Summary
ConocoPhillips demonstrated a strong financial recovery in 2021, driven by significantly higher commodity prices compared to 2020. The company reported a substantial net income of $8.1 billion, a significant turnaround from the $2.7 billion loss in the prior year. This robust performance was underpinned by higher sales volumes, largely due to strategic acquisitions, and improved operational efficiency across its global asset base. Key strategic moves in 2021 included the acquisitions of Concho Resources Inc. and Shell's Delaware Basin assets, significantly expanding ConocoPhillips' Permian Basin position. The company also continued its commitment to returning capital to shareholders through dividends and share repurchases, totaling $6.0 billion. Looking ahead, ConocoPhillips has outlined a 2022 capital budget of $7.2 billion, with a portion allocated to energy transition initiatives and emissions reduction, signaling a balanced approach to existing operations and future sustainability goals.
Financial Highlights
50 data points| Revenue | $34.59B |
| Cost of Revenue | $18.16B |
| Gross Profit | $16.43B |
| R&D Expenses | $62.00M |
| SG&A Expenses | $719.00M |
| Interest Expense | $887.00M |
| Net Income | $8.08B |
| EPS (Basic) | $6.09 |
| EPS (Diluted) | $6.07 |
| Shares Outstanding (Basic) | 1.32B |
| Shares Outstanding (Diluted) | 1.33B |
Key Highlights
- 1ConocoPhillips reported a net income of $8.1 billion in 2021, a significant increase from a net loss of $2.7 billion in 2020, reflecting improved market conditions and operational performance.
- 2The company completed two major acquisitions in 2021: Concho Resources Inc. for $13.1 billion and Shell's Delaware Basin assets for $8.7 billion, substantially strengthening its Permian Basin presence.
- 3Total production averaged 1,567 MBOED in 2021, a 39% increase from 2020, driven by acquisitions and the absence of production curtailments.
- 4ConocoPhillips returned $6.0 billion to shareholders in 2021 through dividends ($2.4 billion) and share repurchases ($3.6 billion), exceeding 30% of cash from operating activities.
- 5The company reaffirmed its commitment to ESG leadership, improving its GHG emissions intensity reduction targets and allocating $0.2 billion of its 2022 capital budget to energy transition efforts.
- 6ConocoPhillips ended 2021 with strong liquidity, holding $5.0 billion in cash and cash equivalents, with an available borrowing capacity of $6.0 billion.
- 7The 2022 capital budget is set at $7.2 billion, with production guidance of 1.8 MMBOED, indicating continued investment in development and strategic growth.