Amplify Energy Corp (AMPY) Reports Q3 2023 Loss, Announces Strategic Initiatives and ...
Amplify Energy Corp (NYSE:AMPY) reported a net loss of approximately $13.4 million for Q3 2023, compared to $9.8 million of net income in the prior quarter.
Adjusted EBITDA for the third quarter was $19.5 million, an increase from $17.6 million in the prior quarter.
The company announced strategic initiatives including a development program in the Beta field and a marketing process for its oil-producing assets in Bairoil, Wyoming.
Amplify Energy Corp (NYSE:AMPY) also released its inaugural sustainability report, detailing its environmental performance and corporate governance practices.
On November 6, 2023, Amplify Energy Corp (NYSE:AMPY) announced its operating and financial results for the third quarter of 2023. The company reported a net loss of approximately $13.4 million, compared to a net income of $9.8 million in the prior quarter. The decrease was primarily due to non-cash unrealized losses on commodity derivatives from rising commodity prices during the period.
Financial Performance
Despite the net loss, Amplify Energy Corp (NYSE:AMPY) saw an increase in its Adjusted EBITDA, which rose to $19.5 million for the third quarter, up from $17.6 million in the prior quarter. This increase was primarily attributable to higher realized commodity prices. The company's free cash flow, defined as Adjusted EBITDA less cash interest and capital spending, was $6.1 million for the third quarter of 2023.
Strategic Initiatives
Amplify Energy Corp (NYSE:AMPY) also announced several strategic initiatives aimed at enhancing shareholder value. These include a development program in the Beta field, which is expected to increase profitability and operating margins in the coming years. The company also intends to launch a marketing process for its low-decline oil-producing assets in Bairoil, Wyoming, while exploring alternative monetization structures to maximize value potential.
Sustainability Report
In addition to its financial results, Amplify Energy Corp (NYSE:AMPY) issued its inaugural sustainability report. The report provides information about the company's environmental, social, and governance (ESG) initiatives, practices, and related metrics, and is available on its website.
Looking Ahead
Amplify Energy Corp (NYSE:AMPY) remains focused on its strategic initiatives and is committed to enhancing its cash-flow generation, which it expects to materially increase in 2024 and beyond. The company's capital investments for the remainder of 2023 will focus primarily on well workovers and facility projects at Beta to improve operational efficiencies, reduce power expenses, and significantly reduce emissions.
Explore the complete 8-K earnings release (here) from Amplify Energy Corp for further details.
This article first appeared on GuruFocus.
