Quicksilver Resources Inc.
) declared its revised net income and revenue figures for the
fiscal fourth quarter and full year 2012. The current figures
came in higher than the numbers reported in late Feb 2013.
At the time of the fourth quarter and 2012 earnings release,
the company did not take into account any hedge qualifying
effects. Instead of deferring the unrealized derivative and
losses, Quicksilver took into consideration these adjustments
which trickled down to the financial statement.
Including these modifications, net loss for the fourth quarter
comes to $548.0 million corresponding to a GAAP loss of $3.22 per
share. In comparison, the previous net loss stood at $1.1 billion
translating to a GAAP loss of $6.47 per share. On a pro forma
basis, the revised earnings per share figure comes to 5 cents
compared with a loss of a penny as per the prior report.
For 2012, the recalculated net loss comes to $2.35 billion
compared with a net loss of $2.49 billion reported earlier. The
modified GAAP loss figure stands at $13.83 per share, favorable
than the previous loss of $14.61 per share. Adjusted loss for
2012 also came in lower at 5 cents compared with a loss of 27
cents posted during the release.
Revenue for the quarter shot up 25.1% to $224.0 million from
the previous $179.1 million. For 2012, the modified revenue
increased 5.7% to $709.0 million from $670.8 million reported
We believe these positive revisions in both the top and the
bottom line will unlock greater value for the company's
shareholders. With natural gas prices regaining its momentum and
moving north, we believe independent oil and gas companies like
Quicksilver will accrue substantial benefits, going forward.
Moreover, the company's effective hedging program will lend a
degree of constancy to its returns.
Additionally, the company will stand to benefit from its
Royal Dutch Shell plc.
) business wing - SWEPI LP. The company's large presence at the
resource-rich Horn River, Sand Wash and Barnett plays will
certainly bode well for its broad growth objectives.
Quicksilver Resources at present carries a Zacks Rank #2
(Buy). Other oil and gas stocks that look better are Zacks Ranked
EPL Oil &Gas Inc.
Range Resource Corp.
Based in Fort Worth, TX, Quicksilver Resources engages in the
acquisition, exploration, development, and production of onshore
oil and gas in North America.
EPL OIL&GAS INC (EPL): Free Stock Analysis
QUICKSILVER RES (KWK): Free Stock Analysis
ROYAL DTCH SH-A (RDS.A): Free Stock Analysis
RANGE RESOURCES (RRC): Free Stock Analysis
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