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Noble Energy Reported Upbeat 4Q17 Revenue and Earnings

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Noble Energy’s 4Q17 and fiscal 2017 revenue

Noble Energy (NBL) reported its 4Q17 earnings on February 20, 2018. The company reported revenue of ~$1.2 billion—slightly higher than analysts’ expectations of $1.16 billion. In 4Q16, Noble Energy reported revenue of $1.01 billion.

For fiscal 2017, Noble Energy reported revenue of $4.25 billion—compared to revenue of $3.49 billion in fiscal 2016.

The YoY (year-over-year) revenue growth was supported by higher crude oil and condensate revenues and natural gas liquids revenues. Crude oil and condensate revenues in 4Q17 and fiscal 2017 were ~26% and 26.5% higher, respectively, compared to 4Q16 and fiscal 2016.

Natural gas liquids’ revenue in 4Q17 was 78.3% and 66.6% higher, respectively, compared to 4Q16 and fiscal 2016.

The YoY rise in revenue was also likely due to higher realized energy prices. The average realized price for natural gas in 4Q17 in Noble Energy’s US onshore operations was $2.87 per Mcf (thousand cubic feet)—compared to $2.45 in 4Q16. Natural gas accounted for 45% of Noble Energy’s total production in 4Q17.

In fiscal 2017, Noble Energy’s realized price for natural gas in US onshore was $3.02 per Mcf—compared to $2.10 per Mcf in fiscal 2016.

4Q17 and fiscal 2017 earnings

Noble Energy’s adjusted EPS (earnings per share) in 4Q17 was $0.87—compared to Wall Street analysts’ consensus EPS estimate of ~$0.04. Net income adjustments included excluding the gain on the sale of its mineral interests, an unrealized mark-to-market loss on hedges, and the net impact from the Tax Cuts and Jobs Act.

In fiscal 2017, Noble Energy reported an EPS of $0.88—compared to its EPS of -$0.58 in fiscal 2016.

Peers’ earnings

In 4Q17, Noble Energy’s peers EQT (EQT) and Antero Resources (AR) reported an EPS of $0.76 and $0.23—compared to $0.25 and $0.22 in 4Q16, respectively. To learn more about these companies, read how Antero Resources Stock Reacted to 4Q17 Earnings and EQT Beat Earnings and Revenue Estimates in 4Q17.

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