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
TheStreet Open House

Swift Energy Announces Fourth Quarter And Full-Year 2013 Results

Central Louisiana

As previously announced, the Company is conducting a sales process for its Central Louisiana assets. These assets include approximately 86,000 mineral acres and three producing oil and natural gas fields: Burr Ferry, Masters Creek and South Bearhead Creek located in the Austin Chalk and Wilcox fairways.

Swift Energy is currently in negotiations regarding the disposition of these assets.

Strategic Growth

In La Plata County, Colorado, Swift Energy drilled a strategic pilot hole in the Waters 34-12-32 #1H through multiple zones of interest and a lateral in a selected zone of interest. Throughout the wellbore, we collected significant log and core data that is designed to provide important evaluation of our acreage position. Further activity on this well is suspended until all of the information, tests, samples and logs that were gathered are fully evaluated and analyzed.

Price Risk Management

Swift Energy has entered into hedging transactions covering 17.1 Bcf of expected 2014 natural gas production and approximately 0.6 MMbbls of expected 2014 crude oil production. On an ongoing basis, details of Swift Energy’s complete price risk management activities can be found on the Company’s website ( www.swiftenergy.com).

2014 Company Guidance

Swift Energy currently plans to balance its 2014 capital expenditures with its operating cash flow, available bank line and proceeds from announced asset sales and joint venture activity. Current 2014 spending plans are budgeted at $300 million to $350 million in total capital expenditures. This capital budget is flexible and will be adjusted based on the timing of announced transactions and marketplace fundamentals. For 2014, Swift Energy is targeting production levels of 11.3 – 11.8 MMBoe.

Earnings Conference Call

Swift Energy will conduct a live conference call today, February 27, at 10:00 a.m. EST to discuss fourth quarter 2013 financial results and first quarter 2014 operational and financial expectations. To participate in this conference call, dial 973-339-3086 five to ten minutes before the scheduled start time and indicate your intention to participate in the Swift Energy conference call. A digital replay of the call will also be available two hours after the call’s completion on February 27 until March 6, by dialing 855-859-2056 and using Conference ID # 41567432. Additionally, the conference call will be available over the Internet by accessing the Company’s website at www.swiftenergy.com and by clicking on the event hyperlink. This webcast will be available online and archived at the Company’s website.

About Forward Looking Statements

This press release includes “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. The opinions, forecasts, projections, guidance or other statements contained herein, other than statements of historical fact, are forward-looking statements, including targets for 2014 production and reserves growth, per well costs and per BOE costs, and estimates of 2014 capital expenditures and guidance estimates for the first quarter of 2014 and full-year 2014. These statements are based upon assumptions that are subject to change and to risks, especially the uncertainty and costs of finding, replacing, developing and acquiring reserves, availability and cost of capital, labor, services, supplies and facility capacity, hurricanes or tropical storms disrupting operations, and, volatility in oil or gas prices, uncertainty and costs of finding, replacing, developing or acquiring reserves, and disruption of operations. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to have been correct. Certain risks and uncertainties inherent in the Company’s business are set forth in the filings of the Company with the Securities and Exchange Commission. Estimates of future financial or operating performance provided by the Company are based on existing market conditions and engineering and geologic information available at this time. Actual financial and operating performance may be higher or lower. Future performance is dependent upon oil and gas prices, exploratory and development drilling results, engineering and geologic information and changes in market conditions.

 

SWIFT ENERGY COMPANY

RECONCILIATION OF PV-10 VALUE TO STANDARDIZED

MEASURE OF DISCOUNTED FUTURE NET CASH FLOWS

December 31, 2013

(Unaudited)

(In Millions)

 
 

As of December 31, 2013

PV-10 Value (1) $ 2,425
Future Income Taxes (discounted at 10% per year) (423)
Standardized Measure of Discounted Future Net

Cash Flows relating to oil and gas reserves

$ 2,002

(1)   The PV-10 value for year-end 2013 is net of $87.0 million of asset retirement obligation liabilities.
 

SWIFT ENERGY COMPANY

PROVED RESERVES INFORMATION

December 31, 2013

(Unaudited)

 

 

  Boe  

Natural Gas (Bcf)

 

Oil (MMBbls)

 

NGL (MMBbls)

Proved Reserves as of Dec. 31, 2012 192.1   597.6   43.3   49.2
Revisions (36.6) (137.0) 6.2 (20.0)
Purchases of minerals -- -- -- --
Sales of minerals (0.8) (1.8) (0.2) (0.2)
Extensions/Discoveries 76.3 389.4 7.7 3.7
Production (11.7)   (33.0)   (3.9)   (2.3)
Proved Reserves as of Dec. 31, 2013 219.2   815.1   52.9   30.4
 

SWIFT ENERGY COMPANY

SUMMARY FINANCIAL INFORMATION

(Unaudited)

(In Thousands Except Per Share and Price Amounts)

 
 

Three Months Ended December 31,

 

Twelve Months Ended December 31,

2013     2012    

Percent Change

2013     2012  

Percent Change

Revenues:
Oil & Gas Sales $ 146,123 $ 158,126 (8 )% $ 588,541 $ 554,194 6 %
Other (114 )     (221 )   (828 )     3,096
Total Revenue $ 146,009 $ 157,905 (8 )% $ 587,713 $ 557,290 5 %
Net Income $ (41,849 ) $ 11,219 NM $ (19,032 ) $ 20,939 NM
Basic EPS $ (0.96 ) $ 0.26 NM $ (0.44 ) $ 0.49 NM
Diluted EPS $ (0.96 ) $ 0.26 NM $ (0.44 ) $ 0.48 NM
Net Cash Provided By Operating Activities $ 85,840 $ 90,922 (6 )% $ 311,447 $ 314,606 (1 )%
Cash Flow Before Working Capital Changes (1) (non-GAAP measure) $ 77,774 $ 91,447 (15 )% $ 311,669 $ 304,488 2 %
Weighted Average Shares Outstanding (Basic) 43,399 42,924 (1 )% 43,331 42,840 (1 )%
Weighted Average Shares Outstanding (Diluted) 43,399 43,375 --- % 43,331 43,174 --- %
EBITDA (non-GAAP measure) $ 95,178 $ 103,990 (8 )% $ 375,712 $ 346,180 9 %
Production (MMBoe) 3.09 3.11 (1 )% 11.75 11.70 --- %
Realized Price ($/Boe) $ 47.26 $ 50.87 (7 )% $ 50.11 $ 47.37 6 %
 
(1) See reconciliation on page 9. Management believes that the non-GAAP measures EBITDA and cash flow before working capital changes are useful information to investors because they are widely used by professional research analysts in the valuation, comparison, rating and investment recommendations of companies within the oil and gas exploration and production industry. Many investors use the published research of these analysts in making their investment decisions.
 

SWIFT ENERGY COMPANY

RECONCILIATION OF GAAP (a) TO NON-GAAP MEASURES

(Unaudited)

(In Thousands)

 
  Three Months Ended  

December 31, 2013

 

December 31, 2012

Percent Change

CASH FLOW RECONCILIATIONS:
Net Cash Provided by Operating Activities $85,840 $90,922 (6)%
Increases and Decreases In:
Accounts Receivable 2,083 11,150
Accounts Payable and Accrued Liabilities (1,709) (949)
Income Taxes Payable 16 (330)
Accrued Interest (8,456) (9,346)
Cash Flow Before Working Capital Changes $77,774 $91,447 (15)%
 
INCOME TO EBITDA RECONCILIATIONS:
Net Income

$(41,849)

$11,219 (473)%
Provision for Income Taxes (21,935) 8,818
Interest Expense, Net 18,085 16,757
Depreciation, Depletion & Amortization & ARO (b) 66,966 67,196
Write-Down of Oil and Gas Properties 73,911 ---
EBITDA $95,178 $103,990 (8)%
 
Twelve Months Ended

December 31, 2013

December 31, 2012

Percent Change

CASH FLOW RECONCILIATIONS:
Net Cash Provided by Operating Activities $311,447 $314,606 (1)%
Increases and Decreases In:
Accounts Receivable 5,779 (3,235)
Accounts Payable and Accrued Liabilities (5,582) 2,102
Income Taxes Payable 224 (82)
Accrued Interest (199) (8,903)
Cash Flow Before Working Capital Changes $311,669 $304,488 2%

 

INCOME TO EBITDA RECONCILIATIONS:
Net Income

$(19,032)

$20,939 (191)%
Provision for Income Taxes (6,773) 15,639
Interest Expense, Net 69,382 57,303
Depreciation, Depletion & Amortization & ARO (b) 258,224 252,299
Write-Down of Oil and Gas Properties 73,911 ---
EBITDA $375,712 $346,180 9%

(a)

 

GAAP—Generally Accepted Accounting Principles

(b)

Includes accretion of asset retirement obligation

 

Quarter Ended Dec. 31, 2013

 

Year Ended Dec. 31, 2013

INCOME FROM CONTINUING OPERATIONS RECONCILIATION:
Net Income (Loss) $ (41,849 ) $ (19,032 )
Write-Down of Oil and Gas Properties 73,911 73,911
Income Tax Benefit From Write-Down (1)   (26,238 )   (26,238 )
Net Income Before Write-Down of Oil and Gas Properties $ 5,824   $ 28,641  

(1)

 

Income tax benefit from write-down was derived using the fourth quarter 2013 marginal tax-rate.

 

Note: Items may not total due to rounding

 

SWIFT ENERGY COMPANY

SUMMARY BALANCE SHEET INFORMATION

(Unaudited)

(In Thousands)

 
 

As of December 31, 2013

 

As of December 31, 2012

Assets:
Current Assets:
Cash and Cash Equivalents $3,277 $170
Other Current Assets 83,471 80,367
Total Current Assets 86,748 80,537
 
Oil and Gas Properties 5,671,731 5,151,103
Other Fixed Assets 42,368 41,690
Less-Accumulated DD&A (3,174,453) (2,847,773)
Total Properties 2,539,646 2,345,020
 
Other Assets 17,199 18,504
$2,643,593 $2,444,061
Liabilities:
Current Liabilities $177,076 $177,480
Long-Term Debt 1,142,368 916,934
Deferred Income Taxes 217,384 223,243
Asset Retirement Obligation 63,225 79,643
Other Long-term Liabilities 10,324 9,901
Stockholders’ Equity 1,033,216 1,036,860
$2,643,593 $2,444,061
 

Note: Items may not total due to rounding

 

SWIFT ENERGY COMPANY

SUMMARY INCOME STATEMENT INFORMATION

(Unaudited)

In Thousands Except Per Boe Amounts

 
  Three Months Ended   Twelve Months Ended
December 31, 2013   Per Boe December 31, 2013   Per Boe
Revenues:
Oil & Gas Sales $146,123 $47.26 $588,541 $50.11
Other Revenue (114)   (828)  
146,009 47.23 587,713 50.04
Costs and Expenses:
General and Administrative, net 10,740 3.47 45,802 3.90
Depreciation, Depletion & Amortization 65,517 21.19 252,043 21.46
Accretion of Asset Retirement Obligation (ARO) 1,449 0.47 6,181 0.53
Lease Operating Costs 24,152 7.81 101,611 8.66
Transportation and Processing Expense 5,658 1.83 22,336 1.90
Severance & Other Taxes 10,281 3.33 42,252 3.60
Interest Expense, Net 18,085 5.85 69,382 5.91
Write-down of oil and gas properties 73,911 23.91 73,911 6.29
Total Costs & Expenses 209,793 67.86 613,518 52.23
Income (Loss) Before Income Taxes (63,784) (20.63) (25,805) (2.20)
Provision (Benefit) for Income Taxes (21,935) (7.09) (6,773) (0.58)
Net Income $(41,849) $(13.54) $(19,032) $(1.62)
 
 
Additional Information:
Total Capital Expenditures $106,999 $521,306
Capitalized General & Administrative $7,931 $31,812
Capitalized Interest Expense $1,633 $7,223
Deferred Income Tax $(21,928) $(6,766)
 

Note: Items may not total due to rounding

 

SWIFT ENERGY COMPANY

CONSOLIDATED STATEMENTS OF CASH FLOW

(Unaudited)

(In Thousands)

 
  Twelve Months Ended
December 31, 2013   December 31, 2012
Cash Flows From Operating Activities:
Net Income $(19,032) $20,939
Adjustments to Reconcile Net Income to Net Cash Provided by Operating Activities -
Depreciation, Depletion, and Amortization 252,043 247,178
Write-down of oil and gas properties 73,911 ---
Accretion of Asset Retirement Obligation (ARO) 6,181 5,121
Deferred Income Taxes (6,766) 16,798
Stock Based Compensation Expense 10,478 13,476
Other (5,146) 976
Change in Assets and Liabilities -
(Increase)/Decrease in Accounts Receivable (5,779) 3,235
Increase/(Decrease) in Accounts Payable and Accrued Liabilities 5,582 (2,102)
Increase/(Decrease) in Income Taxes Payable (224) 82
Increase in Accrued Interest 199 8,903
Net Cash Provided by Operating Activities 311,447 314,606
 
Cash Flows From Investing Activities:
Additions to Property and Equipment (540,368) (757,755)
Proceeds from the Sale of Property and Equipment 6,991 528
Net Cash Used in Investing Activities (533,377) (757,227)
 
Cash Flows From Financing Activities:
Net Proceeds From Long-Term Debt --- 157,500
Net Proceeds From Bank Borrowings 225,600 39,400
Net Proceeds From Issuance of Common Stock 950 1,712
Purchase of Treasury Shares (1,513) (2,805)
Payments of Debt Issuance Costs --- (4,712)
Net Cash Provided by Financing Activities 225,037 191,095
Net Decrease in Cash and Cash Equivalents 3,107 (251,526)
 
Cash and Cash Equivalents at the Beginning of the Period 170 251,696
Cash and Cash Equivalents at the End of the Period $3,277 $170
 

SWIFT ENERGY COMPANY

OPERATIONAL INFORMATION

QUARTERLY COMPARISON -- SEQUENTIAL & YEAR-OVER-YEAR

(Unaudited)

 
  Three Months Ended   Three Months Ended

December 31, 2013

 

September 30, 2013

 

Percent Change

December 31, 2012

 

Percent Change

Production :
Oil & Natural Gas Equivalent (MBoe) 3,092 3,057 1% 3,108 (1)%
Natural Gas (Bcf) 8.73 8.72 ---% 8.69 ---%
Crude Oil (MBbl) 1,023 1,004 2% 1,115 (8)%
NGL (MBbl) 615 600 2% 545 13%
 
Average Prices:
Combined Oil & Natural Gas ($/Boe) $47.26 $50.72 (7)% $50.87 (7)%
Natural Gas ($/Mcf) $3.32 $3.15 5% $3.04 9%
Crude Oil ($/Bbl) $94.14 $108.17 (13)% $102.73 (8)%
NGL ($/Bbl) $33.93 $31.67 7% $31.42 8%
 

SWIFT ENERGY COMPANY

FIRST QUARTER AND FULL YEAR 2014

GUIDANCE ESTIMATES

 
 

Actual For Fourth Quarter 2013

 

Guidance For First Quarter 2014

 

Guidance For Full Year 2014

Production Volumes (MMBoe) 3.09 2.75 - 2.80 11.3 - 11.8
 
Production Mix:
Natural Gas (Bcf) 8.73 8.25 - 8.40 38.3 - 40.0
Crude Oil (MMBbl) 1.02 0.90 - 0.92 3.35 - 3.49
Natural Gas Liquids (MMBbl) 0.61 0.47 - 0.49 1.57 - 1.63
Product Pricing (Note 1):
Natural Gas (per Mcf)
NYMEX Differential (Note 2) ($0.28) ($0.30) - ($0.55) ($0.25) - ($0.50)
Crude Oil (per Bbl)
NYMEX differential (Note 3) $(3.47) ($3.00) - 2.00 ($2.00) - $2.00
NGL (per Bbl)
Percent of NYMEX Crude 35% 25% - 35% 30% - 35%
Oil & Gas Production Costs:
Lease Operating Costs (per Boe) $7.81 $8.90 - $9.05 $8.75 - $9.10
Transportation and Processing (per Boe) $1.83 $1.80 - $1.85 $1.85 - $1.95
Severance & Ad Valorem Taxes (as % of Revenue dollars) 7.0% 7.0% - 8.0% 7.0% - 8.0%
Other Costs:
G&A per Boe $3.47 $3.90 - $4.05 $3.75 - $3.90
Interest Expense per Boe $5.85 $6.50 - $6.65 $6.30 - $6.65
DD&A per Boe $21.19 $21.15 - $21.25 $21.25 - $21.40
Supplemental Information:
Capital Expenditures (in Thousands)
Operations $97,435 $106,600 - $110,200 $267,000 - $312,000
Capitalized G&A (Note 4) $7,931 $7,000 - $8,000 $28,000 - $32,000
Capitalized Interest $1,633 $1,400 - $1,800 $5,000 - $6,000
Total Capital Expenditures $106,999 $115,000 - $120,000 $300,000 - $350,000
 
Basic Weighted Average Shares 43,399 43,400 - 43,700 43,600 - 44,000
 
Diluted Weighted Average Shares 43,399 43,900 - 44,200

44,200

-

44,600

 
Effective Tax Rate 34.4% 60.0% - 65.0% 50.0% - 60.0%
Deferred Tax Percentage 100% 98% 98%
 
Note 1:  

Swift Energy maintains all its current price risk management instruments (hedge positions) on its Hedge Activity page on the Swift Energy website ( www.swiftenergy.com).

Note 2: Average of monthly closing Henry Hub NYMEX futures price for the respective contract months, included in the period, which best benchmarks the 30-day price received for natural gas sales.
Note 3: Average of daily WTI NYMEX futures price during the calendar period reflected, which best benchmarks the daily price received for the majority of crude oil sales.
Note 4: Does not include capitalized acquisition costs, incorporated in acquisitions when occurred.




6 of 7

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

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
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

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

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, 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
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

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

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 16,987.51 -61.49 -0.36%
S&P 500 1,985.54 -11.91 -0.60%
NASDAQ 4,567.5980 -24.2080 -0.53%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs