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Mar 31
Hess Q1 2025 Earnings Report
Hess reported lower earnings and revenues compared to the same quarter last year, primarily due to weaker realized oil prices and lower sales volumes.
Key Takeaways
Hess posted adjusted earnings of $559 million and revenues of $2.94 billion in Q1 2025, down from the prior year. Net production held steady, while the company advanced key developments in Guyana.
Hess
Hess
Hess Revenue by Segment
Hess Revenue by Geographic Location
Forward Guidance
Hess expects higher production in Q2 2025, driven by Bakken and Gulf of America operations, while facing ongoing cost pressures.
Positive Outlook
- Yellowtail FPSO arrived in Guyana; production set to begin in Q3
- Q2 production expected to increase to 480,000–490,000 boepd
- Bakken output to rise to 210,000–215,000 boepd in Q2
- Midstream income remained steady with slight increase
- Cash flow from operations improved significantly YoY
Challenges Ahead
- Guyana production declined due to lower tax barrels
- Realized oil prices dropped from $80.06 to $71.22 per barrel
- Sales volumes decreased across crude, NGL, and gas
- Cash operating costs increased due to North Dakota maintenance
- Legal settlement charge of $129 million affected E&P earnings
Revenue & Expenses
Visualization of income flow from segment revenue to net income