Chesapeake Energy jumps after beating quarterly earnings estimates (CHK)

pulse

February 22, 2018 5:56 PM

Chesapeake Energy reported fourth-quarter earnings that beat analysts' estimates.

The company said that it would maintain its production levels from 2017 into 2018.

Shares of Chesapeake Energy climbed nearly 20% on Thursday morning after the petroleum and natural gas company reported fourth-quarter earnings that beat Wall Street's forecasts.

Chesapeake reported an adjusted earnings of $0.30 per share, topping Wall Street's estimates of $0.24 per share. Its quarterly revenues were $2.59 billion, above expectations of $2.28 billion.

The company said that it expects production growth in 2018 to match last year's, while lowering capital investments by 12%. Energy companies have faced mounting pressure by investors to increase production while cutting costs.

A few weeks ago, the Oklahoma City-based company laid off 400 workers, or 13% of its total workforce. The cuts follow Chesapeake's sale of some of its well assets, which also led to job cuts among its field workers.