Arena Resources 3Q Profit Falls On Lower Prices

TULSA, Okla. (AP) — Arena Resources Inc., an oil and natural gas exploration company, said Thursday its third-quarter profit declined sharply as commodity prices plummeted.

But the earnings still beat Wall Street estimates and its shares rose in midday trading.

Quarterly earnings fell 55 percent to $12.1 million, or 31 cents per share, from $26.9 million, or 69 cents per share, in the prior-year period.

Analysts surveyed by Thomson Reuters forecast profit of 27 cents per share.

Sales dropped 47 percent to $36.1 million from $68.4 million a year earlier. Analysts projected revenue of $34 million.

Arena said revenue fell due to significant decreases in commodity prices and a slight decrease in oil production. That was partially offset by higher natural gas volumes.

Shares rose $1.66, or 4.1 percent, to $42.22 in afternoon trading. The stock has ranged from $17.63 to $44.25 over the past year.