Oil refining activities push Chevron to outperform market consensus
Chevron beats market expectations in a first-quarter result driven by oil refining and oil product transportation.
In the first quarter, the oil giant realized adjusted profits of USD 3.55 per share, against an analyst consensus pooled together by Bloomberg News of USD 3.38 per share.
Chevron profits from its upstream business – covering exploration, extraction and oil well production – amounted to USD 5.16bn which is a 26% dip from Q1 2022, but a mere fraction off the analyst consensus of USD 5.17bn.
Downstream business covers refining and oil product transportation and the standout item soared on higher margins, coming in at USD 1.80bn against projections of USD 1.56bn. In the same quarter last year, Chevron brought in USD 331m.
First quarter production output edged to 2,978 million barrels of oil equivalent per day (boepd) against estimates of 3,027 million boepd.
In turn, the oil major refined 890,000 oil barrels per day in the US against consensus of 856,886, while 628,000 barrels were refined each day in the rest of the world. The company had guided for 625,000 barrels per day.
Investors give a lukewarm reception to the result, sending the stock down by 0.2% in pre-trading.