EQT doubles net income in final quarter
Higher prices and the growing use of natural gas for power generation are stoking EQT Corp.'s optimism about 2014.
The sanguine assessment from executives was given Thursday as the company posted earnings in the fourth quarter that were double what it made in the same period a year ago.
The October-December quarter was helped by extreme and prolonged cold snaps this winter that increased demand for natural gas. The strong demand helped to push up prices for EQT's Appalachian gas, executives said in a call with analysts.
The trend could continue in the coming months because of increasing demand for gas from power generators to produce electricity and the need to replenish reserves that were depleted as people turned up the heat this winter.
The company has not given profit estimates for 2014. It has said it plans to spend $2.4 billion on capital projects — most of it for its production company. That should help grow production 24 percent in 2014, the company said.
EQT also said Thursday that it increased its proven reserves to the equivalent of 8.3 trillion cubic feet, up from the 6 trillion it estimated a year ago. Nearly 2 trillion of that came from the Marcellus shale.
The Downtown gas driller said Thursday it made $115 million, or 76 cents per share, from October through December. That was up from $48 million, or 32 cents a share, in the same period a year ago. Sales increased to $493.4 million from $406.2 million.
The results benefited from the $720 million sale of its distribution company to Peoples Natural Gas Co. in December. But EQT also reported a jump in profit for the production and pipeline divisions it kept. Those operations made nearly $62 million, or 41 cents a share, in the quarter. That was up from $33 million, or 22 cents a share, in the same period in 2012.
Timothy Puko is a Trib Total Media staff writer. He can be reached at 412-320-7991 or firstname.lastname@example.org.
Show commenting policy
TribLive commenting policy
You are solely responsible for your comments and by using TribLive.com you agree to our Terms of Service.
We moderate comments. Our goal is to provide substantive commentary for a general readership. By screening submissions, we provide a space where readers can share intelligent and informed commentary that enhances the quality of our news and information.
While most comments will be posted if they are on-topic and not abusive, moderating decisions are subjective. We will make them as carefully and consistently as we can. Because of the volume of reader comments, we cannot review individual moderation decisions with readers.
We value thoughtful comments representing a range of views that make their point quickly and politely. We make an effort to protect discussions from repeated comments either by the same reader or different readers.
We follow the same standards for taste as the daily newspaper. A few things we won't tolerate: personal attacks, obscenity, vulgarity, profanity (including expletives and letters followed by dashes), commercial promotion, impersonations, incoherence, proselytizing and SHOUTING. Don't include URLs to Web sites.
We do not edit comments. They are either approved or deleted. We reserve the right to edit a comment that is quoted or excerpted in an article. In this case, we may fix spelling and punctuation.
We welcome strong opinions and criticism of our work, but we don't want comments to become bogged down with discussions of our policies and we will moderate accordingly.
We appreciate it when readers and people quoted in articles or blog posts point out errors of fact or emphasis and will investigate all assertions. But these suggestions should be sent via e-mail. To avoid distracting other readers, we won't publish comments that suggest a correction. Instead, corrections will be made in a blog post or in an article.
- Iron ore price decline hurts U.S. Steel’s cost advantage over rivals
- Stock market logs 5th straight week of gains as Dow hits record high
- Pennsylvania unemployment rate drops to six-year low
- CEOs in 10 big mergers to get $430M: Equilar study
- New York Fed chief defends supervision of banks before Senate panel
- Mark Phelan: Cadillac, Mercedes hope to win at name game
- Know flat-rate repair times
- Sonata exudes class
- Ford: Aluminum-body truck to get 26 mpg
- Slow hunting, golf sales again drag down Dick’s profit
- Wilkins woman leads PNC’s multicultural marketing efforts