This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Ultra Petroleum Management Discusses Q2 2012 Results - Earnings Call Transcript

I'd like to point out that many of the comments during this conference call are forward-looking statements that involve risks and uncertainties affecting outcomes, many of which are beyond our control and are discussed in more detail in the risk factors and forward-looking statements section of our annual and quarterly filings with the SEC. Although we believe these expectations expressed are based on reasonable assumptions, they are not guarantees of future performance, and the actual results or developments may differ materially.

Also, this call may contain certain non-GAAP financial measures. Reconciliation and calculation schedules can be found on our website also.

Let me start my comments this morning by picking up where I left off last quarter. I shared a view where I thought that natural gas prices have bottomed, that production was flattening, that natural gas rigs would continue to decline and a correction in pricing was imminent. We were limiting our investments with reductions in capital while preserving our valuable long-life assets. We also anticipate a noncash accounting directed ceiling test write-down caused by unsustainably low natural gas prices. This write-down muddies our financial statement presentation going forward, but has no lasting impact on the health of our business. Today, that view expressed 3 months ago appears fairly accurate.

Now let me summarize our financial performance for the quarter. We produced 65.1 Bcfe, just above our quarterly guidance range with strong well performance and better runtimes offsetting planned reduced completions in Wyoming and a slower partner activity pace in Pennsylvania. Our hedged natural gas price for the quarter was $4.04 per Mcf. On an unhedged basis, our realized price was $2.23 per Mcf, down 49% year-over-year. We've hedged 103 Bcfe, representing over 80% of our remaining 2012 production at a weighted-average price of $4.31 per MMBtu. We generated $190.6 million in cash flow or $1.25 per diluted share and $55.1 million or $0.36 per diluted share and adjusted net income during the second quarter.

2 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
SYM TRADE IT LAST %CHG

Markets

DOW 18,010.68 -115.44 -0.64%
S&P 500 2,107.39 -13.40 -0.63%
NASDAQ 5,070.0260 -27.95 -0.55%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs