Chesapeake reports 4Q loss
OKLAHOMA CITY — Chesapeake Energy Corp. (CHK) on Wednesday reported a fourth-quarter loss of $2.19 billion, after reporting a profit in the same period a year earlier.
On a per-share basis, the Oklahoma City-based company said it had a loss of $3.36. Losses, adjusted for one-time gains and costs, were 16 cents per share.
The results surpassed Wall Street expectations. The average estimate of 10 analysts surveyed by Zacks Investment Research was for a loss of 18 cents per share.
The natural gas company posted revenue of $1.27 billion in the period, also surpassing Street forecasts. Three analysts surveyed by Zacks expected $778 million.
For the year, the company reported a loss of $14.69 billion, or $22.43 per share, swinging to a loss in the period. Revenue was reported as $5.39 billion.
The company's shares closed at $2.19. A year ago, they were trading at $19.71.
According to a Gayly report earlier this month, Chesapeake has struggled as natural gas prices have declined. The Oklahoma City company has slashed spending, sold assets and cut jobs to save money. Last month, it also ended dividend payments for its preferred stock, a move that saves the company $170 million per year.
At the time of that report, the company was trying to assure investors that it was not planning to file for bankruptcy protection after a news report that said it hired a law firm Kirkland & Elli spooked investors and sent its stock plummeting.
The Associated Press contributed to this story.
The Gayly- 2/24/2016 @ 9:54 AM CST