Q: hi folks, opinion on Q1 results for Headwater Energy hwx/t....thx for your great Service, jb
5i Research Answer:
EPS was 16c, missing estimates of 19c; revenue of $127M missed estimates of $128M. EBITDA of $93.4M beat estimates by 15.5%. EPS rose from 13c in the prior year. Revenue rose 35%. But per share cash flow slipped 8% to 23c. Production rose 15% to 19,459 b/d. Six exploration wells hit a 100% success rate. The balance sheet remains very strong. While technically a 'miss', the stock remains very cheap and is doing well, up 22% this year. The nice dividend looks secure considering the company's $146M net cash position and strong cash flow.