GOLD 0.51% $1,391.7 gold futures

Chevron Posts a Wider-Than-Expected Loss in the First Quarter...

  1. 3,096 Posts.
    lightbulb Created with Sketch. 593
    Chevron Posts a Wider-Than-Expected Loss in the First Quarter
    • Producer posted a loss of $725 million for the first quarter
    • It was the first for the period in almost a quarter century
    Chevron Corp. reported a loss that was double analysts’ estimates amid an oil-market collapse that’s sparked currency crises, corporate bankruptcies, credit downgrades and hundreds of thousands of layoffs across the industry.

    Chevron swung to a loss of $725 million, or 39 cents a share, from a profit of $2.6 billion, or $1.37 a year earlier, the San Ramon, California-based company said in a statement on Friday. The result was worse than the average 19-cent loss expected by 19 analysts in a Bloomberg survey. Sales dropped by almost a third to $23.6 billion.

    The last time the world’s third-largest oil explorer by market value posted a first-quarter loss was 1992, when crude traded for about $18 a barrel. Chairman and Chief Executive Officer John Watson has cut one of every 10 jobs, lowered production targets and written off some discoveries that would cost too much to bring to fruition as shrinking cash flow prompted Standard & Poor’s and Moody’s Investors Service to cut Chevron’s credit ratings.


    "I would just view it as a one-quarter disappointment," Brian Youngberg, an analyst at Edward Jones in St. Louis who rates the shares a buy and owns none, said Friday in a phone interview. "It shows they need to continue to really focus on right-sizing the cost structure, which is a challenge across the industry right now."

    The shares fell 1.1 percent to $101.25 at 10:8 a.m. in New York.


    http://www.bloomberg.com/news/artic...-big-loss-as-rout-bites-into-oil-majors-gains
 
watchlist Created with Sketch. Add GOLD (COMEX) to my watchlist
 
arrow-down-2 Created with Sketch. arrow-down-2 Created with Sketch.