Range Resources (RRC) Tops Q3 EPS by 8c
Range Resources (NYSE: RRC) reported Q3 EPS of $0.26, $0.08 better than the analyst estimate of $0.18. Revenue for the quarter came in at $811 million versus the consensus estimate of $692.92 million.
Production per day Guidance
Production for the fourth quarter of 2018 is expected to be approximately 2,255 to 2,265 Mmcfe per day. This excludes all Appalachia volumes associated with the 1% overriding royalty sale.
Production expectations for the full year 2018 remain approximately 11% year-over-year growth.
4Q 2018 Expense Guidance
| Direct operating expense: | $0.15 − $0.17 per mcfe | |||
| Transportation, gathering, processing and compression expense: | $1.52 − $1.56 per mcfe | |||
| Production tax expense: | $0.05 − $0.06 per mcfe | |||
| Exploration expense: | $7.0 − $10.0 million | |||
| Unproved property impairment expense: | $8.0 − $10.0 million | |||
| G&A expense: | $0.18 − $0.20 per mcfe | |||
| Interest expense: | $0.24 − $0.26 per mcfe | |||
| DD&A expense: | $0.78 − $0.82 per mcfe | |||
| Net brokered gas marketing expense: | ~$3.0 million |
| 4Q 2018 Natural Gas Price Differentials (including basis hedging): | NYMEX minus $0.12 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4Q 2018 NGL Differentials: | 39% − 40% of WTI | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Based on current market indications, Range expects to average the following pre-hedge differentials for calendar 2018 production.
| New FY 2018 Guidance | Prior FY 2018 Guidance | |||||
| Natural Gas: | NYMEX minus $0.08 | NYMEX minus $0.10 | ||||
| Natural Gas Liquids (including ethane): | 37% − 38% of WTI | 35% − 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.