On February 18, 2025, Occidental Petroleum Corp (OXY, Financial) released its 8-K filing detailing its financial results for the fourth quarter of 2024. Occidental Petroleum, an independent exploration and production company with operations in the United States, Latin America, and the Middle East, reported net proved reserves of nearly 4 billion barrels of oil equivalent at the end of 2023. The company achieved a net production average of 1,234 thousand barrels of oil equivalent per day in 2023, with a balanced production ratio of approximately 50% oil and natural gas liquids and 50% natural gas.
Occidental Petroleum Corp (OXY, Financial) reported a net loss attributable to common stockholders of $297 million, or $0.32 per diluted share, for the fourth quarter of 2024. However, the adjusted income attributable to common stockholders was $792 million, or $0.80 per diluted share, surpassing the analyst estimate of $0.69 per share. This performance is significant as it highlights the company's ability to manage operational challenges and deliver strong financial results despite a net loss. The net loss was primarily due to after-tax items affecting comparability of $1.1 billion, mainly from a long-term environmental liability increase based on a recent federal court ruling, which Occidental has appealed.
Occidental's operational excellence was evident in its strong cash flow generation, with operating cash flow reaching $3.6 billion and operating cash flow before working capital at $3.1 billion. The company also achieved its near-term debt repayment target of $4.5 billion, a crucial step in its deleveraging strategy. Additionally, Occidental announced a 9% increase in its quarterly dividend to $0.24 per share, reflecting confidence in its financial stability and commitment to returning value to shareholders.
Occidental's total company production for the fourth quarter of 2024 was 1,463 thousand barrels of oil equivalent per day, exceeding the mid-point of guidance by 13 Mboed. The company's worldwide proved reserves increased to 4.6 billion barrels of oil equivalent, with a reserves replacement ratio of 230% all-in and 112% organic. These metrics are critical as they demonstrate Occidental's ability to sustain and grow its production capabilities, ensuring long-term viability in the competitive oil and gas industry.
| Metric | Q4 2024 | Q3 2024 |
|---|---|---|
| Net Loss Attributable to Common Stockholders | ($297 million) | N/A |
| Adjusted Income Attributable to Common Stockholders | $792 million | N/A |
| Operating Cash Flow | $3.6 billion | N/A |
| Free Cash Flow Before Working Capital | $1.4 billion | N/A |
| Total Company Production | 1,463 Mboed | N/A |
Occidental's performance in the fourth quarter of 2024 underscores its resilience and strategic focus on operational efficiency and financial discipline. The company's ability to exceed production guidance and achieve significant reserves replacement ratios positions it well for future growth. The increase in dividend payout further signals confidence in its financial health and commitment to shareholder returns.
Our teams continued to demonstrate industry-leading performance during the fourth quarter of 2024, outperforming guidance across all three segments and delivering record U.S. production while improving our capital efficiency," said President and Chief Executive Officer Vicki Hollub.
Overall, Occidental Petroleum Corp (OXY, Financial) has shown robust operational and financial performance, surpassing analyst expectations and reinforcing its position as a key player in the oil and gas sector. Investors and stakeholders will be keen to monitor how the company navigates its environmental liabilities and continues to leverage its operational strengths in the coming quarters.
Explore the complete 8-K earnings release (here) from Occidental Petroleum Corp for further details.
免责声明：投资有风险，本文并非投资建议，以上内容不应被视为任何金融产品的购买或出售要约、建议或邀请，作者或其他用户的任何相关讨论、评论或帖子也不应被视为此类内容。本文仅供一般参考，不考虑您的个人投资目标、财务状况或需求。TTM对信息的准确性和完整性不承担任何责任或保证，投资者应自行研究并在投资前寻求专业建议。