Chevron swings to 4Q profit on revenue boost, cost cuts
NEW YORK (AP) — Chevron Corp. swung to a fourth-quarter profit on a higher revenue and lower costs, but still fell short of Wall Street expectations.
Its shares fell almost 3 percent in morning trading Friday.
The San Ramon, California-based oil company earned $415 million, or 22 cents per share, versus a loss a year ago. Revenue rose 7.7 percent to $31.5 billion.
Costs fell 1.5 percent, mainly on lower oil exploration expenses. Persistently low oil and gas prices have prompted the company and its peers to cut costs. The low prices have also been hampering revenue growth.
The results missed Wall Street expectations, but Chevron does not adjust its reported results based on one-time events such as asset sales. The average estimate of 10 analysts surveyed by Zacks Investment Research was for earnings of 63 cents per share.
Three analysts surveyed by Zacks expected $32.9 billion in revenue.
For the year, the company reported a loss of $497 million, or 27 cents per share, swinging to a loss in the period. Revenue was reported as $114.47 billion.
Chevron shares fell $3.25, or 2.7 percent, to $113.30 in morning trading. Its stock has increased 36 percent in the last 12 months.
Elements of this story were generated by Automated Insights (http://automatedinsights.com/ap) using data from Zacks Investment Research. Access a Zacks stock report on CVX at https://www.zacks.com/ap/CVX
Keywords: Chevron, Earnings Report