Exhibit 12.1
DIAMONDBACK ENERGY, INC.
COMPUTATION OF RATIO OF EARNINGS (DEFICIT) TO FIXED CHARGES
Year Ended December 31, | Three Months ended March 31, | ||||||||||||||||||||||||||
2017 | 2016(1) | 2015(1) | 2014 | 2013 | 2018 | 2017 | |||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||||
EARNINGS | |||||||||||||||||||||||||||
Income (loss) from continuing operations | $ | 605,020 | $ | (68,617 | ) | $ | (740,269 | ) | $ | 212,670 | $ | 95,194 | $ | 267,646 | $ | 116,410 | |||||||||||
Interest expense, net | 40,554 | 40,684 | 41,510 | 34,514 | 8,059 | $ | 13,701 | $ | 12,225 | ||||||||||||||||||
Income (loss) before fixed charges | $ | 645,574 | $ | (27,933 | ) | $ | (698,759 | ) | $ | 247,184 | $ | 103,253 | $ | 281,347 | $ | 128,635 | |||||||||||
FIXED CHARGES | |||||||||||||||||||||||||||
Interest expense, net | $ | 40,554 | $ | 40,684 | $ | 41,510 | $ | 34,514 | $ | 8,059 | $ | 13,701 | $ | 12,225 | |||||||||||||
Total fixed charges | $ | 40,554 | $ | 40,684 | $ | 41,510 | $ | 34,514 | $ | 8,059 | $ | 13,701 | $ | 12,225 | |||||||||||||
Earnings/fixed charge coverage ratio | 15.9 | (0.7) | (16.8) | 7.2 | 12.8 | 20.5 | 10.5 |
(1) Earnings for the years ended December 31, 2016 and December 31, 2015 were insufficient to cover fixed charges by $68.6 million and $740.3 million, respectively. Ratios for the years ended December 31, 2016 and December 31, 2015 include the effects of impairments on oil and gas properties of $245.5 million and $814.8 million, respectively. Excluding the impact of the impairments of oil and gas properties, the earnings/fixed charge coverage ratio for the years ended December 31, 2016 and December 31, 2015 would have been 5.3 and 2.8, respectively.