CNX Gas 1Q Profit Climbs 10 Pct

PITTSBURGH (AP) — Natural gas producer CNX Gas Corp. on Thursday said its first-quarter profit rose 10 percent and beat Wall Street Expectations due to gains on production and a "robust hedging program" despite the weakened energy market and spot gas pricing.

Quarterly earnings rose to $54.9 million, or 36 cents per share, from $49.9 million, or 33 cents per share during the same period last year. The average price realized for the company's gas production fell in the first quarter to $7.37 per thousand cubic fee (Mcf), down from $8.23 per Mcf received for the prior-year quarter.

Analysts polled by Thomson Reuters expected a profit of 32 cents per share, on average.

Revenue climbed 11 percent to $178.4 million, from $160.6 million in the prior-year period. Analysts forecast an average revenue of $184.5 million.

Production for the quarter rose 38 percent to 22 billion cubic feet, from 15.9 Bcf in the year-ago quarter.

The company raised its 2009 production outlook to 87 Bcf from 85 Bcf.

Shares of CNX Gas jumped $1.42, or 6 percent, to $24.61 in Thursday afternoon trading.