Summary
Occidental Petroleum Corporation (OXY) reported its first-quarter 2024 financial results, showing a decrease in net sales and net income compared to the prior year, largely driven by lower commodity prices and reduced production volumes, particularly in the oil and gas segment. While revenue declined, the company generated positive operating cash flow, demonstrating continued operational strength. The company's strategic priorities for 2024 include maintaining its production base, delivering a sustainable dividend, enhancing its asset base with new investments, advancing low-carbon initiatives, reducing leverage, and completing the significant CrownRock acquisition. The CrownRock acquisition, a key focus for the company, is progressing with regulatory reviews underway, and Occidental has secured committed financing for the transaction. Management expects the acquisition to be immediately cash flow accretive upon closing.
Financial Highlights
47 data points| Revenue | $5.97B |
| Cost of Revenue | $828.00M |
| Gross Profit | $5.15B |
| SG&A Expenses | $259.00M |
| Net Income | $888.00M |
| EPS (Basic) | $0.81 |
| EPS (Diluted) | $0.75 |
| Shares Outstanding (Basic) | 884.10M |
| Shares Outstanding (Diluted) | 948.60M |
Key Highlights
- 1Net sales decreased to $5.975 billion in Q1 2024 from $7.225 billion in Q1 2023, primarily due to lower commodity prices and volumes in the oil and gas segment.
- 2Net income attributable to common stockholders declined to $718 million ($0.75 per diluted share) in Q1 2024, down from $983 million ($1.00 per diluted share) in Q1 2023.
- 3Operating cash flow remained robust at $2.0 billion for Q1 2024, although lower than $2.9 billion in Q1 2023, reflecting the impact of market conditions.
- 4Capital expenditures were $1.8 billion for Q1 2024, an increase from $1.5 billion in Q1 2023, reflecting investments in property, plant, and equipment, including costs related to the planned CrownRock acquisition.
- 5The company declared and paid $197 million in common stock dividends during Q1 2024, maintaining its commitment to shareholder returns.
- 6The planned acquisition of CrownRock is progressing, with regulatory reviews ongoing and fully committed financing secured, aiming to strengthen Occidental's Permian Basin portfolio.
- 7Occidental continues to advance its low-carbon ventures, contributing to its long-term strategy alongside its core energy and chemical businesses.