Unit Corp. Q2 Earnings Down, Miss Estimates; Revenues Beat - Quick Facts

(RTTNews) - Unit Corp. (UNT), a provider of oil and natural gas contract drilling, Tuesday reported a drop in second-quarter earnings despite higher revenues, hurt by a loss on derivatives. Earnings also missed analysts' estimates, while revenues topped them.

For the three months to June, net earnings declined to $54.36 million or $1.11 per share, from $59.01 million or $1.22 per share a year earlier.

Excluding certain items, earnings totaled $55.36 million or $1.13 per share, compared with $48.84 million or $1.01 per share a year earlier.

On average, eight analysts polled by Thomson-Reuters estimated the company's earnings to be $1.15 for the quarter. Analysts' estimates typically exclude one-time items.

Revenues increased to $405.43 million, from $340.42 million last year, above the $398.93 million Wall Street expected.

Total equivalent production for the quarter increased by 12 percent to 4.6 million barrels of oil equivalent (MMBoe).

Oil production increased by 11 percent to 10,400 barrels per day, while NGLs production rose by 24 percent to 12,800 barrels per day. Natural gas production increased by 6 percent to 65,100 thousand cubic feet (Mcf).

The average number of drilling rigs used in the quarter was 73.5, a 13 percent rise from last year. Per-day drilling rig rates averaged $19,904, up 2 percent from a year earlier.