Andarako Petroleum reported a $2.2 billion third quarter loss on Tuesday as low oil prices dragged on revenues.
The company booked a net loss attributable to common stockholders of $2.23 billion, or $4.41 per diluted share, a huge drop from the $1.08 billion in net income reported during the same quarter last year.
Those results include certain items typically excluded in published estimates that, in aggregate, decreased net income by $1.87 billion or $3.69 per diluted share on an after-tax basis, the company said.
Revenues dipped to $1.68 billion in the third quarter, down significantly from $5 billion booked in the same quarter last year.
The Texas-based company saw total costs and expenses jump to $4.23 billion, up from $3.31 billion during the third quarter of 2014, on $758 million of impairments.
Anadarko reported a third quarter operating loss of $2.54 billion compared to $1.69 billion in operating income in the year ago quarter.
Net cash flow from operating activities in the third quarter of 2015 was $1.12 billion, and discretionary cash flow from operations totaled $979 million.
The company’s third quarter production averaged about 787,000 barrels of oil equivalent per day and exceeded the midpoint of guidance by 6,000 barrels per day of higher-margin U.S. oil sales volumes.
Anadarko updated its full-year 2015 sales-volume guidance to a range of 290 million to 292 million BOE, excluding 2015 sales volumes associated with the divestitures of EOR, Bossier and Powder River Basin coalbed methane.
The company also pushed up its started date for the Heidelberg project in the Gulf of Mexico and now expects first oil from the project’s first three subsea wells in the second quarter of 2016.
Two additional wells are expected to come on line at a later date.
“During the third quarter, we continued our focus on maintaining long-term flexibility, while enhancing short-cycle returns by delivering higher-margin sales volumes for lower costs….These efforts and achievements have us well positioned to create differentiating value today and to accelerate activity when the market begins to reward growth again,”Anadarko chairman, president and CEO Al Walker said.