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Analyzing Occidental Petroleum’s 2Q17 Revenues

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2Q17 revenues

For 2Q17, Occidental Petroleum (OXY) reported revenues of ~$3.6 billion, higher than the Wall Street analyst consensus for revenues of ~$3.0 billion. For 2Q17, OXY’s Oil and Gas business reported sales of ~$1.9 billion. About 51% OXY’s revenues came from oil and gas production sales.

Apart from its Upstream revenues, OXY’s Chemical business contributed ~$1.2 billion. Its Midstream and Marketing business contributed ~$270 million to OXY’s 2Q17 revenues. OXY also reported eliminations totaling $214 million.

Sequentially, Occidental Petroleum’s 2Q17 revenues are ~21% higher when compared with its 1Q17 revenues of ~$3.0 billion. On a year-over-year basis, OXY’s 2Q17 revenues are ~41% higher than its 2Q16 revenues of ~$2.6 billion.

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Despite a year-over-year decrease in Occidental Petroleum’s 2Q17 production and higher realized prices for crude oil (USO), natural gas liquids and natural gas (UNG) impacted OXY’s revenues positively. OXY’s worldwide crude oil realized price increased to $46.55 per barrel in 2Q17 when compared with $39.66 per barrel in 2Q16. We’ll study OXY’s production in the next part.

How OXY’s quarterly revenues are trending in 2017

For 1Q17, Occidental Petroleum reported revenues of ~$3.0 billion, higher than the Wall Street analyst consensus for revenues of ~$2.9 billion. On a year-over-year basis, OXY’s 1Q17 revenues were ~31% higher than its 1Q16 revenues of ~$2.3 billion. Sequentially, OXY’s 1Q17 revenues were ~5% higher than its 4Q16 revenues of ~$2.8 billion.

Peers

OXY’s peer Devon Energy (DVN) reported revenues of ~$3.2 billion, lower than the Wall Street analyst consensus for revenues of ~$3.3 billion. The Vanguard Energy ETF (VDE) invests in the broader energy market whereas the ETF ISE-Revere Natural Gas Index ETF (FCG) invests in natural gas producers.

Next, let’s take a look at Occidental Petroleum’s 2Q17 operational performance.

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