Apache Slips To Loss In Q4 On Charges, Lower Revenues- Quick Facts

(RTTNews) - Oil and natural gas producer Apache Corp. (APA) reported fourth-quarter net loss of $4.81 billion or $12.78 per share, compared to net income of $174 million or $0.43 per share in the year-ago period. The loss for the latest quarter was primarily as a result of after-tax, non-cash charges totaling $5.2 billion.

Excluding items, adjusted earnings for the quarter was $404 million or $1.07 per share, compared to $610 million or $1.52 per share in the same period last year. On average, analysts polled by Thomson Reuters expected the company to report earnings of $0.76 per share for the quarter. Analysts' estimates typically exclude special items.

Total revenues and other for the quarter declined to $2.95 billion from $3.45 billion in the year-ago period. Analysts expected revenues of $3.09 billion.

John Christmann IV, Apache's chief executive officer and president said, "We have reduced our rig count from an average of 91 rigs in the third quarter of 2014 to an estimated 27 rigs by the end of this month. We have also reduced our frac crews by approximately 50 percent during the same time period and are delaying some well completions until service costs decrease materially."

For fiscal 2015, Apache anticipates capital spending of $2.1 billion to $2.3 billion in onshore North America and plans to run an average of 17 rigs in 2015. Onshore North American production in 2015 is projected to be relatively flat from 2014 average production of approximately 302,000 boe per day, as adjusted for 2014 asset sales.

Internationally and offshore, Apache plans a capital budget of $1.5 billion to $1.7 billion and estimates that 2015 pro forma production will be up slightly from 2014 average production of 207,000 boe per day, as adjusted for 2014 and announced 2015 asset sales.