Summary
Chevron Corporation reported significantly lower net income for the nine months ended September 30, 2015, compared to the same period in 2014, primarily driven by a substantial decline in oil and gas prices. Total revenues and other income dropped from $165.8 billion in the first nine months of 2014 to $109.2 billion in 2015. The Upstream segment experienced a notable decrease in earnings, moving from $14.2 billion in 2014 to a loss of $0.6 billion in 2015, largely due to lower crude oil and natural gas realizations and increased depreciation, reflecting impairments. Conversely, the Downstream segment demonstrated resilience, with earnings increasing from $2.8 billion to $6.6 billion, benefiting from higher refining margins and a significant gain from the sale of the company's interest in Caltex Australia Limited. Despite the challenging commodity price environment impacting upstream operations, Chevron maintained its commitment to shareholder returns by paying $6.0 billion in dividends during the first nine months of 2015. The company's liquidity remained solid, with cash and cash equivalents totaling $12.9 billion. However, total debt and capital lease obligations increased to $35.9 billion from $27.8 billion at year-end 2014, reflecting a shift in financing strategy in response to market conditions. The company is actively managing costs and capital expenditures in anticipation of sustained lower commodity prices, planning for further reductions in operating expenses and capital investments.
Financial Highlights
46 data points| Revenue | $34.31B |
| SG&A Expenses | $1.03B |
| Operating Expenses | $31.53B |
| Interest Expense | $0 |
| Net Income | $2.04B |
| EPS (Basic) | $1.09 |
| EPS (Diluted) | $1.09 |
| Shares Outstanding (Basic) | 1.87B |
| Shares Outstanding (Diluted) | 1.87B |
Key Highlights
- 1Net income attributable to Chevron Corporation for the nine months ended September 30, 2015, was $5.2 billion, a sharp decrease from $15.8 billion in the same period of 2014.
- 2Total revenues and other income decreased significantly to $109.2 billion for the nine months ended September 30, 2015, from $165.8 billion in 2014, driven by lower oil and gas prices.
- 3The Upstream segment reported a net loss of $600 million for the first nine months of 2015, a substantial decline from earnings of $14.2 billion in 2014, largely due to lower commodity prices and impairments.
- 4The Downstream segment showed improved performance, with earnings of $6.6 billion for the first nine months of 2015, up from $2.8 billion in 2014, aided by higher refining margins and an asset sale gain.
- 5Capital expenditures were reduced to $25.3 billion for the first nine months of 2015 from $29.0 billion in 2014, with a significant portion allocated to upstream projects.
- 6Dividends paid to common shareholders amounted to $6.0 billion for the first nine months of 2015.
- 7Total debt and capital lease obligations increased to $35.9 billion at September 30, 2015, from $27.8 billion at December 31, 2014.