Energen (EGN) 8-K Energen Reports 1ST Quarter 2013 Operatingand Financial Results

Exhibit 99.2

CONSOLIDATED STATEMENTSOF INCOME (UNAUDITED)

For the 3 months ending March 31, 2013 and 2012

	1st Quarter
(in thousands, except per share data)	2013			2012			Change
Operating Revenues
Oil and gas operations	$	254,994		$	223,957		$	31,037
Natural gas distribution		237,685			194,487			43,198
Total operating revenues		492,679			418,444			74,235
Operating Expenses
Cost of gas		95,442			59,586			35,856
Operations and maintenance		145,837			110,561			35,276
Depreciation, depletion and amortization		115,295			94,534			20,761
Asset impairment		—			21,545			(21,545	)
Taxes, other than income taxes		28,772			26,235			2,537
Accretion expense		1,997			1,813			184
Total operating expenses		387,343			314,274			73,069
Operating Income		105,336			104,170			1,166
Other Income (Expense)
Interest expense		(16,754	)		(15,425	)		(1,329	)
Other income		1,758			2,032			(274	)
Other expense		(69	)		(113	)		44
Total other expense		(15,065	)		(13,506	)		(1,559	)
Income Before Income Taxes		90,271			90,664			(393	)
Income tax expense		33,579			33,258			321
Net Income	$	56,692		$	57,406		$	(714	)
Diluted Earnings Per Average Common Share	$	0.78		$	0.79		$	(0.01	)
Basic Earnings Per Average Common Share	$	0.79		$	0.80		$	(0.01	)
Diluted Avg. Common Shares Outstanding		72,288			72,326			(38	)
Basic Avg. Common Shares Outstanding		72,143			72,102			41
Dividends Per Common Share	$	0.145		$	0.14		$	0.005

CONSOLIDATED BALANCE SHEETS (UNAUDITED)

As of March 31, 2013 and December 31, 2012

(in thousands)	March 31, 2013		December 31, 2012
ASSETS
Current Assets
Cash and cash equivalents	$	20,303	$	9,704
Accounts receivable, net of allowance		242,421		277,900
Inventories		37,656		63,994
Regulatory asset		24,135		45,515
Other		41,245		28,007
Total current assets		365,760		425,120
Property, Plant and Equipment
Oil and gas properties, net		4,853,675		4,673,886
Utility plant, net		852,299		842,643
Other property, net		25,218		25,107
Total property, plant and equipment, net		5,731,192		5,541,636
Other Assets
Regulatory asset		109,002		110,566
Long-term derivative instruments		26,199		40,577
Other		61,939		57,991
Total other assets		197,140		209,134
TOTAL ASSETS	$	6,294,092	$	6,175,890
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current Liabilities
Long-term debt due within one year	$	75,000	$	50,000
Notes payable to banks		712,000		643,000
Accounts payable		285,920		257,579
Regulatory liability		41,886		45,116
Other		159,093		164,087
Total current liabilities		1,273,899		1,159,782
Long-term debt		1,078,529		1,103,528
Deferred Credits and Other Liabilities
Regulatory liability		68,812		80,404
Deferred income taxes		931,628		905,601
Long-term derivative instruments		9,705		11,305
Other		240,095		238,580
Total deferred credits and other liabilities		1,250,240		1,235,890
Total Shareholders’ Equity		2,691,424		2,676,690
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY	$	6,294,092	$	6,175,890

SELECTED BUSINESS SEGMENT DATA (UNAUDITED)

For the 3 months ending March 31, 2013 and 2012

	1st Quarter
(in thousands, except sales price data)	2013		2012		Change
Oil and Gas Operations (GAAP)
Operating revenues
Natural gas	$	71,072	$	75,580	$	(4,508	)
Oil		161,812		124,314		37,498
Natural gas liquids		21,116		23,712		(2,596	)
Other		994		351		643
Total (GAAP)	$	254,994	$	223,957	$	31,037
Oil and Gas Operations excluding mark-to-market (Non-GAAP)
Operating revenues
Natural gas	$	75,447	$	75,297	$	150
Oil		198,464		166,234		32,230
Natural gas liquids		21,137		22,747		(1,610	)
Other		994		351		643
Total (Non-GAAP)*	$	296,042	$	264,629	$	31,413
Production volumes
Natural gas (MMcf)		17,688		19,092		(1,404	)
Oil (MBbl)		2,317		1,953		364
Natural gas liquids (MMgal)		27.6		26.0		1.6
Total production volumes (MMcfe)		35,526		34,530		996
Total production volumes (MBOE)		5,921		5,755		166
Revenue per unit of production including effects of designated cash flow hedges
Natural gas (Mcf)	$	4.27	$	3.94	$	0.33
Oil (barrel)	$	85.66	$	85.12	$	0.54
Natural gas liquids (gallon)	$	0.77	$	0.87	$	(0.10	)
Revenue per unit of production excluding effects of all derivative instruments
Natural gas (Mcf)	$	3.31	$	2.67	$	0.64
Oil (barrel)	$	82.44	$	98.58	$	(16.14	)
Natural gas liquids (gallon)	$	0.68	$	0.95	$	(0.27	)
Other data
Lease operating expense (LOE)
LOE and other	$	81,546	$	56,612	$	24,934
Production taxes		14,363		14,162		201
Total	$	95,909	$	70,774	$	25,135
Depreciation, depletion and amortization	$	104,566	$	84,088	$	20,478
Asset impairment	$	—	$	21,545	$	(21,545	)
General and administrative expense	$	24,695	$	17,943	$	6,752
Capital expenditures	$	285,053	$	340,967	$	(55,914	)
Exploration expenditures	$	1,500	$	1,789	$	(289	)
Operating income	$	26,327	$	26,005	$	322

* Operating revenues excluding mark-to-market losses of $41,048 and $40,672 in first quarter 2013 and 2012, respectively.

Natural Gas Distribution
Operating revenues
Residential	$	162,739		$	130,509	$	32,230
Commercial and industrial		57,599			46,756		10,843
Transportation		18,240			15,598		2,642
Other		(893	)		1,624		(2,517	)
Total	$	237,685		$	194,487	$	43,198
Gas delivery volumes (MMcf)
Residential		10,382			8,238		2,144
Commercial and industrial		4,207			3,442		765
Transportation		12,790			12,036		754
Total		27,379			23,716		3,663
Other data
Depreciation and amortization	$	10,729		$	10,446	$	283
Capital expenditures	$	19,697		$	14,943	$	4,754
Operating income	$	79,293		$	78,560	$	733