Apache’s 2Q16 revenue
Apache (APA) reported its 2Q16 earnings on August 4, 2016. Its 2Q16 revenue was ~$1.4 billion compared to an estimate of $1.3 billion. Revenue in 2Q15 was ~$2.0 billion. In 1Q16, it was just more than $1 billion.
Apache’s 2Q16 earnings
Apache reported adjusted EPS (earnings per share) of $0.05. Wall Street analysts’ consensus estimate was -$0.14.
As you can see in the above graph, Apache’s earnings and revenue came in better than analysts’ expectations.
Key management comments
John Christmann, APA’s chief executive officer, remarked in the 2Q16 earnings conference call, “Apache’s solid second-quarter results are a testament to both the significant progress we have made on our cost structure as well as the strength of our portfolio.”
He added, “During the quarter, we continued our efforts to reduce costs and improve capital efficiency. Our LOE costs on a Boe basis were down 4 percent from the previous quarter and 17 percent year-over-year.”
Commenting on APA’s outlook for 2016, Christmann said, “Our conservative budgeting and rigorous allocation of capital over the last 18 months have resulted in tangible benefits to the company. We refrained from significant development drilling in a low commodity-price environment, and instead, turned our focus to capital efficiency improvements and strategic testing. As a result, we have made significant progress on our cost structure and are positioning Apache very well for the future.”