Summary
Occidental Petroleum Corporation (OXY) reported a significant turnaround in the first quarter of 2022, achieving a net income attributable to common stockholders of $4.68 billion, a stark contrast to a net loss of $346 million in the same period of the prior year. This dramatic improvement was driven by substantially higher oil, NGL, and natural gas prices, which boosted revenues to $8.35 billion from $5.29 billion year-over-year. The company also benefited from a substantial non-cash tax benefit of $2.6 billion related to a legal entity reorganization. Occidental actively managed its debt, repaying $3.3 billion in the quarter, demonstrating a commitment to deleveraging. Operationally, the Oil and Gas segment saw robust performance due to higher commodity prices, though sales volumes saw some decline due to factors like plant shutdowns and production sharing contracts. The Chemical segment also performed strongly, with increased realized pricing and margins. The company's 2022 priorities focus on maximizing cash flow, reducing financial leverage, and returning capital to shareholders through dividends and share repurchases, supported by strong operating cash flow and a healthy liquidity position.
Financial Highlights
48 data points| Revenue | $8.21B |
| Cost of Revenue | $818.00M |
| Gross Profit | $7.39B |
| SG&A Expenses | $196.00M |
| Operating Income | $4.88B |
| Net Income | $4.88B |
| EPS (Basic) | $4.96 |
| EPS (Diluted) | $4.65 |
| Shares Outstanding (Basic) | 936.70M |
| Shares Outstanding (Diluted) | 997.70M |
Key Highlights
- 1Net income attributable to common stockholders surged to $4.68 billion in Q1 2022 from a loss of $346 million in Q1 2021, driven by higher commodity prices.
- 2Total revenues increased significantly to $8.35 billion in Q1 2022 from $5.29 billion in Q1 2021.
- 3The company reported a substantial $2.6 billion non-cash tax benefit from a legal entity reorganization.
- 4Long-term debt was reduced by $3.3 billion in Q1 2022 through cash repayments.
- 5Operating cash flow from continuing operations was strong at $3.24 billion in Q1 2022, up from $788 million in Q1 2021.
- 6The company's Oil and Gas segment income improved dramatically to $2.9 billion from a loss of $62 million year-over-year.
- 7The Chemical segment showed strong performance with earnings of $671 million, up from $251 million in the prior year period.