10-KPeriod: FY2025

OCCIDENTAL PETROLEUM CORP /DE/ Annual Report, Year Ended Dec 31, 2025

Filed February 18, 2026For Securities:OXYOXY-WT

Summary

Occidental Petroleum Corporation (OXY) reported its fiscal year 2025 results, highlighting the completion of its strategic divestiture of OxyChem for $9.7 billion, resulting in an estimated gain of $3.2 billion. This transaction simplifies the company's structure and allows for a renewed focus on its core oil and gas and midstream and marketing businesses. Financially, the company saw a decrease in average WTI and Brent oil prices compared to 2024, impacting revenue. Despite lower commodity prices, OXY maintained its production levels, particularly in the Permian Basin, and continued to invest in high-return oil and gas assets. The company also made significant progress on its debt reduction strategy, utilizing proceeds from divestitures to pay down a substantial portion of its debt, bringing the principal outstanding to approximately $15 billion. OXY remains committed to returning capital to shareholders through dividends and opportunistic share repurchases, with a strategic goal to achieve an investment-grade credit rating.

Financial Highlights

48 data points
Beta

Revenue

$21.59B

Net Income

$2.37B

11.0% Net Margin

EPS (Diluted)

$1.61

Total Assets

$84.19B

Cash & Equivalents

$1.97B

Free Cash Flow

$4.11B

Financial Statements
Beta
Revenue$21.59B
SG&A Expenses$986.00M
Net Income$2.37B
EPS (Basic)$1.65
EPS (Diluted)$1.61
Shares Outstanding (Basic)975.50M
Shares Outstanding (Diluted)1.00B

Key Highlights

  • 1Completed the sale of OxyChem for $9.7 billion in January 2026, generating an estimated $3.2 billion gain.
  • 2Average WTI oil prices decreased to $64.81/bbl in 2025 from $75.72/bbl in 2024; Brent prices decreased to $68.18/bbl from $79.79/bbl.
  • 3Total oil and gas production increased slightly year-over-year, driven by the CrownRock acquisition, with Permian Basin operations remaining a key focus.
  • 4Reduced total debt by approximately $5.4 billion using proceeds from the OxyChem sale, bringing the total principal debt outstanding to $15 billion.
  • 5Announced a quarterly common stock dividend of $0.26 per share, an 8% increase from the previous quarter.
  • 6Continued investment in capital projects, with $5.6 billion allocated to high-return oil and gas assets and $0.7 billion to the midstream and marketing segment, primarily for STRATOS.
  • 7The company's stock performance lagged behind its peer group and the S&P 500 over the five-year period ending December 31, 2025.

Frequently Asked Questions

Occidental Petroleum completed the sale of OxyChem for $9.7 billion in cash on January 2, 2026. This transaction resulted in an estimated gain of $3.2 billion, net of taxes and subject to post-closing adjustments. OxyChem's results are now reported as discontinued operations.

Occidental experienced lower average realized prices for oil in 2025 compared to 2024. WTI prices fell to $64.81/bbl from $75.72/bbl, and Brent prices dropped to $68.18/bbl from $79.79/bbl. This decrease in commodity prices impacted the company's net sales, although higher production volumes, particularly from the CrownRock acquisition, helped offset some of this effect.

Occidental's strategy prioritizes using excess cash flow and divestiture proceeds for deleveraging until principal debt reaches approximately $14.3 billion. Following debt reduction, available cash will be allocated to opportunistic share repurchases and further debt reduction. The company is committed to delivering a sustainable and growing dividend to shareholders.

Occidental's Oxy Low Carbon Ventures (OLCV) segment advanced its carbon management initiatives. Construction of the STRATOS central processing facilities was completed, and Class VI permits for CO2 sequestration were obtained. Operations are expected to commence in 2026, with initial capacity of up to 250,000 tons of CO2 per annum.