FILE PHOTO: A Chevron gas station is seen in Austin, Texas, U.S., October 23, 2023.
Brian Snyder | Reuters
Chevron stock fell on Friday as the oil major’s profit declined on the steep decline in oil prices this years.
Chevron’s net income declined more than 30% to $3.5 billion, or $2 per share, from $5.5 billion or $2.97 per share, in the year-ago period. Excluding one-time items, Chevron earned $2.18 per share, which was in line with Wall Street estimates.
Here is what Chevron reported for the first quarter compared with what Wall Street was expecting, based on a survey of analysts by LSEG:
- Earnings per share: $2.18 adjusted, vs. $2.18 expected.
- Revenue: $47.61 billion vs. $48.09 billion expected
U.S. crude oil prices have fallen about 18% this year as President Donald Trump’s tariffs are expected to weigh on demand at the same time OPEC+ plans to pump more supply into the market.
Chevron’s U.S. production business posted a profit of $1.86 billion, a decline of more than 10% from $2.08 billion in the year-ago period on higher operating expenses and lower commodity prices.
The oil major’s U.S. refining business swung to a profit of $103 million after posting a loss of $348 million in the fourth quarter of 2024. The segments earnings, however, declined 77% from $453 million in the year-ago due to lower margins on refined product sales.
Chevron produced 3.53 million barrels per day, largely flat compared to 3.35 bpd in the year-ago period.
Capital expenditures declined about 5% to $3.9 billion, down from $4.1 billion one year ago.
The company returned $6.9 billion to shareholders, including $3 billion in dividends and $3.9 billion in share repurchases. The company expects to repurchase $2.5 billion to $3 billion of shares in the second quarter.
This is developing story. Please check back for updates.
