2019 Q4 Form 10-K Financial Statement

#000178403121000004 Filed on February 26, 2021

View on sec.gov

Income Statement

Concept 2019 Q4 2018 Q4 2018
Revenue $43.80M $28.31M $76.75M
YoY Change 54.75% 245.01% 406.87%
Cost Of Revenue $12.40M $15.10M $53.92M
YoY Change -17.88% 224.89%
Gross Profit $31.40M $11.60M $22.83M
YoY Change 170.69% -1668.93%
Gross Profit Margin 71.68% 40.98% 29.74%
Selling, General & Admin $5.500M $3.400M $15.00M
YoY Change 61.76% 1600.0% 266.95%
% of Gross Profit 17.52% 29.31% 65.71%
Research & Development
YoY Change
% of Gross Profit
Depreciation & Amortization $13.00M $5.700M $20.07M
YoY Change 128.07% 234.97%
% of Gross Profit 41.4% 49.14% 87.91%
Operating Expenses $18.50M $9.100M $35.07M
YoY Change 103.3% 4450.0% 1917.81%
Operating Profit -$1.278B $2.513M -$12.24M
YoY Change -50975.33% 6.13%
Interest Expense $13.60M $1.500M $1.608M
YoY Change 806.67% 66.67%
% of Operating Profit 59.69%
Other Income/Expense, Net -$600.0K $0.00 $1.608M
YoY Change -100.0%
Pretax Income -$1.266B $4.014M -$10.74M
YoY Change -31627.98% -166.34% -2210.98%
Income Tax $65.40M -$800.0K -$10.50M
% Of Pretax Income -19.93%
Net Earnings -$363.6M $600.0K -$239.0K
YoY Change -60700.0% 100.0% 27.73%
Net Earnings / Revenue -830.08% 2.12% -0.31%
Basic Earnings Per Share -$4.85 $0.00 -$0.51
Diluted Earnings Per Share -$4.85 $0.00 -$0.51
COMMON SHARES
Basic Shares Outstanding 8.656M shares
Diluted Shares Outstanding 8.656M shares

Balance Sheet

Concept 2019 Q4 2018 Q4 2018
SHORT-TERM ASSETS
Cash & Short-Term Investments $6.000M $468.0M $449.9M
YoY Change -98.72% 93500.0% 93820.39%
Cash & Equivalents $6.000M $449.9M $449.9M
Short-Term Investments
Other Short-Term Assets $1.100M $1.379M
YoY Change 1943.57%
Inventory $4.027M $5.802M $5.802M
Prepaid Expenses
Receivables $20.70M $10.91M
Other Receivables $0.00 $0.00
Total Short-Term Assets $31.74M $468.0M $468.0M
YoY Change -93.22% 7491.73% 85536.65%
LONG-TERM ASSETS
Property, Plant & Equipment $205.8M $1.227B $1.227B
YoY Change -83.23% 75.37%
Goodwill
YoY Change
Intangibles
YoY Change
Long-Term Investments $1.258B $91.10M $91.10M
YoY Change 1280.95% -75.97%
Other Assets $1.263B $162.4M $71.29M
YoY Change 677.94%
Total Long-Term Assets $1.469B $1.389B $1.389B
YoY Change 5.75% 98.59% 266.4%
TOTAL ASSETS
Total Short-Term Assets $31.74M $468.0M $468.0M
Total Long-Term Assets $1.469B $1.389B $1.389B
Total Assets $1.501B $1.857B $1.857B
YoY Change -19.19% 163.17% 389.12%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $0.00 $13.60M
YoY Change
Accrued Expenses $21.70M $83.86M
YoY Change 11191.39%
Deferred Revenue
YoY Change
Short-Term Debt $0.00 $0.00 $0.00
YoY Change
Long-Term Debt Due $11.80M
YoY Change
Total Short-Term Liabilities $33.69M $98.52M $98.52M
YoY Change -65.8% -20.85% 7796.78%
LONG-TERM LIABILITIES
Long-Term Debt $396.0M $0.00 $0.00
YoY Change
Other Long-Term Liabilities $4.614M $0.00 $29.37M
YoY Change -100.0% 122.39%
Total Long-Term Liabilities $167.6M $32.01M $29.37M
YoY Change 423.67% 26.88% 122.39%
TOTAL LIABILITIES
Total Short-Term Liabilities $33.69M $98.52M $98.52M
Total Long-Term Liabilities $167.6M $32.01M $29.37M
Total Liabilities $597.3M $130.5M $2.071B
YoY Change 357.61% -12.8% 14228.59%
SHAREHOLDERS EQUITY
Retained Earnings -$392.6M -$213.7M
YoY Change 83.69% 1050.72%
Common Stock
YoY Change
Preferred Stock
YoY Change
Treasury Stock (at cost)
YoY Change
Treasury Stock Shares
Shareholders Equity -$355.2M -$227.0M -$213.7M
YoY Change
Total Liabilities & Shareholders Equity $1.501B $1.857B $1.857B
YoY Change -19.19% 163.17% 389.12%

Cashflow Statement

Concept 2019 Q4 2018 Q4 2018
OPERATING ACTIVITIES
Net Income -$363.6M $600.0K -$239.0K
YoY Change -60700.0% 100.0% 27.73%
Depreciation, Depletion And Amortization $13.00M $5.700M $20.07M
YoY Change 128.07% 234.97%
Cash From Operating Activities $36.90M $700.0K $661.0K
YoY Change 5171.43% -800.0%
INVESTING ACTIVITIES
Capital Expenditures $35.70M $84.00M $84.00M
YoY Change -57.5%
Acquisitions
YoY Change
Other Investing Activities -$153.0M -$91.10M $0.00
YoY Change 67.95%
Cash From Investing Activities -$188.7M -$175.1M -$175.1M
YoY Change 7.77%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net $25.00K
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities 155.2M 624.4M $624.4M
YoY Change -75.14%
NET CHANGE
Cash From Operating Activities 36.90M 700.0K $661.0K
Cash From Investing Activities -188.7M -175.1M -$175.1M
Cash From Financing Activities 155.2M 624.4M $624.4M
Net Change In Cash 3.400M 450.0M $449.9M
YoY Change -99.24% -450100.0%
FREE CASH FLOW
Cash From Operating Activities $36.90M $700.0K $661.0K
Capital Expenditures $35.70M $84.00M $84.00M
Free Cash Flow $1.200M -$83.30M -$83.34M
YoY Change -101.44%

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NatureOfOperations
<div style="text-align:justify;text-indent:22.5pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">Unless the context otherwise requires, the “Company,” “ALTM” and “Altus” refers to Altus Midstream Company and its consolidated subsidiaries. “Altus Midstream” refers to Altus Midstream LP and its consolidated subsidiaries. “Apache” refers to Apache Corporation and its consolidated subsidiaries. All references to the Company’s Class A common stock, $0.0001 par value (Class A Common Stock), and Class C common stock, $0.0001 par value (Class C Common Stock), reflect such share amounts as retrospectively restated to reflect the Company’s reverse stock split, which was effected June 30, 2020. Refer to </span><span style="color:#0000ff;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%;text-decoration:underline"><a href="#i151f721f8e2447f68f8cb6a336faba60_175" style="color:#0000ff;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%;text-decoration:underline">Note—11 Equity</a></span><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%"> for further information. </span></div><div style="margin-top:10pt;text-align:justify"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:700;line-height:120%;text-decoration:underline">Nature of Operations</span></div><div style="margin-top:10pt;text-align:justify;text-indent:22.5pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">Through its consolidated subsidiaries, the Company owns gas gathering, processing, and transmission assets in the Permian Basin of West Texas. Construction on the assets began in the fourth quarter of 2016, and operations commenced in the second quarter of 2017. Additionally, the Company owns equity interests in four separate Permian Basin pipeline entities that have access to various points along the Texas Gulf Coast. The Company’s operations consist of one reportable segment.</span></div><div style="margin-top:10pt;text-align:justify"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:700;line-height:120%;text-decoration:underline">Organization</span></div><div style="margin-top:10pt;text-align:justify;text-indent:22.5pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">The Company originally incorporated on December 12, 2016 in Delaware under the name Kayne Anderson Acquisition Corp. (KAAC) for the purpose of effecting a merger, capital stock exchange, asset acquisition, stock purchase, reorganization or similar business combination with one or more businesses. KAAC completed its initial public offering in the second quarter of 2017.</span></div><div style="margin-top:10pt;text-align:justify;text-indent:22.5pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">On August 3, 2018, Altus Midstream LP was formed in Delaware as a limited partnership and wholly-owned subsidiary of KAAC. On August 8, 2018, KAAC and Altus Midstream LP entered into a contribution agreement (the Contribution Agreement) with certain wholly-owned subsidiaries of Apache, including four Delaware limited partnerships (collectively, Altus Midstream Operating) and their general partner (Altus Midstream Subsidiary GP LLC, a Delaware limited liability company, and together with Altus Midstream Operating, the Altus Midstream Entities). The Altus Midstream Entities were formed by Apache between May 2016 and January 2017 for the purpose of acquiring, developing, and operating midstream oil and gas assets in the Alpine High resource play and surrounding areas (Alpine High). </span></div><div style="margin-top:10pt;text-align:justify;text-indent:22.5pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">On November 9, 2018 (the Closing Date) and pursuant to the terms of the Contribution Agreement, KAAC acquired from Apache the entire equity interests of the Altus Midstream Entities and options to acquire equity interests in five separate third-party pipeline projects (the Pipeline Options). The acquisition of the entities and the Pipeline Options is referred to herein as the Business Combination. In exchange, the consideration provided to Apache included economic voting and non-economic voting shares in KAAC and common units representing limited partner interests in Altus Midstream LP (Common Units). Following the Closing Date and in connection with the completion of the Business Combination, KAAC changed its name to Altus Midstream Company.</span><span style="color:#008080;font-family:'Times New Roman',sans-serif;font-size:12pt;font-weight:400;line-height:120%"> </span></div><div style="margin-top:10pt;text-align:justify"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:700;line-height:120%;text-decoration:underline">Ownership of Altus Midstream LP</span></div><div style="margin-top:10pt;text-align:justify;text-indent:22.5pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">As of and following the Closing Date and in connection with the completion of the Business Combination, the Company’s wholly-owned subsidiary, Altus Midstream GP LLC, a Delaware limited liability company (Altus Midstream GP), is the sole general partner of Altus Midstream LP. The Company operates its business through Altus Midstream LP and its subsidiaries, which include Altus Midstream Operating. The Company holds approximately 23.1 percent of the outstanding Common Units, and a controlling interest, in Altus Midstream, while Apache holds the remaining 76.9 percent. The Company’s Class A Common Stock continued trading on the Nasdaq under the new symbol “ALTM.”</span></div><div style="margin-top:10pt;text-align:justify;text-indent:22.5pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">Refer to </span><span style="color:#0000ff;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%;text-decoration:underline"><a href="#i151f721f8e2447f68f8cb6a336faba60_139" style="color:#0000ff;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%;text-decoration:underline">Note 2—Recapitalization Transaction</a></span><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">, for further discussion of the ownership structure and the partnership structure of Altus Midstream.</span></div>
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<div style="margin-top:10pt;text-align:justify"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:700;line-height:120%;text-decoration:underline">Use of Estimates</span></div><div style="margin-top:10pt;text-align:justify;text-indent:22.5pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">Preparation of financial statements in conformity with GAAP and disclosure of contingent assets and liabilities requires management to make estimates and assumptions that affect reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. The Company bases its estimates on historical experience and various other assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments about carrying values of assets and liabilities that are not readily apparent from other sources. The Company evaluates its estimates and assumptions on a regular basis. Actual results may differ from these estimates and assumptions used in preparation of its financial statements, and changes in these estimates are recorded when known.</span></div>
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-0.51
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2987000 USD
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0 shares
CY2018 us-gaap Dilutive Securities
DilutiveSecurities
0 USD
CY2018 us-gaap Net Income Loss Available To Common Stockholders Diluted
NetIncomeLossAvailableToCommonStockholdersDiluted
-4388000 USD
CY2018 us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
8656000 shares
CY2018 us-gaap Weighted Average Number Diluted Shares Outstanding Adjustment
WeightedAverageNumberDilutedSharesOutstandingAdjustment
0 shares
CY2020 us-gaap Net Income Loss Available To Common Stockholders Diluted
NetIncomeLossAvailableToCommonStockholdersDiluted
4578000 USD
CY2020 us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
16246000 shares
CY2020 us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
16246000 shares
CY2020 us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
16246000 shares
CY2020 us-gaap Earnings Per Share Diluted
EarningsPerShareDiluted
0.28
CY2019 us-gaap Net Income Loss Available To Common Stockholders Diluted
NetIncomeLossAvailableToCommonStockholdersDiluted
-369670000 USD
CY2019 us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
3746000 shares
CY2019 us-gaap Earnings Per Share Diluted
EarningsPerShareDiluted
-98.68
CY2018 us-gaap Earnings Per Share Diluted
EarningsPerShareDiluted
-0.51
CY2020 us-gaap Unrealized Gain Loss On Derivatives
UnrealizedGainLossOnDerivatives
-36100000 USD
CY2019 us-gaap Unrealized Gain Loss On Derivatives
UnrealizedGainLossOnDerivatives
-8500000 USD
CY2018 us-gaap Unrealized Gain Loss On Derivatives
UnrealizedGainLossOnDerivatives
0 USD
CY2020Q4 us-gaap Derivative Liabilities Noncurrent
DerivativeLiabilitiesNoncurrent
139009000 USD
CY2020 apa Embedded Derivative Expected Timing Until Exercise Of Exchange Option
EmbeddedDerivativeExpectedTimingUntilExerciseOfExchangeOption
P5Y5M12D

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