2016 Q1 Form 10-Q Financial Statement

#000110448516000067 Filed on May 10, 2016

View on sec.gov

Income Statement

Concept 2016 Q1 2015 Q1
Revenue $31.84M $76.12M
YoY Change -58.18% -7.28%
Cost Of Revenue $14.70M $19.60M
YoY Change -25.0% -8.84%
Gross Profit $17.10M $56.50M
YoY Change -69.73% -6.92%
Gross Profit Margin 53.71% 74.22%
Selling, General & Admin $4.300M $4.400M
YoY Change -2.27% 10.0%
% of Gross Profit 25.15% 7.79%
Research & Development
YoY Change
% of Gross Profit
Depreciation & Amortization $17.80M $45.20M
YoY Change -60.62% 25.21%
% of Gross Profit 104.09% 80.0%
Operating Expenses $141.2M $429.6M
YoY Change -67.13% 971.34%
Operating Profit -$109.4M -$353.5M
YoY Change -69.06% -1815.93%
Interest Expense $16.10M $11.74M
YoY Change 37.17% -218.55%
% of Operating Profit
Other Income/Expense, Net -$17.18M -$11.74M
YoY Change 46.4%
Pretax Income -$126.6M -$365.2M
YoY Change -65.35% -3513.26%
Income Tax $0.00 -$135.5M
% Of Pretax Income
Net Earnings -$126.6M -$229.7M
YoY Change -44.91% -3580.89%
Net Earnings / Revenue -397.55% -301.79%
Basic Earnings Per Share -$2.08 -$3.79
Diluted Earnings Per Share -$2.08 -$3.79
COMMON SHARES
Basic Shares Outstanding 60.96M shares 60.56M shares
Diluted Shares Outstanding 60.96M shares 60.56M shares

Balance Sheet

Concept 2016 Q1 2015 Q1
SHORT-TERM ASSETS
Cash & Short-Term Investments $4.400M $5.700M
YoY Change -22.81% -29.63%
Cash & Equivalents $4.388M $5.741M
Short-Term Investments
Other Short-Term Assets $45.00M $127.8M
YoY Change -64.79% 787.5%
Inventory
Prepaid Expenses
Receivables $29.70M $78.60M
Other Receivables $0.00 $0.00
Total Short-Term Assets $79.14M $212.2M
YoY Change -62.71% 102.67%
LONG-TERM ASSETS
Property, Plant & Equipment $485.4M $1.401B
YoY Change -65.36% -5.17%
Goodwill
YoY Change
Intangibles
YoY Change
Long-Term Investments
YoY Change
Other Assets $8.692M $27.50M
YoY Change -68.39% 72.96%
Total Long-Term Assets $494.1M $1.429B
YoY Change -65.41% -4.34%
TOTAL ASSETS
Total Short-Term Assets $79.14M $212.2M
Total Long-Term Assets $494.1M $1.429B
Total Assets $573.2M $1.641B
YoY Change -65.06% 2.67%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $62.86M $161.5M
YoY Change -61.08% -4.21%
Accrued Expenses $5.081M $18.30M
YoY Change -72.24% 14.38%
Deferred Revenue
YoY Change
Short-Term Debt $0.00 $0.00
YoY Change
Long-Term Debt Due
YoY Change
Total Short-Term Liabilities $86.81M $221.8M
YoY Change -60.86% 5.82%
LONG-TERM LIABILITIES
Long-Term Debt $803.1M $845.7M
YoY Change -5.04% 30.67%
Other Long-Term Liabilities $5.800M $5.100M
YoY Change 13.73% 2.0%
Total Long-Term Liabilities $808.9M $850.8M
YoY Change -4.92% 30.45%
TOTAL LIABILITIES
Total Short-Term Liabilities $86.81M $221.8M
Total Long-Term Liabilities $808.9M $850.8M
Total Liabilities $895.7M $1.098B
YoY Change -18.41% 11.47%
SHAREHOLDERS EQUITY
Retained Earnings -$764.5M
YoY Change
Common Stock $441.9M
YoY Change
Preferred Stock
YoY Change
Treasury Stock (at cost)
YoY Change
Treasury Stock Shares
Shareholders Equity -$322.5M $542.9M
YoY Change
Total Liabilities & Shareholders Equity $573.2M $1.641B
YoY Change -65.06% 2.67%

Cashflow Statement

Concept 2016 Q1 2015 Q1
OPERATING ACTIVITIES
Net Income -$126.6M -$229.7M
YoY Change -44.91% -3580.89%
Depreciation, Depletion And Amortization $17.80M $45.20M
YoY Change -60.62% 25.21%
Cash From Operating Activities $55.20M $66.90M
YoY Change -17.49% -7.98%
INVESTING ACTIVITIES
Capital Expenditures $0.00 $9.559K
YoY Change -100.0% -100.01%
Acquisitions
YoY Change
Other Investing Activities $0.00 $200.0K
YoY Change -100.0%
Cash From Investing Activities -$20.10M -$110.4M
YoY Change -81.79% -7.38%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net $1.159M $76.36K
YoY Change 1417.22% -100.55%
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities -34.20M 39.90M
YoY Change -185.71% -18.4%
NET CHANGE
Cash From Operating Activities 55.20M 66.90M
Cash From Investing Activities -20.10M -110.4M
Cash From Financing Activities -34.20M 39.90M
Net Change In Cash 900.0K -3.600M
YoY Change -125.0% -250.0%
FREE CASH FLOW
Cash From Operating Activities $55.20M $66.90M
Capital Expenditures $0.00 $9.559K
Free Cash Flow $55.20M $66.89M
YoY Change -17.48% -65.14%

Facts In Submission

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<div style="font-family:Times New Roman;font-size:10pt;"><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;text-decoration:underline;">Concentrations of Market and Credit Risk</font></div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">The future results of the Company&#8217;s crude oil and natural gas operations will be affected by the market prices of crude oil and natural gas.&#160;&#160;The availability of a ready market for crude oil and natural gas products in the future will depend on numerous factors beyond the control of the Company, including weather, imports, marketing of competitive fuels, proximity and capacity of crude oil and natural gas pipelines and other transportation facilities, any oversupply or undersupply of crude oil, natural gas and liquid products, the regulatory environment, the economic environment, and other regional and political events, none of which can be predicted with certainty.</font></div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">The Company operates in the exploration, development and production sector of the crude oil and natural gas industry.&#160;&#160;The Company&#8217;s receivables include amounts due from purchasers of its crude oil and natural gas production.&#160;&#160;While certain of these customers are affected by periodic downturns in the economy in general or in their specific segment of the crude oil or natural gas industry, the Company believes that its level of credit-related losses due to such economic fluctuations has been and will continue to be immaterial to the Company&#8217;s results of operations over the long-term.</font></div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">The Company manages and controls market and counterparty credit risk.&#160;&#160;In the normal course of business, collateral is not required for financial instruments with credit risk.&#160;&#160;Financial instruments which potentially subject the Company to credit risk consist principally of temporary cash balances and derivative financial instruments.&#160;&#160;The Company maintains cash and cash equivalents in bank deposit accounts which, at times, may exceed the federally insured limits.&#160;&#160;The Company has not experienced any significant losses from such investments.&#160;&#160;The Company attempts to limit the amount of credit exposure to any one financial institution or company.&#160;&#160;The Company believes the credit quality of its customers is generally high.&#160;&#160;In the normal course of business, letters of credit or parent guarantees may be required for counterparties which management perceives to have a higher credit risk.</font></div></div>
CY2016Q1 us-gaap Nature Of Operations
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<div style="font-family:Times New Roman;font-size:10pt;"><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-weight:bold;">&#160;ORGANIZATION AND NATURE OF BUSINESS</font></div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Northern Oil and Gas, Inc. (the &#8220;Company,&#8221; &#8220;Northern,&#8221; &#8220;our&#8221; and words of similar import), a Minnesota corporation, is an independent energy company engaged in the acquisition, exploration, exploitation, development and production of crude oil and natural gas properties.&#160;&#160;The Company&#8217;s common stock trades on the NYSE MKT market under the symbol &#8220;NOG&#8221;.</font></div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Northern&#8217;s principal business is crude oil and natural gas exploration, development, and production with operations in North Dakota and Montana that primarily target the Bakken and Three Forks formations in the Williston Basin of the United States.&#160;&#160;The Company acquires leasehold interests that comprise of non-operated working interests in wells and in drilling projects within its area of operations.&#160;&#160;As of </font><font style="font-family:inherit;font-size:10pt;">March&#160;31, 2016</font><font style="font-family:inherit;font-size:10pt;">, approximately </font><font style="font-family:inherit;font-size:10pt;">73%</font><font style="font-family:inherit;font-size:10pt;"> of Northern&#8217;s </font><font style="font-family:inherit;font-size:10pt;">164,894</font><font style="font-family:inherit;font-size:10pt;"> total net acres were developed.</font></div></div>
CY2016Q1 us-gaap Prior Period Reclassification Adjustment Description
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<div style="font-family:Times New Roman;font-size:10pt;"><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;text-decoration:underline;">Reclassifications</font></div><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Certain prior period balances in the condensed balance sheets have been reclassified to conform to the current year presentation. Such reclassifications had no impact on net income (loss), cash flows or stockholders&#8217; equity (deficit) previously reported.</font></div></div>
CY2016Q1 us-gaap Use Of Estimates
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