This is why GPOR is down so much in after hours trading.
"Gulfport currently estimates full year 2014 average daily production to be in the range of 37,000 BOEPD to 42,000 BOEPD. Capital expenditures for exploration and production activities in 2014 are estimated to be in the range of $715 million to $767 million. Additionally, Gulfport anticipates spending approximately $375 million to $425 million on leasehold acquisitions in the Utica Shale during 2014."
This is a significant drop in their production guidance.
2013 production was 11,250 BOEPD, so this is still going to be a very good year. However, the market hates stuff like this and they will punish GPOR for such a big drip. Previous guidance for 2014 was 50,000 to 60,000 BOEPD. My forecast was based on the low end of that guidance.
BTW first quarter result were not that bad, very close to the production forecast I was using.
Gulfport
Re: Gulfport
They know they are going to get hammered on tomorrow's CC, but I think this approach is wise. I would much rather see them slow down and do a better job, than just running a 100 miles per hour to get well's on-line. Even with the lowered guidance they are on-track to end the year at 50,000 to 60,000 boepd. BTW this does not include anything for Grizzly. - Dan
Michael G. Moore, the Company's Chief Executive Officer and President, commented, "One of my top priorities since taking over my position as Chief Executive Officer was to challenge the management team to prudently consider the balance between near-term growth and long-term value. Ultimately, the team concluded a more measured, methodical approach to the development program in the Utica was needed. As a result, we currently anticipate year-over-year production volume growth of 228% to 272%, for 2014 as compared to 2013, which continues to be an industry leading metric when compared to our peers. By shifting our focus to a more managed, methodical strategy, our team firmly believes we will maximize the life and recovery of our wells, create a more efficient development plan and ultimately provide consistent long-term results that maximize stockholder value."
Michael G. Moore, the Company's Chief Executive Officer and President, commented, "One of my top priorities since taking over my position as Chief Executive Officer was to challenge the management team to prudently consider the balance between near-term growth and long-term value. Ultimately, the team concluded a more measured, methodical approach to the development program in the Utica was needed. As a result, we currently anticipate year-over-year production volume growth of 228% to 272%, for 2014 as compared to 2013, which continues to be an industry leading metric when compared to our peers. By shifting our focus to a more managed, methodical strategy, our team firmly believes we will maximize the life and recovery of our wells, create a more efficient development plan and ultimately provide consistent long-term results that maximize stockholder value."
Dan Steffens
Energy Prospectus Group
Energy Prospectus Group
Re: Gulfport
Gulfport Energy (GPOR): An updated Net Income & Cash Flow Forecast model has been posted under the Sweet 16 Tab.
I have lowered my Fair Value Estimate by $7.00/share to $77.00.
This one will take awhile to settle down, but it still has a lot of upside. Basically, all they've done is push back production growth about six months.
I will listen carefully to their CC tomorrow morning and make some adjustments to the forecast model.
Gulfport Energy Corporation (GPOR) ("Gulfport") will hold a conference call on Thursday, May 8, 2014 at 8:00 a.m. CDT to discuss its first quarter 2014 financial and operational results and to provide an update on the Company's recent activities. Gulfport's first quarter 2014 earnings are scheduled to be released after the market close on Wednesday, May 7, 2014.
Interested parties may listen to the call via Gulfport's website at www.gulfportenergy.com or by calling toll-free at 877-291-1287 or 973-409-9250 for international callers. The passcode for the call is 29427027. A replay of the call will be available for two weeks at 855-859-2056 or 404-537-3406 for international callers. The replay passcode is 29427027. The webcast will be archived on the Company's website and can be accessed on the Company's "Investor Relations" page.
I have lowered my Fair Value Estimate by $7.00/share to $77.00.
This one will take awhile to settle down, but it still has a lot of upside. Basically, all they've done is push back production growth about six months.
I will listen carefully to their CC tomorrow morning and make some adjustments to the forecast model.
Gulfport Energy Corporation (GPOR) ("Gulfport") will hold a conference call on Thursday, May 8, 2014 at 8:00 a.m. CDT to discuss its first quarter 2014 financial and operational results and to provide an update on the Company's recent activities. Gulfport's first quarter 2014 earnings are scheduled to be released after the market close on Wednesday, May 7, 2014.
Interested parties may listen to the call via Gulfport's website at www.gulfportenergy.com or by calling toll-free at 877-291-1287 or 973-409-9250 for international callers. The passcode for the call is 29427027. A replay of the call will be available for two weeks at 855-859-2056 or 404-537-3406 for international callers. The replay passcode is 29427027. The webcast will be archived on the Company's website and can be accessed on the Company's "Investor Relations" page.
Dan Steffens
Energy Prospectus Group
Energy Prospectus Group
Re: Gulfport
A hedge fund, Bronte Capital, who is short GPOR sent out this parody tonight:
Dear Investor (sucker):
We will be producing far less oil…but only after spending far more of your dollars (that you kindly provided for us in that last stock offering that we consummated on the original, unrealistic, but safe-harbor-protected assumptions.
Sorry to disappoint, but thanks a billion (or two).
Sincerely
Ye Oklahoma City Boys
Dear Investor (sucker):
We will be producing far less oil…but only after spending far more of your dollars (that you kindly provided for us in that last stock offering that we consummated on the original, unrealistic, but safe-harbor-protected assumptions.
Sorry to disappoint, but thanks a billion (or two).
Sincerely
Ye Oklahoma City Boys
Re: Gulfport
damn! premarket down ~20%. V recoveries are rare, a lot of technical damage. this will take a while, maybe a year. I was tempted several times to get back in.
that letter from bronte is less than professional--they'll get theirs in time.
that letter from bronte is less than professional--they'll get theirs in time.