2014

Mexco Energy Corporation Reports Financial Results For Fiscal 2013

MIDLAND, Texas, July 2, 2013 /PRNewswire/ -- Mexco Energy Corporation (AMEX: MXC) reported results on its Annual Report on Form 10-K to the Securities and Exchange Commission for the fiscal year ended March 31, 2013.

The Company reported a net loss of $176,374, or ($.09) per diluted share, for fiscal year 2013, a decrease from a net income of $329,993, or $.16 per diluted share, for fiscal 2012.  

The Company reported operating profit of $63,270, for the quarter ending March 31, 2013, the Company's fourth quarter of fiscal 2013.  Oil and gas revenues in the fourth quarter were $924,098 compared to $753,875 for the same quarter in fiscal 2012, an increase of 23%.  This is the result of increased oil production, increased prices in natural gas and revenue generated from the $1,150,000 acquisition of TBO Oil & Gas, LLC on December 31, 2012. 

Operating revenues in fiscal 2013 were $3,096,415, a decrease of 4% when compared to fiscal 2012 operating revenues of $3,240,039.  This is the result of a 20% increase in oil production and a 1% increase in gas production partially offset by a 9% decrease in oil price and a 23% decrease in natural gas price.  The average sales price received was $5.67 per Mcfe compared to $6.29 per Mcfe received in fiscal 2012, a 10% decrease.    

The Company's estimated present value of proved reserves at March 31, 2013 was approximately $18 million based on estimated future net revenues discounted at 10% per annum, pricing and other assumptions set forth in "Item 2 – Properties" of the Company's Form 10-K, a decrease of 25% as compared to the same at March 31, 2012.  The Company's total estimated proved reserves at March 31, 2013 were 7.844 billion cubic feet of natural gas, a decrease of 7% over the prior fiscal year, and 366,000 barrels of oil and natural gas liquids, an increase of 6% over the prior fiscal year.  For fiscal 2013, natural gas constituted approximately 78% of the Company's total proved reserves and approximately 36% of the Company's revenues, down from last year as a result of Mexco's shift in emphasis from natural gas to oil.          

Nicholas C. Taylor, Chairman and Chief Executive Officer, stated, "In fiscal 2013, the acquisition of TBO Oil & Gas, LLC for $1.15 million added established production of interests in over 280 wells and opportunities for extensive horizontal drilling in Texas and North Dakota's Bakken.  Fiscal fourth quarter pre-tax income turned upwards from poor results in the first three quarters due to previously depressed natural gas prices."         

The Company owns oil and gas properties in twelve states, with the majority of its activity centered in West Texas.  The Company continues to focus its efforts to increase oil and natural gas reserves, through acquisitions, exploration and development.

In accordance with the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995, Mexco Energy Corporation cautions that statements in this press release which are forward-looking and which provide other than historical information involve risks and uncertainties that may impact the Company's actual results of operations.  These risks include, but are not limited to, production variance from expectations, volatility of oil and gas prices, the need to develop and replace reserves, exploration risks, uncertainties about estimates of reserves, competition, government regulation, and mechanical and other inherit risks associated with oil and gas production.  A discussion of these and other factors, including risks and uncertainties, is set forth in the Company's Form 10-K for the fiscal year ended March 31, 2013.  Mexco Energy Corporation disclaims any intention or obligation to revise any forward-looking statements

 

Mexco Energy Corporation and Subsidiaries

CONSOLIDATED BALANCE SHEETS














March 31,


March 31,






2013


2012

ASSETS







Current assets






Cash and cash equivalents

$      166,406


$    498,681



Accounts receivable:







Oil and gas sales

538,971


333,191




Trade

16,370


30,404



Prepaid costs and expenses

19,281


16,782





Total current assets

741,028


879,058










Property and equipment, at cost






Oil and gas properties, using the full cost method

34,309,328


31,840,059



Other


92,326


78,520






34,401,654


31,918,579



Less accumulated depreciation, depletion and amortization

17,323,692


16,223,267





Property and equipment, net

17,077,962


15,695,312










Other noncurrent assets

116,454


-






$ 17,935,444


$ 16,574,370









LIABILITIES AND STOCKHOLDERS' EQUITY













Current liabilities






Accounts payable and accrued expenses

$      431,848


$    402,098










Long-term debt

2,950,000


1,700,000


Asset retirement obligations

763,412


613,279


Deferred income tax liabilities

853,199


884,703










Commitments and contingencies













Stockholders' equity






Preferred stock - $1.00 par value;







10,000,000 shares authorized; none outstanding

-


-



Common stock - $0.50 par value; 40,000,000 shares authorized;







2,102,866 and 2,099,116 shares issued;

2,036,866 and 2,035,949 shares outstanding as of







 March 31, 2013 and 2012, respectively

1,051,433


1,049,558



Additional paid-in capital

6,761,091


6,608,350



Retained earnings

5,465,453


5,641,827



Treasury stock, at cost (66,000 and 63,167 shares, respectively)

(340,992)


(325,445)


Total stockholders' equity

12,936,985


12,974,290






$ 17,935,444


$ 16,574,370







Mexco Energy Corporation and Subsidiaries

CONSOLIDATED STATEMENTS OF OPERATIONS

Year ended March 31,












2013


2012


2011

Operating revenues:







Oil and gas

$     3,063,707


$     3,223,659


$     3,145,247


Other

32,708


16,380


16,611



Total operating revenues

3,096,415


3,240,039


3,161,858









Operating expenses:







Production

1,082,043


926,215


1,025,932


Accretion of asset retirement obligation

39,376


36,251


34,129


Depreciation, depletion and amortization

1,100,425


996,205


1,047,906


General and administrative

1,028,846


950,690


877,790



Total operating expenses

3,250,690


2,909,361


2,985,757









Operating (loss) profit

(154,275)


330,678


176,101









Other income (expenses):







Interest income

229


195


360


Interest expense

(53,832)


(28,840)


(36,361)










Net other expense

(53,603)


(28,645)


(36,001)









(Loss) earnings before provision for income taxes

(207,878)


302,033


140,100









Income tax expense (benefit):







Current

-


-


(25,502)


Deferred

(31,504)


(27,960)


9,906




(31,504)


(27,960)


(15,596)









Net (loss) income

$      (176,374)


$        329,993


$        155,696

















(Loss) income per common share:







Basic:

$            (0.09)


$              0.16


$              0.08


Diluted:

$            (0.09)


$              0.16


$              0.08









Weighted average common shares outstanding:







Basic:

2,036,959


2,028,014


1,947,605


Diluted:

2,036,959


2,036,241


1,962,656

 

SOURCE Mexco Energy Corporation



RELATED LINKS
http://www.mexcoenergy.com

More by this Source


Custom Packages

Browse our custom packages or build your own to meet your unique communications needs.

Start today.

 

PR Newswire Membership

Fill out a PR Newswire membership form or contact us at (888) 776-0942.

Learn about PR Newswire services

Request more information about PR Newswire products and services or call us at (888) 776-0942.