SM Energy Co. Files 10-Q for Period Ending March 31, 2024

TL;DR

<b>SM Energy Co. filed its Q1 2024 10-Q, detailing financial performance and segment revenues.</b>

AI Summary

SM Energy Co (SM) filed a Quarterly Report (10-Q) with the SEC on May 3, 2024. SM Energy Co. reported financial results for the quarter ended March 31, 2024. The filing details financial data for the periods ending March 31, 2024, December 31, 2023, and March 31, 2023. Key financial statement components like Common Stock, Additional Paid-In Capital, Retained Earnings, and Accumulated Other Comprehensive Income are presented for various dates. Revenue data is segmented by region, including Midland Basin and South Texas, and by product type such as Oil Revenue, Natural Gas Revenue, and Oil and Condensate Revenue. The company's principal business is Crude Petroleum & Natural Gas extraction, with its principal executive offices located in Denver, CO.

Why It Matters

For investors and stakeholders tracking SM Energy Co, this filing contains several important signals. This 10-Q filing provides investors with the latest financial snapshot of SM Energy Co., crucial for understanding its operational and financial health in the current quarter. The detailed revenue breakdown by segment and product type allows for a granular analysis of the company's performance drivers and geographic focus.

Risk Assessment

Risk Level: medium — SM Energy Co shows moderate risk based on this filing. The filing is a standard quarterly report (10-Q) for a publicly traded company in the oil and gas sector, which inherently carries market and operational risks, but this specific filing does not highlight any immediate, severe red flags.

Analyst Insight

Review the detailed revenue segments and compare year-over-year growth to assess performance trends in key operating areas.

Revenue Breakdown

Key Numbers

• 2024-03-31 — Report Period End Date (The end date for the reported fiscal quarter.)
• 2024-05-03 — Filing Date (The date the 10-Q was filed with the SEC.)
• 1311 — SIC Code (Standard Industrial Classification for Crude Petroleum & Natural Gas.)

Key Players & Entities

• SM Energy Co. (company) — Filer of the 10-Q report.
• Denver, CO (location) — Location of the company's business and mailing address.
• 1700 Lincoln Street, Suite 3200 (address) — Business and mailing address of SM Energy Co.

FAQ

Industry Context

SM Energy Co. operates in the Crude Petroleum & Natural Gas industry, focusing on exploration and production activities.

Regulatory Implications

As a publicly traded company, SM Energy Co. is subject to SEC regulations, including the requirement to file quarterly reports (10-Q) under the Securities Exchange Act of 1934.

What Investors Should Do

1. Analyze the year-over-year changes in oil and natural gas revenues for both Midland Basin and South Texas segments.
2. Examine the trends in equity accounts (Common Stock, Additional Paid-In Capital, Retained Earnings) for the reported periods.
3. Note the absence of specific financial figures like net income, EPS, and debt-to-equity ratio in the provided header data.

Key Dates

• 2024-03-31: Quarter End — End of the reporting period for the 10-Q.
• 2024-05-03: Filing Date — Date the 10-Q was officially submitted to the SEC.

Year-Over-Year Comparison

This filing represents the first quarterly report of 2024, providing updated financial information compared to the previous year's filings.

Key Financial Figures

• $0.01 — ange on which registered Common stock, $0.01 par value SM New York Stock Exchange

Filing Documents

• sm-20240331.htm (10-Q) — 1306KB
• exhibit311certificationhvo.htm (EX-31.1) — 7KB
• exhibit312certificationwpu.htm (EX-31.2) — 7KB
• exhibit321906certification.htm (EX-32.1) — 8KB
• sm-20240331_g1.jpg (GRAPHIC) — 87KB
• 0000893538-24-000030.txt (&nbsp;) — 5787KB
• sm-20240331.xsd (EX-101.SCH) — 41KB
• sm-20240331_cal.xml (EX-101.CAL) — 50KB
• sm-20240331_def.xml (EX-101.DEF) — 133KB
• sm-20240331_lab.xml (EX-101.LAB) — 414KB
• sm-20240331_pre.xml (EX-101.PRE) — 267KB
• sm-20240331_htm.xml (XML) — 898KB

Financial Statements (unaudited)

Financial Statements (unaudited) 4 Condensed Consolidated Balance Sheets March 3 1 , 202 4 , and December 31, 202 3 4 Condensed Consolidated Statements of Operations Three M o n t h s Ended March 3 1 , 202 4 , and 202 3 5 Condensed Consolidated Statements of Comprehensive Income Three Months Ended March 3 1 , 202 4 , and 202 3 6 Condensed Consolidated Statements of Stockholders' Equity Three Months Ended March 3 1 , 202 4 , and 202 3 7 Condensed Consolidated Statements of Cash Flows Three Months Ended March 3 1 , 202 4 , and 202 3 8 Notes to Condensed Consolidated Financial Statements 9 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 19 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 33 Item 4.

Controls and Procedures

Controls and Procedures 33 Part II 34 Item 1.

Legal Proceedings

Legal Proceedings 34 Item 1A.

Risk Factors

Risk Factors 34 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 34 Item 6. Exhibits 35

Signatures

Signatures 36 2 Cautionary Information about Forward-Looking Statements This Report on Form 10-Q ("Form 10-Q" or "this report") contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended ("Securities Act"), and Section 21E of the Securities Exchange Act of 1934, as amended ("Exchange Act"). All statements included in this report, other than statements of historical fact, that address activities, conditions, events, or developments with respect to our financial condition, results of operations, business prospects or economic performance that we expect, believe, or anticipate will or may occur in the future, or that address plans and objectives of management for future operations, are forward-looking statements. The words "anticipate," "assume," "believe," "budget," "could," "estimate," "expect," "forecast," "goal," "intend," "pending," "plan," "potential," "projected," "seek," "target," "will," and similar expressions are intended to identify forward-looking statements. Forward-looking statements appear throughout this report, and include statements about such matters as: business strategies and other plans and objectives for future operations, including plans for expansion and growth of operations or to defer capital investment, plans with respect to future dividend payments, debt redemptions or equity repurchases, capital markets activities, environmental, social, and governance ("ESG") goals and initiatives, and our outlook on our future financial condition or results of operations; the amount and nature of future capital expenditures, the resilience of our assets to declining commodity prices, and the availability of liquidity and capital resources to fund capital expenditures; our outlook on prices for future crude oil, natural gas, and natural gas liquids (also referred to throughout this report as "oil," "gas," and "NGLs," respectively), well costs, service costs, production costs, and general and

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

FINANCIAL STATEMENTS

ITEM 1. FINANCIAL STATEMENTS SM ENERGY COMPANY AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) (in thousands, except share data) March 31, 2024 December 31, 2023 ASSETS Current assets: Cash and cash equivalents $ 506,252 $ 616,164 Accounts receivable 241,731 231,165 Derivative assets 33,913 56,442 Prepaid expenses and other 11,149 12,668 Total current assets 793,045 916,439 Property and equipment (successful efforts method): Proved oil and gas properties 11,756,523 11,477,358 Accumulated depletion, depreciation, and amortization ( 6,994,005 ) ( 6,830,253 ) Unproved oil and gas properties, net of valuation allowance of $ 34,934 and $ 35,362 , respectively 335,755 335,620 Wells in progress 380,419 358,080 Other property and equipment, net of accumulated depreciation of $ 60,606 and $ 59,669 , respectively 34,905 35,615 Total property and equipment, net 5,513,597 5,376,420 Noncurrent assets: Derivative assets 7,198 8,672 Other noncurrent assets 84,618 78,454 Total noncurrent assets 91,816 87,126 Total assets $ 6,398,458 $ 6,379,985 LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities: Accounts payable and accrued expenses $ 496,361 $ 611,598 Derivative liabilities 24,108 6,789 Other current liabilities 15,615 15,425 Total current liabilities 536,084 633,812 Noncurrent liabilities: Revolving credit facility — — Senior Notes, net 1,576,115 1,575,334 Asset retirement obligations 124,085 118,774 Net deferred tax liabilities 397,296 369,903 Derivative liabilities 1,369 1,273 Other noncurrent liabilities 65,258 65,039 Total noncurrent liabilities 2,164,123 2,130,323 Commitments and contingencies (note 6) Stockholders' equity: Common stock, $ 0.01 par value - authorized: 200,000,000 shares; issued and outstanding: 115,036,144 and 115,745,393 shares, respectively 1,150 1,157 Additional paid-in capital 1,536,929 1,565,021 Retained earnings 2,162,771 2,052,279 Accumulated other comprehensive loss ( 2,59

View Full Filing

View this 10-Q filing on SEC EDGAR