Cimarex Energy Co. (XEC) filed Quarterly Report for the period ended 2010-06-30.
Cimarex Energy Co. has a market cap of $5.89 billion; its shares were traded at around $70.16 with a P/E ratio of 16.3 and P/S ratio of 5.8. The dividend yield of Cimarex Energy Co. stocks is 0.4%.XEC is in the portfolios of Third Avenue Management, Robert Rodriguez of FPA Capital, Martin Whitman of Third Avenue Value Fund, Diamond Hill Capital of Diamond Hill Capital Management Inc, First Pacific Advisors of First Pacific Advisors, LLC, Chuck Royce of Royce& Associates, Kenneth Fisher of Fisher Asset Management, LLC, David Dreman of Dreman Value Management, Jeremy Grantham of GMO LLC, Steven Cohen of SAC Capital Advisors.
This is the annual revenues and earnings per share of XEC over the last 10 years. For detailed 10-year financial data and charts, go to 10-Year Financials of XEC.
Highlight of Business Operations:
Our exploration and development capital investment is projected to be in the range of $900 million to $1 billion in 2010, depending on commodity prices and corresponding operating cash flow. Due to lower commodity prices in 2009 we sharply reduced our capital investments. In 2009, our investments in exploration, development and acquisition activities totaled $528 million. At June 30, 2009 we had seven operated rigs running. At June 30, 2010 we had 19 operated rigs running. Our 2010 drilling is primarily directed towards our western Oklahoma, Cana-Woodford shale, southeast New Mexico Permian Basin horizontal oil and southeast Texas Gulf Coast Yegua programs.
· Cash flow from operating activities was $273.2 million, up from $111.8 million a year earlier.
· Net income of $124.6 million ($1.46 per diluted share) increased from net income of $38.8 million ($0.46 per diluted share) in 2009.
· Debt totaled $367.9 million at June 30, 2010, down from $392.8 million at year-end 2009.
On an energy equivalent basis, 65% of our aggregate 2010 production was natural gas. A $0.10 per Mcf change in our average realized gas sales price would have resulted in approximately a $6.9 million change in our gas revenues. Similarly, 35% of our production was crude oil and NGLs. A $1.00 per barrel change in our average realized sales price would have resulted in approximately a $6.3 million change in our combined oil and NGL revenues.
Net income for the second quarter of 2010 was $124.6 million, or $1.46 per diluted share. This compares to $38.8 million, or $0.46 per diluted share, for the same period in 2009. The increase in net income is mainly due to the improvement of realized commodity prices and increased production in the second quarter of 2010 compared to 2009. For the six months ended June 30, 2010 net income was $329.0 million, or $3.84 per diluted share. In 2009 we recognized a net loss of $455.3 million, or $5.58 per share, for the first six months of the year. The increase in net income is primarily driven by the improvement of realized commodity prices and increased production in the first six months of 2010 compared to 2009. In addition, in the first quarter of 2009 we recorded a non-cash full cost ceiling write-down, which was the main reason for the net loss in 2009. These changes are discussed further in the analysis that follows.