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Mar 31
Occidental Q1 2025 Earnings Report
Occidental posted solid results with strong operational cash flow and reduced debt in Q1 2025.
Key Takeaways
Occidental delivered $860 million in adjusted income and $3.0 billion in operating cash flow before working capital. The company achieved mid-point production guidance and beat expectations in its OxyChem and Midstream segments.
Generated $3.0B in operating cash flow before working capital.
Delivered $860M in adjusted income with EPS of $0.87.
Midstream and OxyChem segments outperformed guidance.
Reduced 2025 capital guidance mid-point by $200M due to efficiency gains.
Occidental
Occidental
Occidental Revenue by Segment
Occidental Revenue by Geographic Location
Forward Guidance
Occidental adjusted 2025 capital and cost guidance downwards, citing operational efficiencies and optimization.
Positive Outlook
- Reduced capital guidance mid-point by $200M.
- Lowered domestic operating costs by $150M.
- Strong asset monetization with $1.3B in sales.
- Debt repayments of $2.3B year-to-date.
- Continued operational gains in Permian and Gulf of America.
Challenges Ahead
- OxyChem faced pricing pressure from lower caustic soda and PVC prices.
- Higher ethylene and natural gas costs impacted chemical margins.
- Midstream and marketing posted a $77M pre-tax loss due to derivatives.
- Decline in international oil & gas income versus Q4 2024.
- Macroeconomic and commodity pricing volatility remains a risk.