Chevron Corp. (CVX) - Get Report posted weaker-than-expected third quarter earnings Friday, following on from a near 50% profit slump from domestic rival Exxon Mobil Corp. XOM linked to a slump in global oil prices.
Chevron said earnings for the three months ending in September came in at $1.36 per share, down 6.6% from the same period last year and missing the Street consensus forecast by 9 cents per share. Worldwide net production rose 3% from last year to 2.96 million barrels per day equivalent, Chevron said, while total revenues fell nearly 18% to $36.12 billion.
"Third quarter earnings and cash flow were solid, but down from our very strong results of a year ago," said CEO Michael Wirth. "Lower crude oil and natural gas prices more than offset a 3 percent increase in net oil-equivalent production from last year's third quarter."
"Global demand for energy continues to grow, and we are committed to meet this demand with less environmental impact," he added.
Chevron shares slipped 1.2% lower following the earnings release to change hands at $115.06 each, a move that trims he stock's year-to-date gain to around 5.7%.
Exxon said earnings for the three months ending in September came in at 75 cents per share, down 48.6% from the same period last year and well ahead of the consensus forecast based on Exxon's earlier profit warning from last month. Net revenues, Exxon said, were pegged at $65 billion, a 15% decline from last year but still ahead of analysts' forecasts of a $64.8 billion tally.
Average Brent crude oil prices, the global benchmark, have fallen around 23.7% from last year, and retreated 6.6% over the third quarter, as demand fell amid slowing world economic growth and rising U.S. production rates, which hit a record 12.2 million barrels per day last month.