HighPeak Energy Full Year 2023 Earnings: Misses Expectations

HighPeak Energy (NASDAQ:HPK) Full Year 2023 Results

Key Financial Results

• Revenue: US$1.11b (up 47% from FY 2022).

• Net income: US$194.0m (down 9.3% from FY 2022).

• Profit margin: 18% (down from 28% in FY 2022). The decrease in margin was driven by higher expenses.

• EPS: US$1.64 (down from US$2.04 in FY 2022).

HPK Production and Reserves

Oil reserves

• Proven reserves: 119.554 MMbbls.

Gas reserves

• Proven reserves: 87.071 Bcf.

LNG reserves

• Proven reserves: 20.096 MMbbls.

Combined production

• Oil equivalent production: 16.635 MMboe (8.937 MMboe in FY 2022).

revenue-and-expenses-breakdown

All figures shown in the chart above are for the trailing 12 month (TTM) period

HighPeak Energy Revenues and Earnings Miss Expectations

Revenue missed analyst estimates by 1.6%. Earnings per share (EPS) also missed analyst estimates by 2.2%.

In the last 12 months, the only revenue segment was Oil and Natural Gas Development, Exploration and Production contributing US$1.11b. The largest operating expense was Depreciation & Amortisation (D&A) costs, amounting to US$424.4m (59% of total expenses). Explore how HPK's revenue and expenses shape its earnings.

Looking ahead, revenue is expected to decline by 2.0% p.a. on average during the next 3 years, while revenues in the Oil and Gas industry in the US are expected to grow by 1.8%.

Performance of the American Oil and Gas industry.

The company's shares are down 13% from a week ago.

Risk Analysis

You should always think about risks. Case in point, we've spotted 4 warning signs for HighPeak Energy you should be aware of, and 2 of them are potentially serious.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.