Chevron (CVX) Q3 2023 Earnings
Did CVX Beat Earnings? Q3 2023 Results
No. Chevron reported Q3 2023 earnings of $3.05 a share on Oct 27, 2023, missing the $3.33 consensus estimate by 8.4%. Revenue was $54.1B against a $47.8B estimate.
Chevron delivered a mixed third quarter, posting adjusted earnings per share of $3.05 against a consensus estimate of $3.33, missing by 8.41%, even as revenue of $54.08 billion cleared analyst expectations of $47.79 billion by 13.16%. The headline tension reflects the broader pressure facing the integrated oil major: revenue fell 14.8% year-over-year as sharply lower commodity prices squeezed both upstream and downstream margins, with U.S. liquids realizations sliding to $62.00 per barrel from $76.00 a year ago. Yet the quarter was far from quiet, defined most prominently by Chevron's <a href="#">announced $53 billion all-stock acquisition of Hess Corporation</a>, a transformative deal aimed at fortifying the company's long-term asset portfolio. The completed PDC Energy acquisition also added 179,000 oil-equivalent barrels per day, helping lift worldwide net production 4% year-over-year to 3,146 MBOED. Cash returned to shareholders reached $6.20 billion in the quarter, and Chevron signaled continued investment appetite, with capital expenditures climbing steeply as the company pursues both organic growth and strategic expansion.
- Lower upstream realizations drove year-over-year earnings decline
- Acquisition of PDC Energy added 179,000 oil-equivalent barrels per day and drove 20% U.S. production growth
- U.S. downstream margins improved year-over-year
- International downstream margins declined significantly
- Higher turnaround impacts and normal field declines reduced international production by 112,000 barrels per day
- One-time tax benefit of $560 million in Nigeria
“We delivered another quarter of solid financial results and strong cash returns to shareholders.”
Chevron CEO, on the earnings call
What Was Chevron's Outlook in Q3 2023?
Chevron announced a definitive agreement to acquire Hess Corporation, which is expected to strengthen its long-term performance by adding world-class assets and people. The company continues to invest to profitably grow both traditional and new energy businesses. Capex is trending significantly higher year-over-year, with Q3 2023 capex up over 50% from Q3 2022, reflecting organic growth investments and inorganic acquisitions.
CVX YoY Financials
| Metric | Q3 2023 | Q3 2022 | Year over year |
|---|---|---|---|
| Revenue | $54.1B | $63.5B | −14.9% |
| Operating Income | $8.7B | $12.0B | −27.2% |
| Net Income | $6.5B | $11.2B | −41.9% |
CVX Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.