Range Resources (RRC) Tops Q2 EPS by 9c
Range Resources (NYSE: RRC) reported Q2 EPS of $0.20, $0.09 better than the analyst estimate of $0.11. Revenue for the quarter came in at $656 million versus the consensus estimate of $644.95 million.
Production per day Guidance
Production for the third quarter of 2018 is expected to be approximately 2,220 Mmcfe per day. This excludes all Midcontinent volumes following the sale of that asset in early July.
Production expectations for the full year 2018 remain approximately 11% year-over-year growth.
3Q 2018 Expense Guidance
| Direct operating expense: | $0.17 − $0.19 per mcfe | |
| Transportation, gathering, processing and compression expense: | $1.38 − $1.42 per mcfe | |
| Production tax expense: | $0.05 − $0.07 per mcfe | |
| Exploration expense: | $7.0 − $10.0 million | |
| Unproved property impairment expense: | $8.0 − $10.0 million | |
| G&A expense: | $0.20 − $0.22 per mcfe | |
| Interest expense: | $0.26 − $0.28 per mcfe | |
| DD&A expense: | $0.80 − $0.84 per mcfe | |
| Net brokered gas marketing expense: | ~$3.0 million |
3Q 2018 Natural Gas Price Differentials (including basis hedging): NYMEX minus $0.20
Based on current market indications, Range expects to average the following pre-hedge differentials for calendar 2018 production.
| New Guidance | Prior Guidance | ||
| Natural Gas: | NYMEX minus $0.10 | NYMEX minus $0.15 | |
| Natural Gas Liquids (including ethane): | 35% − 36% of WTI | 32% − 36% of WTI | |
| Oil/Condensate: | WTI minus $5.00 to $6.00 | WTI minus $5.00 to $6.00 |
For earnings history and earnings-related data on Range Resources (RRC) click here.