SandRidge Beats Q4 Views; Will Cut CapEx 56%

SandRidge Energy Inc. SD shares gained more than 2 percent in the after-hours session Thursday after the company beat fourth-quarter expectations and said it will cut 2015 capital spending by 56 percent to $700 million.

With a market capitalization of $916 million, the Oklahoma City-based company changed hands recently at $1.93, up $0.04.

Chief Executive James Bennett forecast 2015 production of 28.0 to 30.5 million barrels of oil equivalent, versus 29 million posted for 2014.

Bennett said the company's 2015 focus is on "improved capital efficiency and balance sheet flexibility."

SandRidge recently renegotiated its lending covenants and reaffirmed the company's borrowing base at $900 million, according to Bennett.

Net income fourth-quarter income rose to $254.3 million, or $0.48 a share, from $29.48 million, or $0.06 a share last year.

Adjusted earnings equaled $0.08 a share, while revenue fell to $346.88 million from $465.11 million a year earlier.

Wall Street expected break-even earnings on revenue of $374.11 million.