ConocoPhillips(COP) - 2024 Q2 - Quarterly Results

Financial Performance - Total revenues for Q2 2024 were $12,884 million, a decrease of 13.4% from Q1 2024's $15,517 million[1] - Net income for Q2 2024 was $2,232 million, down 23.6% from Q1 2024's $2,920 million[1] - Basic earnings per share for Q2 2024 were $1.84, compared to $2.38 in Q1 2024, reflecting a decline of 22.7%[1] - Total costs and expenses for Q2 2024 were $9,522 million, a decrease of 13.1% from Q1 2024's $10,955 million[1] - The company reported a year-to-date net income of $4,880 million for 2024, compared to $10,957 million for the full year 2023[1] - Consolidated earnings for Q3 2023 reached $2,798 million, a decrease of 4.3% compared to Q2 2023[3] - Adjusted earnings for the Lower 48 segment in Q3 2023 were $1,681 million, reflecting a 10.5% decrease from Q2 2023[3] - The total adjusted earnings for the consolidated company in Q3 2023 were $2,601 million, down from $2,732 million in Q2 2023[3] - Net income for Q3 2023 was $2,798 million, a decrease from $2,920 million in Q1 2023 and an increase from $2,232 million in Q2 2023[7] - The company reported a net income of $300 million, reflecting a 10% increase compared to the same quarter last year[14] Tax and Expenses - The effective income tax rate for Q2 2024 was 33.6%, compared to 36.0% in Q1 2024[2] - The effective income tax rate for the Lower 48 segment was 22.3% in Q3 2023, slightly up from 22.2% in Q2 2023[4] - The effective income tax rate for the consolidated company was 36.0% in Q3 2023, consistent with Q2 2023[4] - Interest and debt expense for Q2 2024 was $179 million, down from $188 million in Q1 2024, a decrease of 4.8%[1] - Corporate and other earnings showed a loss of $333 million in the 3rd quarter of 2023, contributing to a full-year loss of $821 million[12] - Net interest expense for the 3rd quarter of 2023 was $91 million, consistent with the previous quarter[12] Assets and Liabilities - Total current assets for Q3 2023 were $17,181 million, a 20.5% increase from Q2 2023's $13,501 million[6] - Total liabilities reached $45,906 million in Q3 2023, a 9.5% increase compared to $42,074 million in Q2 2023[6] - Total equity for Q3 2023 was $47,745 million, a slight increase from $47,531 million in Q2 2023[6] - The company reported a total debt of $19,063 million in the 3rd quarter of 2023, an increase from $16,444 million in the 2nd quarter[12] - The debt-to-capital ratio increased to 29% in the 3rd quarter of 2023, compared to 26% in the 1st and 2nd quarters[12] Production and Operations - Total production for Q3 2023 was 1,806 MBOED, with a year-to-date average of 1,923 MBOED[8] - Consolidated crude oil production in Q3 2023 was 914 MBD, with a year-to-date average of 934 MBD[8] - Natural gas production for Q3 2023 reached 3,141 MMCFD, with a year-to-date average of 3,336 MMCFD[8] - The company expects production to increase to 1,945 MBOED in Q4 2024[8] - Lower 48 crude oil production averaged 576 MBD for the full year 2023, with a decline to 553 MBD in Q1 2024[10] - The company anticipates a production increase in the Lower 48 region, projecting 575 MBD for Q2 2024[10] Market and Growth Initiatives - The company expects continued market expansion and new product development initiatives in the upcoming quarters[3] - Market expansion efforts have led to a 10% increase in market share in the Asia-Pacific region[14] - The company completed a strategic acquisition of a competitor for $1 billion, expected to enhance its product offerings and market presence[14] - The company plans to enter two new international markets by the end of the fiscal year, targeting a potential revenue increase of $300 million[14] Technology and Innovation - The company is investing $200 million in new technology development aimed at improving production efficiency by 25%[14] - The company’s technology expenses included a loss of $14 million in the 3rd quarter of 2023, reflecting ongoing investments in new technologies[12] Sales and Revenue Growth - Sales and other operating revenues for Q2 2024 were $12,351 million, down from $14,811 million in Q1 2024, a decline of 16.6%[1] - New product launches contributed to a 30% increase in sales, with the latest product line generating $500 million in revenue[14] - The company provided a revenue guidance of $2 billion for the next quarter, indicating a 15% growth compared to the previous quarter[14] Cost Management - Cost reduction strategies implemented resulted in a 12% decrease in operational expenses[14]