Occidental Petroleum (OXY) Loss Wider Than Expected In Q3

Occidental Petroleum Corporation (NYSE:OXY) reported third-quarter 2016 loss of 15 cents per share, wider than the Zacks Consensus Estimate of a loss of 13 cents. In the year-ago quarter, the company had posted earnings of 3 cents.

Total Revenue

Occidental Petroleum's total revenue came in at $2,733 million, marginally beating the Zacks Consensus Estimate of $2,714 million. Revenues, however, tanked 15.8% from $3,246 million a year ago primarily due to lower contributions from Oil and Gas (19.2%), Chemical (1.9%) and Midstream and Marketing (12.6%).

Quarterly Highlights

Occidental Petroleum’s average daily net oil, liquids and gas production volume decreased 12.2% year over year to 605,000 barrels of oil equivalents per day (Boe/d).

Realized Prices

Realized prices for worldwide crude oil decreased 13.2% year over year to $41.49 per barrel.

Worldwide realized NGL prices increased 2.1% to $14.99 per barrel from $14.68 per barrel a year ago.

Natural gas prices were up21.8% to $1.84 per thousand cubic feet.

Financial Position

As of Sep 30, 2016, Occidental Petroleum had cash and cash equivalents of $3,180 million, compared with $3,201 million as of Dec 31, 2015.

As of Sep 30, 2016, Occidental Petroleum had long-term debt (net of current portion) of $8,333 million, compared with $6,855 million as of Dec 31, 2015.

In the reported quarter, the company’s cash from operations was $656 million, down from $1,026 million in the prior-year period.

Occidental Petroleum’s total capital expenditure was $642 million in the quarter under review, down 47.3% from $1,219 million a year ago.

Peer Releases

ConocoPhillips (NYSE:COP) reported third-quarter 2016 adjusted loss of 66 cents per share, narrower than the Zacks Consensus Estimate of a loss of 69 cents.

Hess Corporation (NYSE:HES) reported adjusted third-quarter 2016 loss from continuing operations of $1.12 per share, narrower than the Zacks Consensus Estimate of a loss of $1.27.

Anadarko Petroleum Corporation (NYSE:APC) reported third-quarter 2016 adjusted loss of 89 cents per share, wider than the Zacks Consensus Estimate of a loss of 57 cents.

Zacks Rank

Occidental Petroleum currently has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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