Occidental Petroleum (OXY, Financial) just dropped its Q3 2024 numbers, and let's just say the energy giant isn't slowing down. The company pulled in $964 million in net income and a whopping $3.8 billion in operating cash flow, smashing guidance across the board. Production hit 1,412 Mboed, exceeding expectations by 22 Mboed, with the Permian Basin leading the charge. Meanwhile, OxyChem and the midstream and marketing segments crushed it too, delivering $304 million and $631 million in pre-tax income, respectively. They knocked $4 billion off their debt, hitting 90% of their short-term reduction goal. That's what you call making moves.
CEO Vicki Hollub didn't mince words: “Strong operational performance across all segments has resulted in our highest quarterly operating cash flow this year.” Still, it wasn't all sunshine. Commodity prices took a hit, with crude oil dropping 6% to $75.33 per barrel and domestic gas prices nosediving 26% to $0.40 per Mcf. But despite these headwinds, Occidental proved its resilience, balancing disciplined cost management with solid production gains.
What's next? Investors are watching how Occidental capitalizes on its carbon management expertise and keeps delivering in this volatile market. With low-carbon tech initiatives gaining traction and the energy transition in full swing, Occidental's got a unique shot to stand out. For now, though, it's all about staying nimble and keeping that debt momentum rolling. Keep your eyes on this one—it's shaping up to be a big story heading into 2025
