Denbury Resources Announces Strong First Quarter Results
DALLAS--(Business Wire)--May 2, 2006--
Denbury Resources Inc. (NYSE:DNR) ("Denbury" or the
"Company") today announced its first quarter 2006 financial and
operating results. The Company's production in the first quarter of
2006 increased 19% over first quarter 2005 production, averaging
35,454 barrels of oil equivalent per day ("BOE/d"). The combination of
high commodity prices and higher production levels resulted in
earnings for the quarter of $43.8 million, or $0.39 per common share,
as compared to earnings of $30.1 million or $0.27 per common share for
the first quarter of 2005. Included in first quarter 2006 net income
are approximately $10.9 million of pre-tax non-cash charges ($6.6
million after tax) related to mark-to-market adjustments of the value
of the Company's derivative contracts, as compared to $6.7 million
($4.6 million after tax) of similar mark-to-market charges in the
first quarter of 2005. Additionally, in the first quarter of 2006 the
Company expensed approximately $2.1 million (pre-tax) of non-cash
stock compensation charges relating to the adoption of SFAS No. 123(R)
effective January 1, 2006.
Adjusted cash flow from operations (cash flow from operations
before changes in assets and liabilities, a non-GAAP measure) for the
first quarter of 2006 was $107.8 million, a 55% increase over first
quarter 2005 adjusted cash flow from operations of $69.4 million. Net
cash flow provided by operations, the GAAP measure, totaled $102.5
million during the first quarter of 2006, as compared to $66.6 million
for the same measure during the first quarter of 2005. Adjusted cash
flow and cash flow from operations differ in that the latter measure
includes the changes in receivables, accounts payables and accrued
liabilities during the quarter. (Please see the accompanying schedules
for a reconciliation of net cash flow provided by operations, as
defined by generally accepted accounting principles (GAAP), which is
the GAAP measure, as opposed to adjusted cash flow from operations,
which is the non-GAAP measure).
Denbury Resources Inc.
Gareth Roberts, 972-673-2000
or
Phil Rykhoek, 972-673-2000
www.denbury.com
Copyright Business Wire 2006
02May06 12:30 GMT
Symbols:
de;HGJ de;HGJF de;HGJX us;DNR
Source BW Business Wire
AI
