The executives also reiterated the company’s ongoing effort to reduce debt. Chesapeake recently bought back $1.26 billion in debt from its Chesapeake Utica LLC subsidiary.
“Chesapeake is standing strong on four pillars today,” Lawler said. “We’re growing production at a double-digit annual rate, we’re demonstrating excellent capital efficiency and cost leadership, we’re reducing our financial complexity and we’re laser-focused on creating shareholder value through a variety of strategic initiatives.”
Analyst Tim Rezvan said he is not overly concerned with Chesapeake’s lower-than-expected profits.
“Any disappointment should be mitigated by a 1.5 percent increase to 2014 production guidance and 2014 exit-rate guidance of 730 mboe/d (thousand barrels of oil equivalent per day) that suggests consensus 2015 production of 732 mboe/d is likely far too conservative,” Rezvan, an analyst with Sterne Agee, said in a statement Wednesday. “We believe a muted reaction is warranted following a positive update to 2015 growth.”