Revenue Jumps at ConocoPhillips - TheStreet

Revenue Jumps at ConocoPhillips

The company's second-quarter earnings are well ahead of analysts' estimates.
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ConocoPhillips

(COP) - Get Report

said second-quarter earnings were well ahead of analysts' estimates, while sales more than doubled from last year thanks to the merger of the former Conoco and Phillips Petroleum.

The company said second-quarter earnings rose to $1.14 billion, or $1.66 a share, from $351 million, or 91 cents a share, for the same quarter in 2002, which was prior to the ConocoPhillips merger.

Revenue climbed to $25.6 billion from $10.5 billion a year ago. Income from continuing operations for the second quarter was $1.08 billion, or $1.58 a share, compared with $312 million, or 81 cents a share, for the same period last year.

While the results of the second quarter of 2003 show the operations of the combined company, the second quarter of 2002 reflects only Phillips' results, restated for discontinued operations.

During the second quarter, ConocoPhillips recorded charges of $135 million for merger-related expenses and contingency accruals and $25 million related to marketing lease-loss accruals. The company also took a gain of $87 million from changes in international tax laws and $55 million related to the Bayu-Undan project in the Timor Sea.

The company's exploration and production business posted income from continuing operations in the second quarter of $1.07 billion, down from $1.14 billion in the first quarter and up from $339 million in the second quarter of 2002.

Refining and marketing income from continuing operations was $301 million, vs. $371 million in the previous quarter and $68 million in the year-ago second quarter.

Analysts polled by Thomson First Call expected earnings of $1.43 a share from ConocoPhillips in the second quarter.