Selected Highlights: -- Operating income and net income up 161% and 78%, respectively, vs. Q3 '09 -- Operating cash flow at Sept. 30 reaches $1.4 million -- Two new wells drilled in Mountain View Field -- Pyramid and Victory Oil Company agree in principle on California JV programPyramid Oil Company (
PYRAMID OIL COMPANY STATEMENTS OF OPERATIONS (UNAUDITED) Three months ended Nine months ended September 30, September 30, ----------------------- ----------------------- 2010 2009 2010 2009 ----------- ----------- ----------- ----------- REVENUES: Oil and gas sales $ 1,099,464 $ 945,413 $ 3,329,594 $ 2,341,359 Gain on sale of fixed assets 320,556 0 320,556 0 ----------- ----------- ----------- ----------- 1,420,020 945,413 3,650,150 2,341,359 ----------- ----------- ----------- ----------- COSTS AND EXPENSES: Operating expenses 386,897 346,800 1,165,209 1,023,339 General and administrative 195,838 198,703 653,793 653,805 Severance award agreement 113,500 0 113,500 209,935 Taxes, other than income and payroll taxes 39,654 33,809 97,313 114,593 Valuation allowances 0 0 867,468 0 Provision for depletion, depreciation and amortization 151,855 150,209 498,115 468,665 Accretion expense 6,664 5,898 18,775 17,696 Other costs and expenses 26,403 18,628 90,946 88,773 ----------- ----------- ----------- ----------- 920,811 754,047 3,505,119 2,576,806 ----------- ----------- ----------- ----------- OPERATING INCOME (LOSS) 499,209 191,366 145,031 -235,447 ----------- ----------- ----------- ----------- OTHER INCOME (EXPENSE): Interest income 13,521 20,508 29,904 68,378 Other income 3,600 3,600 9,997 10,800 Interest expense -30 -299 -333 -1,072 ----------- ----------- ----------- ----------- 17,091 23,809 39,568 78,106 ----------- ----------- ----------- ----------- INCOME (LOSS) BEFORE INCOME TAX PROVISION (BENEFIT) 516,300 215,175 184,599 -157,341 Income tax provision (benefit) Current 47,200 -43,499 92,100 -181,082 Deferred 75,300 37,300 -180,100 30,500 ----------- ----------- ----------- ----------- 122,500 -6,199 -88,000 -150,582 ----------- ----------- ----------- ----------- NET INCOME (LOSS) $ 393,800 $ 221,374 $ 272,599 $ -6,759 =========== =========== =========== =========== EARNINGS PER COMMON SHARE Basic and diluted income (loss) per common share $ 0.08 $ 0.05 $ 0.06 $ 0.00 =========== =========== =========== =========== Basic weighted average number of common shares outstanding 4,677,728 4,677,728 4,677,728 4,677,728 =========== =========== =========== =========== Diluted weighted average number of common shares outstanding 4,720,014 4,677,728 4,719,276 4,677,728 =========== =========== =========== =========== PYRAMID OIL COMPANY BALANCE SHEETS ASSETS September 30, December 31, 2010 2009 (Unaudited) (Audited) -------------- -------------- CURRENT ASSETS: Cash and cash equivalents $ 1,677,586 $ 1,438,825 Short-term investments 3,110,446 3,344,061 Trade accounts receivable 406,751 375,954 Income taxes receivable 4,200 124,281 Crude oil inventory 63,861 62,760 Deferred income taxes 241,400 196,200 Prepaid expenses and other assets 107,090 169,595 -------------- -------------- TOTAL CURRENT ASSETS 5,611,334 5,711,676 -------------- -------------- PROPERTY AND EQUIPMENT, at cost Oil and gas properties and equipment (successful efforts method) 17,613,326 16,085,228 Capitalized asset retirement costs 389,463 382,550 Drilling and operating equipment 2,109,993 2,109,993 Land, buildings and improvements 1,066,571 1,065,371 Automotive, office and other property and equipment 1,183,114 1,160,617 -------------- -------------- 22,362,467 20,803,759 Less: accumulated depletion, depreciation, amortization and valuation allowance -18,329,833 -17,125,834 -------------- -------------- TOTAL PROPERTY AND EQUIPMENT 4,032,634 3,677,925 -------------- -------------- OTHER ASSETS Deposits 250,000 250,000 Deferred income taxes 620,300 485,400 Other Assets 17,013 17,013 TOTAL OTHER ASSETS 887,313 752,413 -------------- -------------- TOTAL ASSETS $ 10,531,281 $ 10,142,014 ============== ============== PYRAMID OIL COMPANY BALANCE SHEETS LIABILITIES AND STOCKHOLDERS' EQUITY September 30, December 31, 2010 2009 (Unaudited) (Audited) -------------- -------------- CURRENT LIABILITIES: Accounts payable $ 160,120 $ 88,170 Accrued professional fees 111,663 138,381 Accrued taxes, other than income taxes 35,661 62,310 Accrued payroll and related costs 72,864 51,606 Accrued royalties payable 172,253 159,933 Accrued insurance 0 54,947 Current debt 905 20,640 -------------- -------------- TOTAL CURRENT LIABILITIES 553,466 575,987 -------------- -------------- LIABILITY FOR ASSET RETIREMENT OBLIGATION 1,219,013 1,193,324 -------------- -------------- TOTAL LIABILITIES 1,772,479 1,769,311 -------------- -------------- COMMITMENTS STOCKHOLDERS' EQUITY: Preferred stock-no par value; 10,000,000 authorized shares; no shares issued or outstanding 0 0 Common stock-no par value; 50,000,000 authorized shares; 4,677,728 shares issued and outstanding 1,629,445 1,515,945 Retained earnings 7,129,357 6,856,758 -------------- -------------- TOTAL STOCKHOLDERS' EQUITY 8,758,802 8,372,703 -------------- -------------- TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 10,531,281 $ 10,142,014 ============== ==============
Contact Information: CONTACTS: John H. Alexander President and CEO Pyramid Oil Company 661-325-1000 Geoff High Principal Pfeiffer High Investor Relations, Inc. 303-393-7044