OXY(US:OXY) ZACKSยท2025-08-07 14:55Core Insights - Occidental Petroleum Corporation (OXY) reported second-quarter 2025 earnings of 39 cents per share, exceeding the Zacks Consensus Estimate of 28 cents by 39.3%, but down 62.1% year over year [1][8] - Total revenues for OXY were $6.45 billion, missing the Zacks Consensus Estimate of $6.47 billion by 0.3% and reflecting a 6.2% decline year over year [2][8] Financial Performance - GAAP earnings were 26 cents per share compared to $1.03 in the same quarter last year, with a 13-cent impact from after-tax non-core adjustments [1] - Interest and debt expenses increased by 9.5% to $276 million from $252 million in the year-ago quarter [9] - Operating cash flow generated was $2.96 billion in Q2 2025, up from $2.39 billion in Q2 2024 [11] Revenue Breakdown - Oil and Gas revenues totaled $5 billion, down 8.4% year over year [3] - Chemical revenues amounted to $1.2 billion, down 3.7% year over year [3] - Midstream & Marketing revenues improved significantly to $426 million, up 51.1% year over year [3][8] Production and Sales - Total production volume was 1,400 thousand barrels of oil equivalent per day (Mboe/d), within the company's guidance of 1,377-1,417 Mboe/d [4] - Total sales volume increased by 10.9% year over year to 1,397 Mboe/d [4] Price Realization - Realized prices for crude oil decreased by 20.2% year over year to $63.76 per barrel [5] - Realized natural gas liquids prices fell by 2.4% year over year to $20.71 per barrel [5] - Natural gas prices surged by 146.3% year over year to $1.33 per thousand cubic feet [5] Operational Efficiency - The company reduced the mid-point of 2025 capital guidance by $100 million and international operating costs by $50 million due to operational efficiency [6] - In the first half of 2025, OXY reduced Delaware Basin drilling duration per well by 20% from 2024 levels, leading to a 14% reduction in per-well costs [6] Future Guidance - For Q3 2025, OXY expects production of 1,415-1,455 Mboe/d, with Permian Resources segment output anticipated at 779-799 Mboe/d [12] - Capital expenditure for 2025 is projected to be between $7.1 billion and $7.3 billion [13]