Chevron earnings

Earnings


Offshore workers examine hydrocarbon samples aboard the Chevron Corp. Jack/St. Malo deepwater oil platform in the Gulf of Mexico off the coast of Louisiana, U.S., on Friday, May 18, 2018.

Luke Sharrett | Bloomberg | Getty Images

Chevron reported a 26.3% jump in quarterly profit on Friday, as higher oil and gas production and a one-time breakup fee from its failed bid for a rival more than offset lower energy prices and a rise in expenses.

Results benefited from a $1 billion fee it received after Occidental Petroleum’s intercepted its deal to buy Anadarko Petroleum with a winning $38 billion bid. The termination fee added $720 million to the quarter’s profit, Chevron said.

Its U.S. shale production rose 21% during the quarter, but was overshadowed by sharply weaker oil and gas prices. Like many of its rivals, Chevron also reported declining profits in its refining and chemicals units.

Chevron abandoned its pursuit of Anadarko in May, refusing to increase its $33 billion bid, saying it would not back down from a pledge to dilute the returns it promised investors.

The second-largest U.S. oil and natural gas producer’s daily production of oil and gas rose 9.1% to 3.08 million barrels, a record for the company. Its production in the Permian Basin, the top U.S. shale field, rose 21.5% over a the same period a year ago.

The company said it has resumed share buybacks that were suspended during its acquisition talks with Anadarko. It expects to buy $5 billion in its own shares this quarter.

Net income attributable to the company rose to $4.31 billion, or $2.27 per share, in the second quarter ended June 30, from $3.41 billion, or $1.78 per share.

Chevron shares were little changed in premarket trading. The stock is up about 11% year to date.

Earlier Friday, Exxon Mobil also reported earnings that topped expectations.

CNBC contributed to this report.



Source link

Products You May Like

Articles You May Like

Warren wealth tax would raise much less than she estimates
GameStop (GME) earnings Q3 2019
Home Depot forecasts 2020 sales growth below expectations
Chevron’s $11 billion writedown could hit the entire market
Where to eat Sichuan cuisine in Chengdu, China

Leave a Reply

Your email address will not be published. Required fields are marked *