ConocoPhillips Q4 2025 net income drops 39% to $1.4bn

Core Insights - ConocoPhillips reported a net income of $1.4 billion for Q4 2025, a 39% decrease from $2.3 billion in Q4 2024, with adjusted earnings down 46% to $1.3 billion [1][2] - For the full year 2025, net income was $8 billion, a 13% decline from $9.2 billion in 2024, with adjusted earnings falling 16% to $7.7 billion [2][3] Financial Performance - Q4 2025 earnings per share were $1.17, down from $1.90 in Q4 2024, while adjusted earnings per share were $1.02, compared to $1.98 in the previous year [1] - Full-year earnings per share for 2025 were $6.35, down from $7.81 in 2024, with adjusted earnings per share at $6.16, compared to $7.79 in 2024 [2] Production and Pricing - ConocoPhillips achieved a production level of 2.38 million barrels of oil equivalent per day (mboe/d) in 2025, an increase of 388 mboe/d from the previous year [3] - The average realized price for the year was $47.01 per barrel of oil equivalent (boe), down from $54.83/boe in 2024, while Q4 2025's average realized price was $42.46/boe, significantly lower than $52.37/boe in Q4 2024 [4][5] Financial Activities - The company generated $19.8 billion from operating activities in 2025, with cash from operations reaching $19.9 billion [4] - ConocoPhillips distributed $9 billion to shareholders in 2025, including $5 billion in share repurchases and $4 billion in ordinary dividends [4] Strategic Developments - The integration of Marathon Oil was completed, with projected synergy capture exceeding $1 billion by 2025 [5] - ConocoPhillips aims to achieve over $1 billion in cost reduction and margin enhancement by the end of 2026, while advancing key international projects [6] Leadership Commentary - The chairman and CEO highlighted the company's strong performance in 2025, achieving capital return targets and growing dividends at a top-quartile S&P 500 rate [7]