Erin Energy Corporation (ERN) saw its loss narrow to $26.51 million, or $0.12 a share for the quarter ended Mar. 31, 2017. In the previous year period, the company reported a loss of $32.41 million, or $0.15 a share.
Revenue during the quarter surged 534.57 percent to $31.28 million from $4.93 million in the previous year period.
Operating loss for the quarter was $25.09 million, compared with an operating loss of $28.29 million in the previous year period.
"During the first quarter, we produced approximately 597,000 net barrels of oil and generated revenues of approximately $31.3 million," said Jean-Michel Malek, Interim Chief Executive Officer. "We closed on the capital necessary for this year’s drilling and farmed-out a portion of our assets in The Gambia. As we look ahead, we are excited to kick off our drilling campaign, increase Oyo production, and look to turn to the exploration of the Miocene in Nigeria."
Operating cash flow turns positive
Erin Energy Corporation has generated cash of $0.67 million from operating activities during the quarter as against cash outgo of $10.15 million in the last year period.
The company has spent $3.09 million cash to meet investing activities during the quarter as against cash outgo of $3.55 million in the last year period.
Cash flow from financing activities was $1.98 million for the quarter, down 61.05 percent or $3.11 million, when compared with the last year period.
Cash and cash equivalents stood at $8.54 million as on Mar. 31, 2017, up 1,123.21 percent or $7.84 million from $0.70 million on Mar. 31, 2016.
Working capital remains negative
Working capital of Erin Energy Corporation was negative $277.48 million on Mar. 31, 2017 compared with negative $338.29 million on Mar. 31, 2016. Current ratio was at 0.14 as on Mar. 31, 2017, up from 0.04 on Mar. 31, 2016.
Days sales outstanding went down to 16 days for the quarter compared with 44 days for the same period last year.
Days inventory outstanding has decreased to 8 days for the quarter compared with 20 days for the previous year period.
Debt moves up
Erin Energy Corporation has witnessed an increase in total debt over the last one year. It stood at $106.44 million as on Mar. 31, 2017, up 17.25 percent or $15.66 million from $90.78 million on Mar. 31, 2016. Long-term debt stood at $64.44 million as on Mar. 31, 2017. Total debt was 37.03 percent of total assets as on Mar. 31, 2017, compared with 12.87 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: editor@irisindia.net
