UPDATE 1-Concho Resources tops profit estimates

By Kitco News / February 20, 2018 / www.kitco.com / Article Link

(Adds I/B/E/S estimates, fourth-quarter details)

Feb 20 (Reuters) - U.S. shale oil producer Concho Resources Inc posted a better-than-expected quarterly profit on Tuesday, helped by higher crude prices, and forecast a 16-20 percent rise in total production for 2018 from a year earlier.

The company estimated capital expenditure for 2018 at between $1.9 billion and $2.1 billion, higher than its 2017 guidance of $1.6 billion to $1.8 billion.

Concho posted net income of $267 million, or $1.79 per share, in the fourth quarter ended Dec. 31, compared with a net loss of $125 million, or 86 cents per share, a year earlier. In the latest reported quarter, the company booked a benefit of $398 million as a result of U.S. tax changes.

Excluding one-time items, the company earned 66 cents per share. By that measure, analysts had expected earnings of 45 cents, according to Thomson Reuters I/B/E/S.

Concho's average realized price for oil and natural gas for the quarter was $40.18 per barrel of oil equivalent (boe), compared to $34.7 per boe a year earlier.

Total production rose 28 percent to 19 million barrels of oil equivalent per day.


(Reporting by Taenaz Shakir in Bengaluru; Editing by Maju Samuel)

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.

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