Earthstone Energy (ESTE) swung to a net profit for the quarter ended Mar. 31, 2017. The company has made a net profit of $0.73 million, or $ 0.03 a share in the quarter, against a net loss of $6.42 million, or $0.46 a share in the last year period.
Revenue during the quarter surged 125.30 percent to $15.34 million from $6.81 million in the previous year period.
Operating loss for the quarter was $3.43 million, compared with an operating loss of $6.84 million in the previous year period.
However, the adjusted EBITDA for the quarter stood at $5.33 million compared with $1.94 million in the prior year period. At the same time, adjusted EBITDA margin improved 635 basis points in the quarter to 34.77 percent from 28.41 percent in the last year period.
Frank A. Lodzinski, president and chief executive officer of Earthstone Energy, Inc., commented, "As previously announced, we have initiated drilling and completion operations on our operated Eagle Ford acreage in Gonzales County. Upon closing our business combination with Bold Energy III LLC, our primary focus will be the integration of the companies and development of Bold’s approximate 21,000 net acres 85% operated working interest in the southern Midland Basin. Including our 2016 acquisition of Lynden Energy Corp., our Midland Basin position now totals approximately 27,000 net acres. We are anxious to further expand our development acreage."
Operating cash flow turns positiveEarthstone Energy has generated cash of $4.37 million from operating activities during the quarter as against cash outgo of $15.19 million in the last year period. The company has spent $4.17 million cash to meet investing activities during the quarter as against cash outgo of $2.38 million in the last year period.
Cash and cash equivalents stood at $10.01 million as on Mar. 31, 2017, up 76.04 percent or $4.32 million from $5.68 million on Mar. 31, 2016.
Working capital remains negative
Working capital of Earthstone Energy was negative $4.82 million on Mar. 31, 2017 compared with negative $5.80 million on Mar. 31, 2016. Current ratio was at 0.82 as on Mar. 31, 2017, up from 0.81 on Mar. 31, 2016.
Days sales outstanding went down to 86 days for the quarter compared with 225 days for the same period last year.
Debt moves upEarthstone Energy has witnessed an increase in total debt over the last one year. It stood at $13.91 million as on Mar. 31, 2017, up 24.26 percent or $2.72 million from $11.19 million on Mar. 31, 2016. Short-term debt stood at $1.63 million as on Mar. 31, 2017. Total debt was 4.57 percent of total assets as on Mar. 31, 2017, compared with 4.66 percent on Mar. 31, 2016. Debt to equity ratio was almost stable at 0.06 as on Mar. 31, 2017, when compared with the last year. 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
