.125% Series A Cumulative
Perpetual Convertible Preferred
Stock, $0.01 par value, 62,500
shares authorized and issued 81,620 81,620
Stockholders' equity:
Common stock, 0.01 par value,
200,000,000 shares authorized,
102,151,096 and 102,144,577
shares issued, respectively 1,022 1,021
Additional paid-in capital 3,241,244 3,243,325
(Accumulated deficit) retained
earnings (1,391,419) 331,795
Total stockholders' equity 1,850,847 3,576,141
$
4,869,788 $
7,140,029
View original content:http://www.prnewswire.com/news-releases/cimarex-reports-second-quarter-2020-results-301107036.html
SOURCE Cimarex Energy Co.
