C-SPAN interview with
Bruce Vincent,
Swift president and
IPAA vice chair,
on energy policy changes.

 

   

Reconciliation of Non-GAAP Financial Measures

Note: Swift Energy now maintains all its price risk management instruments (Hedge positions) on a separate page (click here to see).

 

 
SWIFT ENERGY COMPANY
 FOURTH QUARTER AND FULL YEAR 2009
 GUIDANCE ESTIMATES
 
 

Actual
For Third
Quarter 2009

  

Guidance
For Fourth
Quarter 2009

  

Guidance
For Full
Year 2009
                       
Production Volumes (MMBoe)  

2.22

    

2.00

-

 2.26  

8.84

-

 9.10
                       
Production Mix:                      
    Natural Gas (Bcf)  

5.17

    

4.89

-

 5.52  

21.20

-

 21.93
    Crude Oil (MMBbl)  

1.08

    

0.94

-

 1.06  

4.13

-

 4.27
    Natural Gas Liquids (MMBbl)  

0.279

    

0.250

-

 0.282  

1.14

-

 1.18
Product Pricing (Note 1):                      
    Natural Gas (per Mcf)                      
        NYMEX Differential (Note 2)

$

(0.55)

    

($0.25)

-

 ($0.50)  

($0.50)

-

 ($1.10)
    Crude Oil (per Bbl)                      
        NYMEX differential (Note 3)

$

(0.08)

    

($1.00)

-

 ($2.50)  

($2.00)

-

 ($3.00)
    NGL (per Bbl)                      
        Percent of NYMEX Crude  

51

 %  

50%

-

 60%  

50%

-

 60%
Oil & Gas Production Costs:                      
    Lease Operating Costs (per Boe)

$

8.34

    

$8.40

-

 $9.60  

$8.30

-

 $8.75
    Severance & Ad Valorem Taxes (as %         of Revenue dollars)  

11.9

 %  

11.5%

-

 12.5%  

11.5%

-

 12.5%
Other Costs:                      
    G&A per Boe

$

3.98

    

$3.80

-

 $4.60  

$3.70

-

 $3.90
    Interest Expense per Boe

$

3.31

    

$3.00

-

 $3.60  

$3.25

-

 $3.50
    DD&A per Boe

$

18.48

    

$18.90

-

 $19.15  

$18.40

-

 $18.60
Supplemental Information:                      
Capital Expenditures (Note 4)                      
    Operations

$

28,537

   

$53,300

-

 $70,800  

$130,500

-

 $148,800
Capitalized G&G (Note 5)

$

5,887

    

$ 6,000

-

 $ 6,400  

$23,700

-

 $ 25,000
Capitalized Interest

$

1,595

    

$ 1,200

-

 $ 1,500  

$5,800

-

 $ 6,200
Total Capital Expenditures

$

36,019

    

$60,500

-

 $78,700  

$160,000

-

 $180,000
                       
Basic Weighted Average Shares  

34,723

    

37,400

-

 37,600  

33,400

-

 33,700
Diluted Computation:                      
    Weighted Average Shares  

34,833

    

37,600

-

 37,800  

33,600

-

 33,900
                       
Effective Tax Rate (Note 6)  

7.2

 %  

40.0%

-

 45.0%  

35.0%

-

 38.0%
Deferred Tax Percentage  

NM

 %  

NM

-

 NM  

NM

-

 NM

 

Note 1: Swift Energy maintains all its current price risk management instruments (hedge positions) on its Hedge Activity page on the Swift Energy website (www.swiftenergy.com).
Note 2: Average of monthly closing Henry Hub NYMEX futures price for the respective contract months, included in the period, which best benchmarks the 30-day price received for domestic natural gas sales.
Note 3: Average of daily WTI NYMEX futures price during the calendar period reflected which best benchmarks the daily price received for the majority of crude oil sales.
Note 4: There have been no material acquisitions or dispositions in 2009. We have accounted for ~$44 million in reductions to our oil & gas properties related to joint ventures entered into during 2009.
Note 5: Does not include capitalized acquisition costs, incorporated in acquisitions when occurred.
Note 6: Effective Tax rate guidance is based off of NYMEX strip pricing

 

EBITDA represents income before interest expense, income tax, and depreciation, depletion and amortization (including the write-down of oil and gas properties). We have reported EBITDA because we believe EBITDA is a measure commonly reported and widely used by investors as an indicator of a company's operating performance and ability to incur and service debt. We believe EBITDA assists such investors in comparing a company's performance on a consistent basis without regard to depreciation, depletion and amortization, which can vary significantly depending upon accounting methods or nonoperating factors such as historical cost. EBITDA is not a calculation based on GAAP and should not be considered an alternative to net income in measuring our performance or used as an exclusive measure of cash flow because it does not consider the impact of working capital growth, capital expenditures, debt principal reductions and other sources and uses of cash which are disclosed in our Consolidated Statements of Cash flows. Investors should carefully consider the specific items included in our computation of EBITDA. While EBITDA has been disclosed on this website to permit a more complete comparative analysis of our operating performance and debt servicing ability relative to other companies, investors should be cautioned that EBITDA as reported by us may not be comparable in all instances to EBITDA as reported by other companies. EBITDA amounts may not be fully available for management's discretionary use, due to certain requirements to conserve funds for capital expenditures, debt service and other commitments.

SWIFT ENERGY COMPANY
Reconciliation of GAAP(a) to non-GAAP Measures
(UNAUDITED)
In Thousands

 

 

Three Months Ended

    
 

September 30, 2009

  

September 30, 2008

    
INCOME TO EBITDA RECONCILIATIONS:              
   Income from Continuing Operations  

$7,558

 

  

$62,271

(88)

 %
   Provision for Income Taxes  

586

 

 

36,608

 

  
   Interest Expense, Net  

7,336

 

 

6,935

 

  
   Depreciation, Depletion & Amortization & ARO (b)  

41,743

    

52,728

    
    ---------------     ---------------    
EBITDA  

$57,223

    

$158,542

(64)

 %
    ========     ========    

 

 

Nine Months Ended

    
 

September 30, 2009

  

September 30, 2008

    
INCOME TO EBITDA RECONCILIATIONS:              
   Income (Loss) from Continuing Operations  

$(53,655)

 

  

$195,351

NM

  
   Provision (Benefit) for Income Taxes  

(32,451)

 

 

113,342

 

  
   Interest Expense, Net  

22,616

 

 

23,856

 

  
   Depreciation, Depletion & Amortization & ARO (b)  

127,461

   

163,423

   
   Write-Down of Oil and Gas Properties  

79,312

   

---

   
    ---------------     ---------------    
EBITDA  

$143,283

    

$495,972

(71)

 %
    ========     ========    
       
 

Three Months Ended

    
 

September 30, 2009

  

September 30, 2008

    
CASH FLOW RECONCILIATIONS:              
Net Cash Provided by Operating Activities – Continuing Operations  

$62,603

    

$204,582

(69)

 %
  Increases and Decreases In:          

 

  
   Accounts Receivable  

(348)

    

(57,165)

    
   Accounts Payable and Accrued Liabilities  

(3,287)

    

8,107

    
   Income Taxes Payable  

52

    

---

    
   Accrued Interest  

(1,412)

    

(1,556)

    
    ---------------     ---------------    
Cash Flow Before Working Capital Changes – Continuing Operations  

$57,608

    

$153,968

(63)

 %
    ========     ========    
       
 

Nine Months Ended

    
 

September 30, 2009

  

September 30, 2008

    
CASH FLOW RECONCILIATIONS:              
Net Cash Provided by Operating Activities – Continuing Operations  

$146,176

    

$499,325

(71)

 %
  Increases and Decreases In:          

 

  
   Accounts Receivable  

(2,874)

    

(25,217)

    
   Accounts Payable and Accrued Liabilities  

4,119

    

1,614

    
   Income Taxes Payable  

293

    

79

    
   Accrued Interest  

(1,387)

    

(1,196)

    
    ---------------     ---------------    
Cash Flow Before Working Capital Changes – Continuing Operations  

$146,327

    

$474,605

(69)

 %
    ========     ========    
     

 

 

Nine Months Ended
September 30, 2009

  
INCOME FROM CONTINUING OPERATIONS RECONCILIATION:      
Loss From Continuing Operations  

$(53,655)

  
   Write-Down of Oil and Gas Properties  

79,312

  
   Income Tax Benefit From Write-Down (1)  

(29,266)

  
   

---------------

  
Income From Continuing Operations Before Write-Down of Oil and Gas Properties  

$(3,609)

  
   

========

  

 

(a) GAAP—Generally Accepted Accounting Principles
(b) Includes accretion of asset retirement obligation
(1) Income tax benefit from write-down was derived using 36.9% effective tax-rate.

Note: Items may not total due to rounding

 

This press release includes “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. The opinions, forecasts, projections, guidance or other statements other than statements of historical fact, are forward-looking statements. These statements are based upon assumptions that are subject to change and to risks, especially the uncertainty and costs of finding, replacing, developing and acquiring reserves, availability of labor, services, supplies and facility capacity, hurricanes or tropical storms disrupting operations, and, volatility in oil or gas prices, uncertainty and costs of finding, replacing, developing or acquiring reserves, and disruption of operations Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to have been correct. Certain risks and uncertainties inherent in the Company’s business are set forth in the filings of the Company with the Securities and Exchange Commission. Estimates of future financial or operating performance provided by the Company are based on existing market conditions and engineering and geologic information available at this time. Actual financial and operating performance may be higher or lower. Future performance is dependent upon oil and gas prices, exploratory and development drilling results, engineering and geologic information and changes in market conditions.

 

 

Click here to see Hedging Activity.

 

 
Historical Guidance:

 

 

This page was last updated on Tuesday, November 03, 2009, at 09:11:50 AM.

Copyright © 1994-2009 by Swift Energy Company.
Click here to go to our home page or search page.
Please note the terms of use for the Swift Energy web site.
If you have comments or questions, see our feedback or requests pages.
Contact Swift Energy Company Stockholder Relations through e-mail info@swiftenergy.com or telephone (281) 874-2700.