Lucas Energy, Inc. announced anticipated development activities and its fiscal 2015 third quarter results for the three month period ending December 31, 2014.
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For the fiscal 2015 third quarter, Lucas reported a net loss of $1.3 million, or $0.04 per diluted share, compared to a $1.1 million loss, or a loss of $0.04 per diluted share, in the same quarter last year and a sequential loss of $1.5 million, or a loss of $0.04 per diluted share, in the fiscal second quarter of 2015.
Company's recent results were negatively impacted by certain non-recurring items primarily related to severance costs associated with recent staff reductions and other restructuring initiatives.
Net operating revenues in the fiscal 2015 third quarter were $0.7 million, all of which were derived from crude oil sales, compared to revenues of $1.4 million in the fiscal 2014 third quarter and $1.0 million in the sequential fiscal 2015 second quarter.
Overall operating expenses in the fiscal 2015 third quarter declined by 28.6% to $1.6 million from the same period a year ago reflecting lower lease operating expense LOE, lower depreciation, depletion and amortization expense and lower general and administrative expense G&A.
On a sequential basis, company's operating expenses declined by 25.8%, primarily as a result of lower LOE and G&A expenses. LOE expense decreased by 39.4% from the same period last year reflecting a 68.7% decline in work over activity at certain wells, and G&A expense fell by 21.4%, reflecting lower share-based compensation and payroll.
Average production volumes were 105 net barrels of oil equivalent per day BOEPD compared to 113 BOEPD in the fiscal second quarter and 158 BOEPD in the same period last year. The production decline was largely a result of curtailed capital expenditures as the company pursued strategic alternatives as directed by company's board.
For the first nine months of fiscal 2015, cash used in operating activities was approximately $1.2 million or 65% less than cash used during the same period last year. However, as of December 31, 2014, the company had a working capital deficit of $9.2 million, primarily because approximately $7.1 million of the long-term portion of company's Note Payable is now current as it matures within the next six months.
Cash used in investing activities was 88% less, reflecting the sale of oil and gas properties in Madison County, and cash provided by financing activities was 84% lower than the same period last year when the company received net proceeds of $6.6 million from the issuance and repayment of debt. At the end of company's fiscal 2015 third quarter on December 31, 2014, our cash balance was $0.3 million compared to $0.5 million on March 31, 2014. ■