Chevron Profit Drops On Weak Oil Price, But Beats Forecasts

Reuters

HOUSTON, Oct 28 (Reuters) - Chevron Corp reported a drop in quarterly profit on Friday that still beat expectations as cost cuts in the company's U.S. oil production division helped mitigate some of the impact of low crude prices.

The company posted a third-quarter net income of $1.28 billion, or 68 cents per share, compared with $2.04 billion, or $1.09 per share, in the year-ago period.

Excluding one-time items, Chevron earned 49 cents per share during the quarter. By that measure, analysts expected earnings of 37 cents per share, according to Thomson Reuters I/B/E/S.

Earnings at Chevron's upstream arm, which produces oil and natural gas, jumped more than sevenfold as costs in the United States dropped and tax expenses fell.

Chevron's refining arm saw profit drop more than 50 percent as margins dropped both within and outside the United States.

Production fell about 1 percent to 2.5 million barrels of oil equivalent per day.

Shares of Chevron rose 0.6 percent to $100.51 in premarket trading.

(Reporting by Ernest Scheyder; Editing by Bernadette Baum)

Copyright 2016 Thomson Reuters. Click for Restrictions.

WHAT DO YOU THINK?

Click on the button below to add a comment.
Post a Comment
Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

Related Companies
Events  SUBSCRIBE TO OUR NEWSLETTER

Our Privacy Pledge
SUBSCRIBE



Most Popular Articles

From the Career Center
Jobs that may interest you
Oil and Gas job opportunity for "Big 4" Trained Auditors
Expertise: Accounting
Location: Houston, TX
 
Project Manager
Expertise: Project Management
Location: Houston, TX
 
Project Accountant
Expertise: Accounting
Location: Nashville, TN
 
search for more jobs

Brent Crude Oil : $53.89/BBL 1.67%
Light Crude Oil : $50.84/BBL 2.14%
Natural Gas : $3.7/MMBtu 2.77%
Updated in last 24 hours