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Chesapeake sinks 6% on weak production outlook

Published 11/02/2017, 02:29 PM
© Reuters.  Chesapeake sinks 6% on weak production outlook
CHK
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  • Chesapeake Energy (CHK -6.4%) swirls deeper into the red, following its mixed Q3 results with a warning of flat-to-modest production growth in 2018.
  • Capital One analysts say Wall Street had been looking for 7% production growth next year.
  • CHK's Q3 production fell 15% Y/Y to 542K boe/day from 638K boe/day, in line with the company’s warning in September, while average production cost of $3.03/boe was up from $2.92 Q/Q and $2.80 Y/Y.
  • CHK expects interest expense per boe to rise to $2.05-$2.15 for FY 2017; Q3 interest expense was $2.26/boe vs. $1.20/boe in the year-ago quarter.
  • Now read: Chesapeake Energy Q3 Preview


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