PHX Minerals Inc. (NYSE:PHX) Q1 2023 Earnings Conference Call February 9, 2023 11:00 AM ET

Company Participants

Rob Fink - FNK IR

Ralph D’Amico - VP and CFO

Chad Stephens - President and CEO

Danielle Mezo - VP, Engineering

Conference Call Participants

Donovan Schafer - Northland Capital Markets

Derrick Whitfield - Stifel

Operator

Good morning and thank you for attending today's PHX Minerals December 31st 2022 Quarter End Earnings Conference Call. At this time, all lines will be muted during the presentation of the call with an opportunity for a Q&A session at the end. As a reminder, this call is being recorded.

I would now like to turn the call over to Rob Fink with FNK IR. Please go ahead, sir.

Rob Fink

Thank you, operator, and thank you everyone for joining us today to discuss PHX Minerals' December 31st 2022 quarter end results.

Joining us on the call today are Chad Stephens, President and Chief Executive Officer; Ralph D’Amico, Senior Vice President and Chief Financial Officer; and Danielle Mezo, Vice President of Engineering. The earnings press release that was issued today after the close is also posted on PHX’s Investor Relations website.

Before I turn the call over to Chad, I'd like to remind everyone that during today's call, including the Q&A session, management may make forward-looking statements regarding expected revenue, earnings, future plans, opportunities, and other expectation of the company.

These estimates and other forward-looking statements involve known and unknown risks and uncertainties that may cause actual results to be materially different from those expressed or implied on the call.

These risks are detailed in PHX Minerals most recent annual report on Form 10-K as such may be amended or supplemented by subsequent quarterly reports on Form 10-Q or other reports filed with the SEC.

The statements made during this call are based upon information known to company as of today, February 9th, 2023, and the company does not intend to update these forward-looking statements whether as a result of new information, future events, or otherwise, unless required by law.

With that, I would like to turn the call over to Chad. Chad, the call is yours.

Chad Stephens

Thanks Rob, and thanks to all of you on this call for participating in PHX's December 31st, 2022 quarter end conference call. We appreciate your interest in the company.

The decline in natural gas prices that impacted the December quarter continued into the new year. PHX's quarterly financial results reflect a 26% sequential drop in realized natural gas prices. Since then, and in the month of January alone, natural gas front month prices have dropped a further 40%. This being the largest one month drop since 2001, 22 years ago.