Birchcliff Energy Ends Q3 2021 With $263.3 Million In Revenue

Birchcliff Energy Ltd. (TSX: BIR) released on Wednesday its Q3 2021 financial results, which saw the company post $263.3 million in revenue. This is an increase from Q3 2020’s revenue of $142.8 million.

On the production side, the energy firm’s average production for the quarter came in at 84,924 boe per day with an average realized sales price of $33.70 per boe. This figure compares to last year’s 78,376 boe per day average production at an average sales price of $19.80 per boe.

Operating netback came in at $23.52 per boe, up from last year’s $12.03 per boe. This further leads to adjusted funds flow netback of $21.51 per boe, also an increase from previous year’s $8.23 per boe.

Further down, net income ended at $139.4 million, up from a net loss of $16.6 million last year. This translates to $0.50 earnings per diluted share.

The firm was able to generate cash flow from operating activities during the quarter amounting to $155.6 million compared to $53.0 million last year. Adjusted funds flow came in at $168.1 million compared to $59.4 million last year while free funds flow came in at $150.1 million compared to $28.5 million last year.

The company ended the quarter with approximately $63,000 in cash, up from its starting balance of $17,000 at the start of the quarter, mainly due to the cash generated being used to repay credit facilities. This puts the balance of the current assets at $127.5 million while current liabilities came in at $143.6 million.

The gas and oil company also updated its guidance for 2021: tightening production guidance to 79,000 – 80,000 boe per day, increased adjusted funds flow guidance to $575 million from $500 million, and increased free funds flow guidance to $345 million – $350 million from $270 million – $290 million. For the first nine months of the year, the firm’s average production is at 78,454 boe per day, adjusted fund flow is at $346.1 million, and free funds flow is at $151.3 million.

“For the remainder of 2021, we will continue to focus on maintaining our low-cost structure, free funds flow generation, and strengthening our already strong balance sheet,” said Birchcliff Energy CEO Jeff Tonken.

Birchcliff Energy last traded at $7.10 on the TSX.


Information for this briefing was found via Sedar and the companies mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

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