OXY(US:OXY) Zhi Tong Cai Jing·2025-05-08 00:01Core Viewpoint - Western Oil (OXY.US), favored by Warren Buffett, reported better-than-expected Q1 2025 earnings, with sales up 14% year-over-year to $6.84 billion and earnings per share (EPS) up 38% to $0.87, surpassing analyst expectations [1] Group 1: Financial Performance - Q1 sales reached $6.84 billion, slightly above the analyst average estimate of $6.83 billion [1] - EPS increased by 38% to $0.87, exceeding the analyst average estimate of $0.78, marking the fourth consecutive quarter of surpassing expectations [1] - Q1 production averaged 1.391 million barrels of oil equivalent per day, a 19% year-over-year increase [1] Group 2: Operational Efficiency - The company has focused on operational excellence and efficiency improvements, contributing to strong free cash flow performance [1] - Capital expenditure guidance for 2025 was lowered by $200 million, and domestic operating costs were reduced by $150 million due to ongoing efficiency improvements in the Permian Basin and the Gulf of Mexico [2] Group 3: Debt Management - Year-to-date, the company has repaid $2.3 billion in debt, with a total of $6.8 billion repaid since Q3 2024 [2] - All debt due in 2025 has been repaid, leaving only $284 million in debt due over the next 14 months [2] Group 4: Shareholder Insights - Berkshire Hathaway currently holds 28.2% of Western Oil's shares, valued at $12.4 billion, along with $8.5 billion in preferred shares and warrants to purchase an additional 83.9 million common shares for $5 billion [2] - Despite holding a significant stake, Buffett has expressed no intention to acquire more shares of the company [2]