Contango Oil & Gas Co (MCF) released its first quarter results on Thursday, May 13, 2021. The company reported net earnings of $-0.02 per share for the first quarter ending March 31, 2021. Earnings for this past quarter were up 97 percent compared to the same period a year ago.
The company was founded in 1986 and is headquartered in Houston, Texas. Contango Oil & Gas Company, an independent oil and natural gas company, acquires, explores, develops, exploits, and produces crude oil and natural gas properties in the shallow waters of the Gulf of Mexico and onshore properties in Texas, Oklahoma, Louisiana, and Wyoming in the United States. As of December 31, 2020, it had proved reserves of approximately 34.2 million barrels of oil or other liquid hydrocarbons equivalent, consisting of 13.0 million barrels of oil, 84.5 billion cubic feet of natural gas, and 7.2 million barrels of natural gas liquids.
Contango Oil & Gas' revenue increased 42 percent over the past trailing twelve-month period versus the previous twelve-month period. Gross margins increased to 53.84% for the first quarter compared to the same period in the previous year, and operating margins increased to 19.64% over the same period. Net earnings for past trailing twelve months were $-64.38 million, up 75% from the prior year.
Moving on to the balance sheet, Contango Oil & Gas' cash levels dropped 5% for the first quarter over the same period last year. Overall liquidity of the balance sheet, as measured by the current ratio, decreased 37.31% this past year. The current ratio for Contango Oil & Gas now stands at 0.51. The company increased shares outstanding by 54.46%.
Shares of MCF are currently trading around $4.09. In terms of valuation, the stock is trading at a price to book ratio of 8.47.
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This article was written by Value Investing News (https://www.valueinvestingnews.com) on Saturday, May 15, 2021.