Linn Energy Q4 Loss Widens Despite Higher Revenues - Quick Facts

(RTTNews) - Linn Energy LLC (LINE) reported net loss for the fourth quarter of $784.55 million or $3.15 per unit, wider than net loss of $187.50 million or $0.83 per unit in the year-ago period.

On average, twelve analysts polled by Thomson Reuters expected the company to report earnings of $0.27 per share for the quarter. Analysts estimates typically exclude special items.

The latest quarter's results includes non-cash impairment charges of $790 million, or $3.16 per unit, and non-cash changes in fair value of unsettled commodity derivatives of about $44 million, or $0.18 per unit.

However, revenue for the quarter grew to $629.21 million from $571.23 million in the same period last year. Analysts had a consensus revenue estimate of $627.29 million.

Linn Energy increased production for the fourth quarter by 11 percent to an average of 889 MMcfe/d from 800 MMcfe/d in the year-ago period.

Looking ahead, Linn Energy expects production for the first quarter of 2014 to average between 1,070 and 1,100 Mmcfe/d, and production for the full-year 2014 to average between 1,070 and 1,140 MMcfe/d, which includes the potential impact of ethane rejection for the year of approximately 22 Mmcfe/d.

Linn Energy has retained RBC Richardson Barr to assist with evaluating multiple strategic alternatives to maximize value for the Midland Basin portion of its Permian position. Alternatives include potential asset trades, a cash sale of the position, pursuing an active drilling program and joint ventures.