Apache Q3 Loss Widens, Lifts FY Output Forecast

(RTTNews) - Oil and gas exploration and production company Apache Corp. (APA) Thursday said its net loss for the third quarter widened from the previous year, hit by hefty charges.

Net loss totaled $5.7 billion, or $14.95 per common share, wider than $1.33 billion or $3.50 reported last year.

The latest results included a ceiling test write down of $3.7 billion resulting from current low commodity price levels and a $1.5 billion charge related to an increase in the valuation allowance on deferred tax assets.

Adjusted net loss totaled $0.05 per share, while it was earnings per share of $1.27 last year. On average, 31 analysts polled by Thomson Reuters expected a loss of $0.36 per share for the quarter. Analysts' estimates typically exclude special items.

Revenues and other plunged to $1.496 billion from $3.441 billion in the prior year. Analysts expected revenues of $1.58 billion.

The company's global production in the quarter was 542,000 barrels of oil equivalent or boe per day.

According to Apache, despite a significantly reduced capital program, production volumes have shown tremendous resiliency. As a result, the company again raised its production-guidance ranges for 2015.

The company increased its full-year 2015 North American onshore production guidance to a range of 307,000 to 309,000 boe per day, from prior guidance of 305,000 to 308,000 boe per day.

John Christmann, IV, Apache's chief executive officer and president, said, "As we turn to 2016, prudent capital allocation will continue to be our primary focus as we strive to spend within cash flows, enhance our returns and grow value for our shareholders."

"Longer-term, we have great confidence in the potential inherent in our portfolio. Our extensive, high-quality position in North American resource plays will continue to be the driver of our long-term growth," he added.

The stock fell 1 percent on Wednesday to close at $49.39.