Chevron Corporation 8-K
PositiveEarningsGuidance
Hess assets and growth in the Permian and Gulf of America lifted production; higher commodity prices and refining margins boosted earnings.
Filed 2026-07-31 06:16 ET
- 2.02 Results of Operations
- 9.01 Financial Statements and Exhibits
Summary
Q2 2026 results, with reported earnings of $12.1B as production, commodity prices and refining margins increased. Worldwide production rose 20% Y/Y, and Chevron reached $3B in annual run-rate structural cost reductions six months ahead of its target. The company also signed a 20-year power purchase agreement to supply a West Texas Microsoft data center.
Key Figures
| Metric | Q2 2026 | Q2 2025 | Y/Y |
|---|---|---|---|
| Sales and other operating revenues | $67.2B | $44.4B | 51.4% |
| Net income attributable to Chevron Corporation | $12.1B | $2.49B | 385% |
| Adjusted earnings (non-GAAP) | $12.0B | $3.05B | 292% |
| Diluted EPS | $6.11 | $1.45 | 321% |
| Adjusted diluted EPS (non-GAAP) | $6.06 | $1.77 | 242% |
| Cash flow from operations | $22.6B | $8.58B | 164% |
| Free cash flow (non-GAAP) | $18.1B | $4.86B | 272% |
- Earnings growth reflected reliable operations, higher commodity prices, higher refined-product margins and increased sales volumes; favorable timing effects contributed $1.4B. Reported earnings included a $230M asset-sale gain, $86M of pension settlement costs and $(49)M of foreign currency effects.
- Worldwide production increased mainly from Hess assets and growth in the Permian Basin and Gulf of America. U.S. production reached a record; U.S. refinery crude throughput was also a record 1.07M barrels per day, with utilization above 97%.
- Total debt fell $8.4B during the quarter to $37.1B at 6/30/2026; cash and cash equivalents were $8.53B. Chevron repurchased $3.12B of shares vs $2.74B a year earlier; shares outstanding, excluding 14M associated with the Benefit Plan Trust, were 1.962B at 6/30/2026 vs 1.980B at 12/31/2025. The declared quarterly dividend was $1.78 per share.
Guidance
- Structural cost reductions: $3B-$4B target by end of 2026; $3B in annual run-rate savings achieved since 2024.
Investor Takeaways
- Track progress toward the end-2026 structural cost-reduction target.
- The sale of Chevron’s 50% interest in Singapore Refining Company and other downstream assets in the region is expected to close in 2027.
The summary is written by an AI model reading the filing.
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