SandRidge Energy (NYSE: SD) reported fourth-quarter and full-year earnings after the closing bell today. The company delivered adjusted net income of $14.9 million, or $0.03 per share. That was $0.03 higher than analysts were expecting.
SandRidge Energy's solid fourth quarter was fueled in part by an 8% sequential rise in the company's production. Moreover, on a pro forma basis, the company's production is up 44% over the prior year. Strong results from the 80 wells brought online in the quarter contributed to both production growth and its solid financial results.
In addition to beating earnings-per-share estimates, the company's cash flow was strong. For the fourth quarter, adjusted operating cash flow was $218 million, while full-year adjusted operating cash flow totaled $812 million. Production that exceeded guidance by 1%, when combined with capital spending that came in 2% lower than guidance, was a big factor in the company's solid cash flow.
The company's exploration and appraisal program also enjoyed some notable successes this quarter. SandRidge Energy was able to add a new focus area in Sumner County, Kan., as the five appraisal wells drilled there delivered initial production well in excess of the company's average well in the quarter. In addition, the company's two Chester wells delivered above-average results. Finally, the company saw some improvements in the two Woodford wells it drilled in the quarter, though those results were still well below the company's average well.
Overall, it was another strong quarter for SandRidge Energy.