RE:RE:Nice hedges, where's all the complainers? 🤷ElJ wrote: malx1,
On the business strategy of Hedging by Peyto, I provide the following simple picture that might be interesting or useful to BBoard colleagues:
.........................Peyto...................Peyto..................Earnings
Hedges Reported Without (see note 1)
Gain/(loss) Earnings Hedging
Q3, 2022 $(92.1) million $ 84.9 million $ 177 million rounded
Q4, 2022 $(90.8) m $113.4 m $ 204 m
Q1,2023 $(67.2) m $ 90.0 m $ 157 m
Q2,2023 $ 47.8 m $ 57.4 m nbsp; 10 m
Q3, 2023 $ 33.7 m $ 57.4 m nbsp; 24 m
Q4, 2023 $ 46.9 m $ 87.8 m nbsp; 41 m
Q1, 2024 $ 93.4 m $ 99.9 m nbsp; 7 m
Q2, 2024 $ 68.0 m $ 51.4 m $(17) m
Note 1. This column is the simple application of subtracting Col.1 from Col. 2. In actual business operation additional considerations will generally apply, such as impact on CAPEX; Dividend payments; etc...
- Dividends not sustainable, at paid level over the past 15 months
- Market share-price surely more volatile and weaker over the past 6 months
Peace,
Good Decision-making to All,
ElJ
Said it a while back, the ol dividend level here feels stretched.
Set it at $0.05, maybe $0.06, provides way more flexibility for the business.
Debt is a lingering concern.
Just because you bought a flat of beer, doesn't mean you need to drink 12 the first day.