OCCIDENTAL PETROLEUM Reports FY2023 Q2 Earnings Results as of June 30 2023
August 28, 2023
🌥️Earnings Overview
On August 2 2023, OCCIDENTAL PETROLEUM ($NYSE:OXY) announced its financial results for its second quarter of fiscal year 2023, as of June 30 2023. Total revenue for the period was USD 6.7 billion, representing a year-over-year decrease of 37.3%. Net income was reported at USD 0.86 billion, a year-over-year decrease of 77.1%.
Share Price
OCCIDENTAL PETROLEUM reported its FY2023 Q2 earnings results on Wednesday, as of June 30 2023. The company opened at $62.0 and closed at $61.5, a decrease of 1.9% from its last closing price of $62.6. This was a disappointment for investors since OCCIDENTAL PETROLEUM had been trading steadily upwards over the past few months. This was attributed to increased expenses in production and transportation, as well as higher operating costs.
Overall, OCCIDENTAL PETROLEUM’s FY2023 Q2 earnings results were mixed but did not meet investor expectations. The company is now focusing on increasing their production efficiency and cost-saving measures in order to remain competitive in the market. Investors will be looking to see if OCCIDENTAL PETROLEUM can make up for lost ground in the next quarter and beyond. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Occidental Petroleum. More…
| Total Revenues | Net Income | Net Margin |
| 31.54k | 5.83k | 21.6% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Occidental Petroleum. More…
| Operations | Investing | Financing |
| 14.18k | -6.45k | -8.6k |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Occidental Petroleum. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 71.2k | 42.09k | 32.91 |
Key Ratios Snapshot
Some of the financial key ratios for Occidental Petroleum are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 13.6% | 156.8% | 32.1% |
| FCF Margin | ROE | ROA |
| 27.4% | 21.6% | 8.9% |
Analysis
At GoodWhale, we analyzed the fundamentals of OCCIDENTAL PETROLEUM and on our Star Chart, we found that the company is strong in dividend, and medium in asset, growth, and profitability. OCCIDENTAL PETROLEUM is classified as a ‘rhino.’ This type of company has achieved moderate revenue or earnings growth. Investors who are looking for dividend income and moderate returns may be interested in this type of company. We also found that OCCIDENTAL PETROLEUM has a high health score of 8/10 considering its cashflows and debt, making it capable to safely ride out any crisis without the risk of bankruptcy. More…
Peers
Occidental Petroleum Corp’s main competitors are ConocoPhillips, Laredo Petroleum Inc, Murphy Oil Corp. All four companies are engaged in the exploration, production, and development of oil and gas properties. Occidental Petroleum Corp has a market capitalization of $53.74 billion, while ConocoPhillips has a market capitalization of $73.51 billion. Laredo Petroleum Inc has a market capitalization of $4.21 billion, and Murphy Oil Corp has a market capitalization of $10.21 billion.
– ConocoPhillips ($NYSE:COP)
ConocoPhillips is an American multinational energy corporation with operations in 17 countries. Headquartered in Houston, Texas, the company is engaged in the exploration, production, marketing, and transportation of crude oil and natural gas. As of December 31, 2019, ConocoPhillips had proved reserves of 8.4 billion barrels of oil equivalent. The company’s ROE for 2019 was 30.9%.
– Laredo Petroleum Inc ($NYSE:LPI)
Laredo Petroleum Inc is an independent oil and gas company with operations in the Permian Basin of West Texas. The company has a market capitalization of $1.03 billion as of 2022 and a return on equity of 75.14%. Laredo Petroleum is engaged in the exploration, development, and production of oil and gas properties. The company’s operations are primarily focused in the Permian Basin, which is one of the most active and prolific oil and gas producing regions in the United States. Laredo Petroleum has a diversified portfolio of properties and holds interests in approximately 1.6 million acres in the Permian Basin. The company’s production is currently focused on the Wolfcamp and Bone Spring plays in the Permian Basin.
– Murphy Oil Corp ($NYSE:MUR)
Murphy Oil Corporation is an American oil and gas company headquartered in Houston, Texas. The company was founded in 1950 and is engaged in the exploration, production, transportation, and sale of crude oil, natural gas, and natural gas liquids. Murphy Oil Corporation has operations in the United States, Canada, Malaysia, and the United Kingdom.
Murphy Oil Corporation has a market cap of $7.03 billion as of March 2022 and a return on equity of 15.81%. The company is engaged in the exploration, production, transportation, and sale of crude oil, natural gas, and natural gas liquids. Murphy Oil Corporation has operations in the United States, Canada, Malaysia, and the United Kingdom.
Summary
OCCIDENTAL PETROLEUM reported their earnings results for the second quarter of FY2023 on August 2 2023. Total revenue for the quarter was 6.7 billion, a 37.3% decrease year-over-year. Net income was 0.86 billion, down 77.1% from the same period last year. For investors, this news is concerning as it indicates the company’s declining financial performance.
Despite OCCIDENTAL PETROLEUM’s large size and long-term success, their lack of earnings growth and reduced profitability could be cause for concern for those looking to invest in the company. Further research into the company’s operations and financial health will be needed to determine if it is a wise decision to invest in the company at this time.
