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Dec 31, 2024
Occidental Q4 2024 Earnings Report
Occidental reported a net loss of $297 million due to a significant environmental liability charge, despite strong operational performance.
Key Takeaways
Occidental delivered strong operational results with record production of 1,463 Mboed, exceeding guidance. However, a $1.1 billion environmental liability charge led to a net loss of $297 million. Adjusted EPS increased to $0.80, supported by solid oil and gas performance and cash flow. The company met its debt repayment target of $4.5 billion and announced $1.2 billion in divestitures.
Net loss of $297 million due to a $1.1 billion environmental liability charge.
Adjusted EPS increased to $0.80, up 8.1% YoY.
Production reached 1,463 Mboed, exceeding guidance.
Occidental met its $4.5 billion debt repayment goal.
Occidental
Occidental
Occidental Revenue by Segment
Occidental Revenue by Geographic Location
Forward Guidance
Occidental remains focused on production growth and financial discipline, while addressing the environmental liability impact.
Positive Outlook
- Expected continued strong production growth, especially in the Permian Basin.
- Ongoing cost efficiencies to maintain capital discipline.
- Potential cost recovery efforts for environmental liabilities.
- Continued shareholder returns through dividends and buybacks.
- Expansion in low-carbon initiatives for long-term sustainability.
Challenges Ahead
- Ongoing legal and financial uncertainty related to environmental liabilities.
- Fluctuations in oil and gas prices may impact revenue.
- Higher interest expenses due to debt refinancing.
- Potential delays in asset divestitures.
- Regulatory uncertainties in key operating regions.