Oklahoma company earnings reports, May 9

Oklahoma company earnings reports, May 9
Oklahoman Modified: May 8, 2014 at 10:22 pm •  Published: May 8, 2014
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EARNINGS

UNIT CORP.

Unit Corp. on Thursday reported net income of $56.9 million, or $1.17 a share, for the first quarter. That is up from $40.2 million, or 83 cents a share, in the same period of last year. Unit also boosted its total revenues to $388 million, although weather delays led to a slight decrease in production from the previous quarter. The company said demand for its drilling rigs increased steadily through the first quarter, with its utilitization rate reaching 57 percent. Unit also connected 46 new wells to its midstream system in the quarter, up from 31 in the fourth quarter.

SEMGROUP CORP.

SemGroup Corp. earned $13.6 million, or 29 cents a share, in the first quarter, thanks to the completion of several strategic projects, the company reported Thursday. SemGroup earned $3.3 million, or 8 cents a share, in the same period of last year. “I am very pleased with the strong start to the year,” CEO Carlin Conner said. He said the recently completed Glass Mountain Pipeline and Rose Valley natural gas processing plant in Oklahoma are beginning to contribute to the company’s financial growth. SemGroup will pay a quarterly cash dividend of 24 cents a share on May 29.

ROSE ROCK MIDSTREAM LP

Rose Rock Midstream LP on Thursday reported a profit of $16.2 million for the first quarter, up from $12 million in the same period of last year. “Rose Rock posted an exceptional first quarter, largely reflecting growth from our acquisitions during 2013,” said Carlin Conner, CEO of Rose Rock’s general partner. Rose Rock will pay a quarterly cash distribution of 49.5 cents a unit on May 15.

PANHANDLE OIL AND GAS INC.

Buoyed by higher natural gas prices, Panhandle Oil and Gas Inc. boosted its net income to nearly $5.7 million, or 68 cents a share, in the second quarter, the company reported Thursday. That is up from $1 million, or 12 cents a share, for the same period of last year, as gas prices increased by more than $1.50 a thousand cubic feet. “Current expectations are that natural gas prices will continue to be elevated this summer as storage levels are extremely low and will need to be refilled prior to the winter heating season,” CEO Michael C. Coffman said. “These expected prices should continue to have a positive impact on our earnings for 2014. The company remains in a very strong financial position that allows us to be ready to take advantage of drilling or acquisition opportunities that will add to our asset base and are expected to deliver additional value for our shareholders.”

LAREDO PETROLEUM INC.

Laredo Petroleum Inc. on Thursday reported a net loss of $200,000 for the first quarter after posting net income of $1.4 million in the same period of 2013. Laredo managed to achieve record production of 27,000 barrels of oil equivalent a day in the Permian Basin, as it began focusing on drilling stacked laterals from multi-well pads. “We are now operating seven horizontal rigs, with five drilling stacked-laterals from multi-well pads, which we believe is the most efficient, cost-effective way to recover the maximum amount of resource,” CEO Randy A. Foutch said. “As we build assets that reduce costs in the long-term and transition to drilling stacked laterals on multi-well pads, Laredo is truly at an inflection point in our multi-year process to accelerate the full-scale development of our Permian-Garden City asset.”

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