Goodrich posts $15.7 million net loss for Q2, flat production y-o-y

Goodrich Petroleum Corp. has a net loss of $15.7 million in second-quarter 2020 versus net income of $11.8 million in the prior year period. Net loss for the quarter, as adjusted for the company's mark-to-market loss on unsettled derivatives of $9.0 million and $6.8 million of impairment expense, was an adjusted income of $0.1 million.

Operating loss adjusted for cash settled derivatives was $4.9 million for the quarter, which included $7.3 million received for cash settled derivatives. Operating loss, defined as revenues minus operating expenses, totaled $12.3 million in the quarter prior to cash settled derivatives. Operating income adjusted for cash settled derivatives was $6.3 million in the prior year period, which included $2.0 million received for cash settled derivatives. Operating income totaled $4.4 million in the prior year period prior to cash settled derivatives.

General and administrative expense was $4.5 million in the quarter, versus $4.9 million in the prior year period. 

Capital expenditures totaled $10.2 million in the quarter, of which a majority was spent on drilling and completion costs, versus $25.0 million in the prior year period, of which $24.5 million was spent on drilling and completion costs and $0.5 million on other expenditures. 

The company conducted drilling operations on 6 gross (2.2 net) wells in the quarter and added 1 gross (0.8 net) wells to production. The company had 13 gross (4.7 net) wells in the drilling or completion process at the end of the quarter, which the company plans to complete in the future.

Production totaled 12.6 bcfe in the quarter, flat versus the 12.6 bcfe in the prior year period. 

Goodrich exited the quarter with $1.6 million of cash, $95.4 million outstanding under its credit facility, and total principal debt outstanding, including the credit facility and second lien notes, of $109.3 million.