01—Abstract
Summary
Summary of the 8-K filed April 9, 2025. Cited figures are marked; the original filing is the authoritative source.
Occidental Petroleum (OXY) filed an 8-K on April 9, 2025, under Item 2.02 (Results of Operations and Financial Condition) to furnish a preliminary "First Quarter 2025 Earnings Considerations" document (Exhibit 99.1).
The filing is not a full earnings release: management explicitly states the summary is partial, preliminary, not an estimate of Q1 2025 earnings, and may not reflect all adjustments or charges. Its purpose is to give investors a set of operating and market inputs that will shape Q1 results, namely share count and realized pricing. The key data points are average diluted shares outstanding of 982.9 million for Q1 2025 and realized prices for the quarter.
Worldwide realized oil was $71.07a/Bbl, which is roughly 100% of average WTI ($71.42) and 95% of average Brent ($74.89). Realized NGL was $25.94/Bbl, only about 36% of WTI, and worldwide realized natural gas was $2.30/Mcf, about 67% of the NYMEX average of $3.62/Mcf for domestic gas. The domestic/international split shows U.S. oil at $70.80 versus international at $72.59, and U.S. gas at $2.42 versus international at $1.90.
For investors, the release is primarily a pre-reporting disclosure of pricing and share count rather than a profitability signal. Because the company did not provide earnings, production volumes, or cash flow figures in this filing, the 8-K should be read alongside the forthcoming Q1 2025 earnings release and Form 10-Q. The filing also carries a standard forward-looking statements disclaimer citing risks including commodity price volatility, OPEC actions, debt obligations, and the company's ability to monetize assets and reduce debt.
02—Key points
Key Highlights
- Average diluted shares outstanding for Q1 2025 were 982.9 million, a key input for per-share earnings calculations.
- Worldwide realized oil price was $71.07/Bbl, essentially equal to the average WTI index of $71.42/Bbl and about 95% of the average Brent price of $74.89/Bbl.
- Worldwide realized NGL price was $25.94/Bbl, only about 36% of the average WTI benchmark, highlighting the wide discount on natural gas liquids.
- Worldwide realized natural gas price was $2.30/Mcf, roughly 67% of the NYMEX average of $3.62/Mcf for domestic gas.
- U.S. realized oil ($70.80/Bbl) trailed international realized oil ($72.59/Bbl), while U.S. natural gas ($2.42/Mcf) outpaced international gas ($1.90/Mcf).
- The disclosure is explicitly preliminary, excludes full financial results, and is not an estimate of Q1 2025 earnings, so it should not be treated as a profit forecast.
- The information is furnished rather than filed under Section 18 of the Exchange Act, limiting its incorporation into other filings.
03—Questions
Frequently Asked Questions
Does this 8-K report Occidental's first-quarter 2025 earnings?
No. The filing provides a summary of factors management believes will impact Q1 2025 results, not the earnings themselves. The company states the document is preliminary, not comprehensive, and not an estimate of Q1 2025 earnings. Full results would come in a separate earnings release and the Form 10-Q.
Why does the share count matter to investors?
Average diluted shares outstanding of 982.9 million is the denominator used to compute diluted earnings per share. Investors can use it with later net income figures to derive EPS, and it also reflects the effect of share count changes during the quarter.
How did realized prices compare with benchmark prices in Q1 2025?
Worldwide oil realized $71.07/Bbl, close to WTI's $71.42 and about 95% of Brent's $74.89. Natural gas realized $2.30/Mcf versus NYMEX's $3.62/Mcf (about 67%), and NGLs realized only about 36% of WTI, indicating a significant NGL discount.
Are there any charges or adjustments that could change these figures?
Yes. The company cautions that the summary may not account for all adjustments and charges needed to reflect industry conditions, and that it is subject to finalization of the first-quarter financial reporting process. Figures could change in the final results.
What risks does the filing highlight?
The forward-looking statements section cites commodity price volatility, OPEC and non-OPEC production decisions, indebtedness and the need to monetize assets or refinance debt, interest rates, regulatory and permitting changes, geopolitical conflicts, and operational and environmental risks. Investors are directed to the 2024 Form 10-K for a fuller discussion.
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