Chevron Corporation
11/06/2025 | Press release | Distributed by Public on 11/06/2025 10:30
Quarterly Report for Quarter Ending September 30, 2025 (Form 10-Q)
Management's Discussion and Analysis of Financial Condition and Results of Operations
Third Quarter 2025 Compared with Third Quarter 2024
Key Financial Results
|
Earnings by Business Segment
|
|||||||||||||||||||||||
|
Three Months Ended September 30 |
Nine Months Ended September 30 |
||||||||||||||||||||||
| 2025 | 2024 | 2025 | 2024 | ||||||||||||||||||||
| (Millions of dollars) | (Millions of dollars) | ||||||||||||||||||||||
| Upstream | |||||||||||||||||||||||
| United States | $ | 1,282 | $ | 1,946 | $ | 4,558 | $ | 6,182 | |||||||||||||||
| International | 2,020 | 2,643 | 5,229 | 8,116 | |||||||||||||||||||
| Total Upstream | 3,302 | 4,589 | 9,787 | 14,298 | |||||||||||||||||||
| Downstream | |||||||||||||||||||||||
| United States | 638 | 146 | 1,145 | 879 | |||||||||||||||||||
| International | 499 | 449 | 1,054 | 1,096 | |||||||||||||||||||
| Total Downstream | 1,137 | 595 | 2,199 | 1,975 | |||||||||||||||||||
| Total Segment Earnings | 4,439 | 5,184 | 11,986 | 16,273 | |||||||||||||||||||
| All Other | (900) | (697) | (2,457) | (1,851) | |||||||||||||||||||
|
Net Income (Loss) Attributable to Chevron Corporation(1) (2)
|
$ | 3,539 | $ | 4,487 | $ | 9,529 | $ | 14,422 | |||||||||||||||
|
(1) Includes foreign currency effects.
|
$ | 147 | $ | (44) | $ | (339) | $ | (202) | |||||||||||||||
|
(2) Income (loss) net of tax; also referred to as "earnings" in the discussions that follow.
|
|||||||||||||||||||||||
Net income attributable to Chevron Corporationfor third quarter 2025 was $3.5 billion ($1.82 per share - diluted), compared with $4.5 billion ($2.48 per share - diluted) in third quarter 2024. The net income attributable to Chevron Corporation for the first nine months of 2025 was $9.5 billion ($5.27 per share -diluted), compared with $14.4 billion ($7.88 per share - diluted) in the first nine months of 2024.
Upstreamearnings in third quarter 2025 were $3.3 billion compared with $4.6 billion in the corresponding 2024 period. The decrease was mainly due to lower liquids realizations and lower affiliate earnings. Earnings for the first nine months of 2025 were $9.8 billion compared with $14.3 billion a year earlier. The decrease was mainly due to lower liquids realizations and lower affiliate earnings.
Downstreamearnings in third quarter 2025 were $1.1 billion compared with $595 million in the corresponding 2024 period. The increase was mainly due to higher margins on refined product sales and lower operating expenses, partly offset by lower earnings from the 50 percent-owned Chevron Phillips Chemical Company. Earnings for the first nine months of 2025 were $2.2 billion compared with $2.0 billion a year earlier. The increase was mainly due to higher margins on refined product sales and lower operating expenses, partly offset by lower earnings from the 50 percent-owned Chevron Phillips Chemical Company.
Refer to "Results of Operations"for additional discussion of results by business segment and "All Other" activities for the third quarter and first nine months of 2025 versus the same period in 2024.
Business Environment and Outlook
Chevron Corporation3is a global energy company with direct and indirect subsidiaries and affiliates that conduct substantial business activities in the following countries: Angola, Argentina, Australia, Bangladesh, Brazil, Canada, China, Egypt, Equatorial Guinea, Guyana, Israel, Kazakhstan, Mexico, Nigeria, the Partitioned Zone between Saudi Arabia and Kuwait, the Philippines, Singapore, South Korea, Thailand, the United Kingdom, the United States, and Venezuela.
The company's objective is to safely deliver higher returns, lower carbon and superior shareholder value in any business environment. Earnings of the company depend mostly on the profitability of its upstream business segment. The most significant factor affecting the results of operations for the upstream segment is the price of crude oil, which is determined in global markets outside of the company's control. In the company's downstream business, crude oil is the largest cost component of refined products. Periods of sustained lower commodity prices could result in the impairment or write-off of specific assets in future periods and cause the company to adjust operating expenses, including employee reductions, and capital expenditures, along with other measures intended to improve financial performance.
Some governments, companies, communities and other stakeholders are supporting efforts to address climate change. International initiatives and national, regional and state legislation and regulations that aim to directly or indirectly reduce GHG emissions are in various stages of design, adoption and implementation. These policies and programs can change the amount of energy consumed, the rate of energy-demand growth, the energy mix and the relative economics of one fuel versus another. Implementation of jurisdiction-specific policies and programs can be dependent on, and can affect the pace of, technological advancements; the granting of necessary permits by governing authorities; the availability and acceptability of cost-effective, verifiable carbon credits; the availability of suppliers that can meet our sustainability-related standards; evolving regulatory or other requirements affecting ESG standards or disclosures and evolving standards and regulations for tracking, reporting, marketing and advertising relating to emissions and emissions reductions and removals.
Significant uncertainty remains as to the pace and extent to which the transition to a lower carbon future will progress, which is dependent, in part, on further advancements and changes in policy, technology, and customer and consumer preferences. The level of expenditure required to comply with new or potential climate change-related laws and regulations and the amount of additional investments needed in new or existing technology or facilities, such as carbon capture and storage, is difficult to predict with certainty and is expected to vary depending on the actual laws and regulations enacted, available technology options, customer and consumer preferences, the company's activities and market conditions. Although the future is uncertain, many published outlooks conclude that fossil fuels will remain a significant part of an energy system that increasingly incorporates lower carbon sources of supply for many years to come.
Chevron supports a global approach to governments addressing climate change and continues to take actions to help lower the carbon intensity of its operations while continuing to meet the demand for energy. Chevron believes that broad, market-based mechanisms are the most efficient approach to addressing GHG emissions reductions. Chevron integrates climate change-related issues and the regulatory and other responses to these issues into its strategy and planning, capital investment reviews and risk management tools and processes, where it believes they are applicable. They are also factored into the company's long-range supply, demand and energy price forecasts. These forecasts reflect estimates of long-range effects from climate change-related policy actions, such as electric vehicle and renewable fuel penetration, energy efficiency standards and demand response to oil and natural gas prices.
The company will continue to develop oil and gas resources to meet customers' and consumers' demand for energy. At the same time, Chevron believes that the future of energy is lower carbon. The company will
3 Incorporated in Delaware in 1926 as Standard Oil Company of California, the company adopted the name Chevron Corporation in 1984 and ChevronTexaco Corporation in 2001. In 2005, ChevronTexaco Corporation changed its name to Chevron Corporation. As used in this report, the term "Chevron" and such terms as "the company," "the corporation," "our," "we," "us" and "its" may refer to Chevron Corporation, one or more of its consolidated subsidiaries, or all of them taken as a whole, but unless stated otherwise they do not include "affiliates" of Chevron - i.e., those companies generally owned 50 percent or less. All of these terms are used for convenience only and are not intended as a precise description of any of the separate companies, each of which manages its own affairs.
continue to maintain flexibility in its portfolio to be responsive to changes in policy, technology, and customer and consumer preferences. Chevron aims to grow its oil and gas business, lower the carbon intensity of its operations and grow new energies businesses. To grow its new energies businesses, Chevron plans to leverage the company's capabilities, assets, partnerships and customer relationships. The company's oil and gas business may increase or decrease depending upon market, economic, legislative and regulatory forces, among other factors.
Chevron's previously disclosed 2050 net zero upstream aspiration and GHG intensity targets through 2028 can be found on pages 36 through 37 of the company's 2024 Annual Report on Form 10-K. In 2021, the company provided guidance on planned capital spend through 2028 to advance its lower carbon ambitions. From September 2021 through September 30, 2025, Chevron has spent approximately $8.2 billion on these efforts. Due to evolving market conditions, the company has determined that it will no longer provide forward-looking guidance with respect to planned lower carbon capital spend.
Chevron regularly evaluates its aspirations, targets and goals and expects to change or eliminate some of its aspirations, targets and goals for various reasons, including market conditions; its strategy or portfolio; and financial, operational, policy, reputational, legal and other factors. The company's ability to achieve any aspiration, target or goal is subject to numerous risks and contingencies, many of which are outside of Chevron's control and persist. Examples of such risks and contingencies include: (1) sufficient and substantial advances in technology, including progress of commercially viable technologies and low- or non-carbon-based energy sources; (2) laws, governmental regulation, policies, and other enabling actions, including those regarding subsidies, tax and other incentives as well as the granting of necessary permits by governing authorities; (3) the availability and acceptability of cost-effective, verifiable carbon credits; (4) the availability of suppliers that can meet our sustainability-related standards; (5) evolving regulatory requirements, including changes to IPCC's Global Warming Potentials and the U.S. EPA Greenhouse Gas Reporting Program, affecting ESG standards or disclosures; (6) evolving standards for tracking and reporting on emissions and emissions reductions and removals; (7) customers' and consumers' preferences and use of the company's products or substitute products; (8) actions taken by the company's competitors in response to legislation and regulations; and (9) successful negotiations for carbon capture and storage and nature-based solutions with customers, suppliers, partners and governments. Please refer to the risk factors regarding our strategy, aspirations, targets, and disclosures related to environmental, social, and governance matters included on pages 23 through 27 of the company's 2024 Annual Report on Form 10-K.
Income Taxes The effective tax rate for the company can change substantially during periods of significant earnings volatility. This is due to the mix effects that are impacted by both the absolute level of earnings or losses and whether they arise in higher or lower tax rate jurisdictions. As a result, a decline or increase in the effective income tax rate in one period may not be indicative of expected results in future periods. Additional information related to the company's effective income tax rate is included in Note 10 Income Taxesto the Consolidated Financial Statements.
On July 4, 2025, the United States enacted the One Big Beautiful Bill Act (the "OBBBA"), which made significant changes to U.S. tax law. We do not expect that the tax provisions in the OBBBA will have a material impact on our results of operations, but we expect that the OBBBA will have a positive impact on Chevron's cash flows.
Supply Chain and Inflation Impacts The company is actively managing its contracting, procurement and supply chain activities to effectively manage costs and facilitate supply chain resiliency and continuity in support of the company's operational goals. Third party costs for capital and operating expenses can be subject to external factors beyond the company's control including, but not limited to: severe weather or civil unrest, delays in construction, global and local supply chain distribution issues, inflation, tariffs or other taxes imposed on goods or services, and market-based prices charged by the industry's material and service providers. Chevron utilizes contracts with various pricing mechanisms, which may result in a lag before the company's costs reflect changes in market trends.
Trends in the costs of goods and services vary by spend category. Chevron has applied inflation mitigation strategies to temper cost increases, including fixed price and index-based contracts. Lead times for key capital
equipment remain long due to strong demand levels. Chevron has addressed equipment cost increases and long lead times by partnering with suppliers on demand planning, volume commitments, standardization, and scope optimization. The offshore market remains competitive for vessels and subsea equipment. In the United States, cost pressures for onshore drilling and completion equipment continue to ease.
In 2025, the U.S. announced the imposition of various changing tariffs on imports from our trade partners. The tariff impact in 2025 is currently estimated at less than one percent of the company's third party spend and is not expected to be material to the company's financial results. The company continues to work with partners across its supply chain to identify alternative sourcing options and mitigate the impact of the tariffs. However, there is significant uncertainty as to the duration and magnitude of these and any future tariffs that may be imposed and, accordingly, as to the resultant impacts these tariffs could have on the company and its suppliers and the company's future results of operations.
Acquisition and Disposition of Assets The company continually evaluates opportunities to dispose of assets that are not expected to provide sufficient long-term value and to acquire assets or operations complementary to its asset base to help augment the company's financial performance and value growth. The company is targeting $10-15 billion of asset sales over the five-year period ending in 2028. Asset dispositions and restructurings may result in significant gains or losses in future periods. In addition, some assets are sold along with their related liabilities, such as abandonment and decommissioning obligations. In certain instances, such transferred obligations have reverted, and may in the future revert, to the company and result in losses that could be significant. The company has historically recognized losses and could have additional significant obligations revert, primarily in the United States, but is not currently aware of any such obligations that are reasonably possible to be material. Refer to Note 12 Other Contingencies and Commitmentsfor additional information.
Other Impacts The company closely monitors developments in the financial and credit markets, the level of worldwide economic activity, and the implications for the company of movements in commodity prices and downstream margins. Management takes these developments into account in the conduct of daily operations and for business planning.
The company has announced plans to achieve $2-3 billion in structural cost reductions by the end of 2026. These cost savings will largely come from optimizing the portfolio, leveraging technology to enhance productivity, and changing how and where work is performed, including expanded use of global capability centers. In relation to these efforts, the company recognized a restructuring charge in fourth quarter 2024.
Comments related to earnings trends for the company's major business areas are as follows:
Upstream Earnings for the upstream segment are closely aligned with industry prices for crude oil, natural gas and natural gas liquids (NGLs). These prices are subject to external factors over which the company has no control, including product demand connected with global economic conditions, industry production and inventory levels, technology advancements, production quotas or other actions imposed by OPEC+ countries, actions of regulators, weather-related damage and disruptions, competing fuel prices, natural and human causes beyond the company's control, and regional supply interruptions or fears thereof that may be caused by military conflicts, civil unrest or political uncertainty. Any of these factors could also inhibit the company's production capacity in an affected region. The company closely monitors developments in the countries in which it operates and holds investments and seeks to manage risks in operating its facilities and businesses.
The longer-term trend in earnings for the upstream segment is also a function of other factors, including the company's ability to efficiently find, acquire and produce crude oil, natural gas and NGLs, changes in fiscal terms of contracts, the pace of energy transition, and changes in tax, environmental and other applicable laws and regulations.
Chevron has interests in Venezuelan assets operated by independent affiliates. Chevron has been conducting limited activities in Venezuela consistent with the authorization issued by the United States government. The financial results for Chevron's business in Venezuela have been recorded as non-equity investments since 2020, where income is only recognized when cash is received, and production and reserves are not included
in the company's results. Crude oil liftings in Venezuela started in first quarter 2023, which positively impacted the company's results. Between March 4, 2025, and July 21, 2025, Chevron activities were restricted under applicable general licenses. During this time and since July 21, 2025, Chevron has maintained its presence in Venezuela consistent with the U.S. government sanctions policy, and pursuant to this policy, expects to continue delivering a limited amount of crude oil to the U.S. from these affiliates during 2025. Further, current geopolitical tensions relating to Venezuela could have an impact on the company's operations in Venezuela and, as a result, impact the company's future results of operations.
Chevron maintains an equity interest in the Caspian Pipeline Consortium (CPC) that provides a primary export route for Tengiz field production in Kazakhstan. An adverse event or incident affecting CPC operations, which CPC has experienced from time to time, could have a negative impact on the Tengiz field and the company's results of operations and financial position. The financial impacts of such risks remain uncertain.
Governments (including Russia) have imposed and may impose additional sanctions and other trade laws, restrictions and regulations that could lead to disruption in our ability to produce, transport, and/or export crude in the region around Russia.
Chevron holds a 39.7 percent interest in the Leviathan field and a 25 percent interest in the Tamar field in Israel. The conflict between Israel and various regional adversaries has not significantly impacted the company's operations, with the company continuing to maintain safe and reliable operations while meeting its contractual commitments. The company continues to monitor the potential for further conflict in the region, and any future impacts on the company's results of operations and financial condition remain uncertain.
Sources: Platts (crude) & Energy Intelligence (natural gas)
The chart above shows the trend in benchmark prices for Brent crude oil, West Texas Intermediate (WTI) crude oil, and U.S. Henry Hub natural gas. The Brent price averaged $71 per barrel for the first nine months of 2025, compared with $83 per barrel during the first nine months of 2024, and ended October at about $65 per barrel. For every dollar change in Brent crude oil prices, the company's annual after-tax earnings and cash flow sensitivity is approximately $450 million. The WTI price averaged $67 per barrel for the first nine months of 2025, compared to $78 per barrel in the first nine months of 2024, and ended October at about $61 per barrel. Crude oil prices weakened slightly in the third quarter as OPEC+ countries increased production, while production from non-OPEC+ countries also continued to grow.
The U.S. Henry Hub natural gas price averaged $3.49 per thousand cubic feet (MCF) for the first nine months of 2025, compared with $2.20 per MCF during the first nine months of 2024, and ended October at about $3.44 per MCF. In the U.S., mild summer weather and strong production resulted in natural gas storage levels remaining at the upper end of the five-year range during third quarter 2025, leading to lower U.S. Henry Hub prices relative to second quarter 2025.
Outside the United States, prices for natural gas also depend on regional supply and demand, regulatory circumstances and infrastructure conditions in local markets. The company's long-term contract prices for liquified natural gas (LNG) are typically linked to crude oil prices. Most of the equity LNG offtake from the operated Australian LNG assets is committed under binding long-term contracts, with some sold in the Asian spot LNG market.
See page 41 for the company's U.S. and international average realizations for the first nine months of 2025 and the same period last year.
ProductionThe company's worldwide net oil-equivalent production in the first nine months of 2025 averaged 3.61 million barrels per day, up 8 percent from a year ago as growth in TCO, the Permian Basin, and the Gulf of America, as well as the acquisition of Hess, was partly offset by the impacts of asset sales. About 22 percent of the company's net oil-equivalent production in the first nine months of 2025 occurred in the OPEC+ member countries of Equatorial Guinea, Kazakhstan, Nigeria, and the Partitioned Zone between Saudi Arabia and Kuwait.
Refer to the "Results of Operations" section on page 35 for additional discussion of the company's upstream business.
Downstream Earnings for the downstream segment are closely tied to margins on the refining, manufacturing and marketing of products that include gasoline, diesel, jet fuel, lubricants, fuel oil, fuel and lubricant additives, petrochemicals and renewable fuels. Industry margins are sometimes volatile and can be affected by the global and regional supply-and-demand balance for refined products and petrochemicals, and by changes in the price of crude oil, other refinery and petrochemical feedstocks, and natural gas. Industry margins can also be influenced by inventory levels, geopolitical events, costs of materials and services, refinery or chemical plant capacity utilization, maintenance programs, and disruptions at refineries or chemical plants resulting from unplanned outages due to severe weather, fires or other operational events.
Other factors affecting profitability for downstream operations include the reliability and efficiency of the company's refining, marketing and petrochemical assets, the effectiveness of its crude oil and product supply functions, and the volatility of tanker-charter rates for the company's shipping operations, which are driven by the industry's demand for crude oil and product tankers. Other factors beyond the company's control include the general level of inflation and energy costs to operate the company's refining, marketing and petrochemical assets, and changes in tax, environmental, and other applicable laws and regulations.
The company's most significant marketing areas are the West Coast and Gulf Coast of the United States and Asia Pacific. Chevron operates or has significant ownership interests in refineries in each of these areas.
Refer to the "Results of Operations" section beginning on page 36 for additional discussion of the company's downstream operations.
All Other consists of worldwide cash management and debt financing activities, corporate administrative functions, insurance operations, real estate activities, and technology companies.
Refer to "Cautionary Statements Relevant to Forward-Looking Information"on page 2 and to "Risk Factors" on pages 20 through 27 of the company's 2024 Annual Report on Form 10-K for a discussion of some of the inherent risks that could materially impact the company's results of operations or financial condition.
Noteworthy Developments
Certain noteworthy developments in recent months included the following:
•Guinea-Bissau - Entered agreement to explore two frontier exploration blocks.
•Guyana - Achieved first oil at Yellowtail, the fourth development in the offshore Stabroek Block.
•Guyana - Sanctioned the Hammerhead project, the seventh Stabroek Block development.
•Israel - Extended agreement to increase export of natural gas from Leviathan field in Israel to Egypt.
•Malaysia/Thailand JDA - Sold the company's interest in Block A-18 at the joint development area.
•Peru - Entered agreement to explore three offshore blocks in Trujillo Basin.
•United States - Announced second long-term agreement to sell liquefied natural gas (LNG) to ENN Global Trading Pte. Ltd. in China, further strengthening the company's LNG value chain.
•United States - Secured interest in Rome pipeline, connecting crude oil from the Gulf of America to the company's U.S. Gulf Coast value chain.
Results of Operations
Business SegmentsThe following section presents the results of operations and variances on an after-tax basis for the company's business segments - Upstream and Downstream - as well as for "All Other." (Refer to Note 7 Operating Segments and Geographic Datafor a discussion of the company's "reportable segments," as defined under the accounting standards for segment reporting.)
Upstream
|
Three Months Ended September 30 |
Nine Months Ended September 30 |
|||||||||||||||||||||||||
|
Unit (1)
|
2025 | 2024 | 2025 | 2024 | ||||||||||||||||||||||
| U.S. Upstream | ||||||||||||||||||||||||||
| Earnings | $MM | $ | 1,282 | $ | 1,946 | $ | 4,558 | $ | 6,182 | |||||||||||||||||
| Net Oil-Equivalent Production | MBOED | 2,040 | 1,605 | 1,792 | 1,584 | |||||||||||||||||||||
| Liquids Production | MBD | 1,496 | 1,156 | 1,292 | 1,139 | |||||||||||||||||||||
| Natural Gas Production | MMCFD | 3,265 | 2,694 | 2,997 | 2,665 | |||||||||||||||||||||
| Liquids Realization | $/BBL | $ | 48.12 | $ | 54.86 | $ | 50.12 | $ | 57.33 | |||||||||||||||||
| Natural Gas Realization | $/MCF | $ | 1.77 | $ | 0.55 | $ | 1.99 | $ | 0.85 | |||||||||||||||||
|
(1) MBD - thousands of barrels per day; MMCFD - millions of cubic feet per day; BBL - Barrel; MCF - thousands of cubic feet; MBOED - thousands of barrels of oil-equivalent per day.
|
||||||||||||||||||||||||||
Three Month Periods Ended September 30, 2025 and 2024
U.S. upstream earnings decreased by $664 million primarily due to lower liquids realizations of $600 million and severance and other transaction costs related to the Hess acquisition of $245 million, partly offset by impacts from higher sales volumes of $250 million.
Net oil-equivalent production was up 435,000 barrels per day, or 27 percent. The increase was primarily due to the acquisition of Hess and higher production in the Permian Basin and Gulf of America.
Nine Month Periods Ended September 30, 2025 and 2024
U.S. upstream earnings decreased by $1.6 billion primarily due to lower liquids realizations of $1.7 billion, higher depreciation, depletion and amortization of $770 million, higher operating expenses of $730 million, and severance and other transaction costs related to the Hess acquisition of $245 million, partly offset by higher sales volumes of $1.0 billion, and higher natural gas realizations of $670 million.
Net oil-equivalent production was up 208,000 barrels per day, or 13 percent. The increase was primarily due to higher production in the Permian Basin and Gulf of America, and the acquisition of Hess, partly offset by lower production in the Rockies.
|
Three Months Ended September 30 |
Nine Months Ended September 30 |
|||||||||||||||||||||||||
|
Unit (2)
|
2025 | 2024 | 2025 | 2024 | ||||||||||||||||||||||
| International Upstream | ||||||||||||||||||||||||||
|
Earnings(1)
|
$MM | $ | 2,020 | $ | 2,643 | $ | 5,229 | $ | 8,116 | |||||||||||||||||
| Net Oil-Equivalent Production | MBOED | 2,046 | 1,759 | 1,822 | 1,750 | |||||||||||||||||||||
| Liquids Production | MBD | 1,099 | 834 | 925 | 832 | |||||||||||||||||||||
| Natural Gas Production | MMCFD | 5,674 | 5,550 | 5,382 | 5,513 | |||||||||||||||||||||
| Liquids Realization | $/BBL | $ | 63.16 | $ | 70.59 | $ | 63.14 | $ | 72.70 | |||||||||||||||||
| Natural Gas Realization | $/MCF | $ | 6.88 | $ | 7.46 | $ | 7.06 | $ | 7.20 | |||||||||||||||||
|
(1) Includes foreign currency effects
|
$MM | $ | 89 | $ | 13 | $ | (283) | $ | (202) | |||||||||||||||||
|
(2) MBD - thousands of barrels per day; MMCFD - millions of cubic feet per day; BBL - Barrel; MCF - thousands of cubic feet; MBOED - thousands of barrels of oil-equivalent per day.
|
||||||||||||||||||||||||||
Three Month Periods Ended September 30, 2025 and 2024
International upstream earnings decreased by $623 million primarily due to lower affiliate earnings of $450 million, lower realizations of $370 million, and asset sales of $120 million, partly offset by earnings from legacy Hess of $330 million, primarily in Guyana.
Net oil-equivalent production was up 287,000 barrels per day, or 16 percent. The increase was primarily due to the acquisition of Hess and higher production in Kazakhstan as the Future Growth Project (FGP) at TCO maintained nameplate capacity, partly offset by impacts from asset sales in Canada and Republic of Congo.
Nine Month Periods Ended September 30, 2025 and 2024
International upstream earnings decreased by $2.9 billion primarily due to lower affiliate earnings of $1.6 billion, lower realizations of $760 million, and asset sales of $470 million. Foreign currency effects had an unfavorable impact on earnings of $81 million between periods. These items are partly offset by higher earnings from legacy Hess of $330 million, primarily in Guyana.
Net oil-equivalent production was up 72,000 barrels per day, or 4 percent. The increase was primarily due to higher production in Kazakhstan as FGP at TCO reached nameplate capacity, and the acquisition of Hess, partly offset by asset sales in Canada and Republic of Congo.
Downstream
|
Three Months Ended September 30 |
Nine Months Ended September 30 |
|||||||||||||||||||||||||
|
Unit*
|
2025 | 2024 | 2025 | 2024 | ||||||||||||||||||||||
| U.S. Downstream | ||||||||||||||||||||||||||
| Earnings | $MM | $ | 638 | $ | 146 | $ | 1,145 | $ | 879 | |||||||||||||||||
| Refinery Crude Unit Inputs | MBD | 1,064 | 995 | 1,043 | 925 | |||||||||||||||||||||
| Refined Product Sales | MBD | 1,303 | 1,312 | 1,325 | 1,296 | |||||||||||||||||||||
|
* MBD - thousands of barrels per day.
|
||||||||||||||||||||||||||
Three Month Periods Ended September 30, 2025 and 2024
U.S. downstream earnings increased by $492 million primarily due to higher margins on refined product sales of $500 million and lower operating expenses of $150 million, partly offset by lower earnings from the 50 percent-owned Chevron Phillips Chemical Company (CPChem) of $130 million.
Refinery crude unit inputs were up 69,000 barrels per day, or 7 percent, primarily due to increased capacity at the Pasadena, Texas refinery upon completion of the Light Tight Oil project.
Refined product sales were down 9,000 barrels per day, or 1 percent, compared to the year-ago period.
Nine Month Periods Ended September 30, 2025 and 2024
U.S. downstream earnings increased by $266 million primarily due to higher margins on refined product sales of $390 million and lower operating expenses of $240 million, partly offset by lower earnings from CPChem of $350 million.
Refinery crude unit inputs were up 118,000 barrels per day, or 13 percent, primarily due to improved operational availability at the El Segundo, California refinery and increased capacity at the Pasadena, Texas refinery upon completion of the Light Tight Oil project.
Refined product sales were up 29,000 barrels per day, or 2 percent, compared to the year-ago period primarily due to higher demand for gasoline and jet fuel.
|
Three Months Ended September 30 |
Nine Months Ended September 30 |
|||||||||||||||||||||||||
|
Unit (2)
|
2025 | 2024 | 2025 | 2024 | ||||||||||||||||||||||
| International Downstream | ||||||||||||||||||||||||||
|
Earnings(1)
|
$MM | $ | 499 | $ | 449 | $ | 1,054 | $ | 1,096 | |||||||||||||||||
| Refinery Crude Unit Inputs | MBD | 663 | 628 | 648 | 643 | |||||||||||||||||||||
| Refined Product Sales | MBD | 1,517 | 1,507 | 1,463 | 1,473 | |||||||||||||||||||||
|
(1) Includes foreign currency effects
|
$MM | $ | 42 | $ | (55) | $ | (57) | $ | - | |||||||||||||||||
|
(2) MBD - thousands of barrels per day.
|
||||||||||||||||||||||||||
Three Month Periods Ended September 30, 2025 and 2024
International downstream earnings increased by $50 million primarily due to favorable foreign currency effects of $97 million, partly offset by lower margins on refined product sales of $80 million.
Refinery crude unit inputs were up 35,000 barrels per day, or 6 percent, from the year-ago period primarily due to lower turnaround activity at our affiliate refinery in Singapore.
Refined product sales were up 10,000 barrels per day, or 1 percent, from the year-ago period.
Nine Month Periods Ended September 30, 2025 and 2024
International downstream earnings decreased by $42 million primarily due to unfavorable foreign currency effects of $57 million.
Refinery crude unit inputs were up 5,000 barrels per day, or 1 percent.
Refined product sales were down 10,000 barrels per day, or 1 percent.
All Other
|
Three Months Ended September 30 |
Nine Months Ended September 30 |
|||||||||||||||||||||||||
| Unit | 2025 | 2024 | 2025 | 2024 | ||||||||||||||||||||||
| All Other | ||||||||||||||||||||||||||
| Earnings/(Charges)* | $MM | $ | (900) | $ | (697) | $ | (2,457) | $ | (1,851) | |||||||||||||||||
| * Includes foreign currency effects | $ | 16 | $ | (2) | $ | 1 | $ | - | ||||||||||||||||||
Three Month Periods Ended September 30, 2025 and 2024
Net charges increased by $203 million primarily due to higher interest expense, transaction costs related to the Hess acquisition and pension curtailment costs, partly offset by a favorable fair market valuation adjustment for the investment in Hess common stock of $160 million.
Nine Month Periods Ended September 30, 2025 and 2024
Net charges increased by $606 million primarily due to higher interest expense and transaction costs related to the Hess acquisition.
Consolidated Statement of Income
Explanations of variations between periods for selected income statement categories are provided below:
|
Three Months Ended September 30 |
Nine Months Ended September 30 |
||||||||||||||||||||||
| 2025 | 2024 | 2025 | 2024 | ||||||||||||||||||||
| (Millions of dollars) | |||||||||||||||||||||||
| Sales and other operating revenues | $ | 48,169 | $ | 48,926 | $ | 138,645 | $ | 145,080 | |||||||||||||||
Sales and other operating revenues in third quarter and the nine-month period 2025 decreased slightly mainly due to lower crude oil and refined product prices, partially offset by higher crude oil and refined product sales volumes and higher natural gas prices and volumes.
|
Three Months Ended September 30 |
Nine Months Ended September 30 |
||||||||||||||||||||||
| 2025 | 2024 | 2025 | 2024 | ||||||||||||||||||||
| (Millions of dollars) | |||||||||||||||||||||||
| Income from equity affiliates | $ | 981 | $ | 1,261 | $ | 2,337 | $ | 3,908 | |||||||||||||||
Income from equity affiliates in third quarter and the nine-month period 2025 decreased mainly due to lower upstream-related earnings from TCO in Kazakhstan as higher liftings from the FGP project were more than offset by higher depreciation, depletion and amortization and lower realizations, and lower downstream-related earnings from CPChem primarily due to lower chemicals margins.
|
Three Months Ended September 30 |
Nine Months Ended September 30 |
||||||||||||||||||||||
| 2025 | 2024 | 2025 | 2024 | ||||||||||||||||||||
| (Millions of dollars) | |||||||||||||||||||||||
| Other income (loss) | $ | 576 | $ | 482 | $ | 1,176 | $ | 1,578 | |||||||||||||||
Other income (loss) in third quarter 2025 increased primarily due to a favorable swing in foreign currency effects and a favorable fair value adjustment for the investment in Hess common stock, partially offset by lower income from Venezuela. Other income (loss) in the nine-month period 2025 decreased mainly due to an unfavorable swing in foreign currency effects and lower income from Venezuela.
|
Three Months Ended September 30 |
Nine Months Ended September 30 |
||||||||||||||||||||||
| 2025 | 2024 | 2025 | 2024 | ||||||||||||||||||||
| (Millions of dollars) | |||||||||||||||||||||||
| Purchased crude oil and products | $ | 27,398 | $ | 30,450 | $ | 82,866 | $ | 89,058 | |||||||||||||||
Purchased crude oil and products decreased in third quarter 2025 primarily due to lower crude oil and refined product prices and lower refined product volumes, partially offset by higher crude oil and natural gas volumes. Purchased crude oil and products decreased in the nine-month period primarily due to lower crude oil and refined product prices and lower refined product volumes, partially offset by higher crude oil volumes and higher natural gas prices and volumes.
|
Three Months Ended September 30 |
Nine Months Ended September 30 |
||||||||||||||||||||||
| 2025 | 2024 | 2025 | 2024 | ||||||||||||||||||||
| (Millions of dollars) | |||||||||||||||||||||||
| Operating, selling, general and administrative expenses | $ | 9,058 | $ | 7,886 | $ | 24,250 | $ | 23,091 | |||||||||||||||
Operating, selling, general and administrative expenses in third quarter and for the nine-month period 2025 increased primarily due to the addition of Hess in the quarter and higher professional service fees.
|
Three Months Ended September 30 |
Nine Months Ended September 30 |
||||||||||||||||||||||
| 2025 | 2024 | 2025 | 2024 | ||||||||||||||||||||
| (Millions of dollars) | |||||||||||||||||||||||
| Exploration expenses | $ | 288 | $ | 154 | $ | 727 | $ | 546 | |||||||||||||||
Exploration expenses in third quarter and the nine-month period 2025 increased primarily due to higher geological and geophysical engineering costs and higher dry hole expenses.
|
Three Months Ended September 30 |
Nine Months Ended September 30 |
||||||||||||||||||||||
| 2025 | 2024 | 2025 | 2024 | ||||||||||||||||||||
| (Millions of dollars) | |||||||||||||||||||||||
| Depreciation, depletion and amortization | $ | 5,781 | $ | 4,214 | $ | 14,248 | $ | 12,309 | |||||||||||||||
Depreciation, depletion and amortization expenses in third quarter and the nine-month period 2025 increased primarily due to higher production and higher rates.
|
Three Months Ended September 30 |
Nine Months Ended September 30 |
||||||||||||||||||||||
| 2025 | 2024 | 2025 | 2024 | ||||||||||||||||||||
| (Millions of dollars) | |||||||||||||||||||||||
| Taxes other than on income | $ | 1,347 | $ | 1,263 | $ | 3,903 | $ | 3,575 | |||||||||||||||
Taxes other than on incomein third quarter and the nine-month period 2025 increased primarily due to higher excise taxes related to downstream activities.
|
Three Months Ended September 30 |
Nine Months Ended September 30 |
||||||||||||||||||||||
| 2025 | 2024 | 2025 | 2024 | ||||||||||||||||||||
| (Millions of dollars) | |||||||||||||||||||||||
| Interest and debt expense | $ | 370 | $ | 164 | $ | 856 | $ | 395 | |||||||||||||||
Interest and debt expenses inthird quarter and the nine-month period 2025 increased mainly due to a higher debt balance compared to last year, including the debt assumed from the Hess acquisition.
|
Three Months Ended September 30 |
Nine Months Ended September 30 |
||||||||||||||||||||||
| 2025 | 2024 | 2025 | 2024 | ||||||||||||||||||||
| (Millions of dollars) | |||||||||||||||||||||||
|
Other components of net periodic benefit costs
|
$ | 70 | $ | 49 | $ | 164 | $ | 145 | |||||||||||||||
Other components of net periodic benefit costs in third quarter and the nine-month period 2025 were higher mainly due to higher pension curtailment charges.
|
Three Months Ended September 30 |
Nine Months Ended September 30 |
||||||||||||||||||||||
| 2025 | 2024 | 2025 | 2024 | ||||||||||||||||||||
| (Millions of dollars) | |||||||||||||||||||||||
| Income tax expense/(benefit) | $ | 1,801 | $ | 1,993 | $ | 5,504 | $ | 6,957 | |||||||||||||||
The company's decrease in income tax expense for third quarter 2025 of $192 million was primarily due to the decrease in total income before tax of $1.1 billion.
U.S. income before tax decreased from $1.8 billion in third quarter 2024 to $1.3 billion in third quarter 2025. This $538 million decrease in income was primarily driven by a loss related to legacy Hess, due in part from severance and transaction costs, and lower upstream realizations, partially offset by the impacts from higher upstream sales volumes and higher downstream margins. The decrease in income had a direct impact on the company's U.S. income tax, resulting in a decrease in income tax expense of $226 million between year-over-year periods, from $460 million in 2024 to $234 million in 2025.
International income before tax decreased from $4.7 billion in third quarter 2024 to $4.1 billion in third quarter 2025. This $537 million decrease in income was primarily driven by lower upstream realizations, asset sale impacts and lower affiliate income, partially offset by legacy Hess earnings, primarily in Guyana. Despite the decrease in income, the company's international income tax expense increased by $34 million between year-over-year periods, from $1.5 billion in 2024 to $1.6 billion in 2025, primarily due to current period unfavorable tax items.
The company's decrease in income tax expense for the first nine months of 2025 of $1.5 billion was primarily due to the decrease in the total income before tax of $6.3 billion.
U.S. income before tax decreased between the nine-month periods, from $6.9 billion in 2024 to $4.3 billion in 2025. This $2.6 billion decrease in income was primarily driven by lower upstream realizations, lower affiliate income and legacy Hess severance and transaction costs, partially offset by the impacts of higher upstream sales volumes and higher downstream sales margins. The decrease in income had a direct impact on the company's U.S. income tax, resulting in a decrease in income tax expense of $737 million between the nine-month periods, from $1.8 billion in 2024 to $1.0 billion in 2025.
International income before tax decreased between the nine-month periods, from $14.5 billion in 2024 to $10.9 billion in 2025. This $3.7 billion decrease in income was primarily driven by lower affiliate income, asset sale impacts, and lower upstream realizations. The decrease in income had a direct impact on the company's international income tax, resulting in a decrease in income tax expense of $716 million between year-over-year periods, from $5.2 billion in 2024 to $4.5 billion in 2025.
Additional information related to the company's effective income tax rate is included in Note 10 Income Taxesto the Consolidated Financial Statements.
Selected Operating Data
The following table presents a comparison of selected operating data:
|
Selected Operating Data (1) (2)
|
||||||||||||||||||||||||||
|
Three Months Ended September 30 |
Nine Months Ended September 30 |
|||||||||||||||||||||||||
| Unit | 2025 | 2024 | 2025 | 2024 | ||||||||||||||||||||||
| U.S. Upstream | ||||||||||||||||||||||||||
| Net crude oil and natural gas liquids production | MBD | 1,496 | 1,156 | 1,292 | 1,139 | |||||||||||||||||||||
|
Net natural gas production(3)
|
MMCFD | 3,265 | 2,694 | 2,997 | 2,665 | |||||||||||||||||||||
| Net oil-equivalent production | MBOED | 2,040 | 1,605 | 1,792 | 1,584 | |||||||||||||||||||||
| Sales of natural gas | MMCFD | 6,031 | 5,378 | 5,683 | 5,253 | |||||||||||||||||||||
| Sales of natural gas liquids | MBD | 516 | 481 | 513 | 460 | |||||||||||||||||||||
|
Revenue from net production
|
||||||||||||||||||||||||||
| Crude | $/BBL | $ | 62.93 | $ | 73.04 | $ | 64.52 | $ | 75.30 | |||||||||||||||||
| NGLs | $/BBL | $ | 18.06 | $ | 18.34 | $ | 19.67 | $ | 19.33 | |||||||||||||||||
| Liquids (weighted average of Crude and NGLs) | $/BBL | $ | 48.12 | $ | 54.86 | $ | 50.12 | $ | 57.33 | |||||||||||||||||
| Natural gas | $/MCF | $ | 1.77 | $ | 0.55 | $ | 1.99 | $ | 0.85 | |||||||||||||||||
| International Upstream | ||||||||||||||||||||||||||
|
Net crude oil and natural gas liquids production(4)
|
MBD | 1,099 | 834 | 925 | 832 | |||||||||||||||||||||
|
Net natural gas production(3)
|
MMCFD | 5,674 | 5,550 | 5,382 | 5,513 | |||||||||||||||||||||
|
Net oil-equivalent production(4)
|
MBOED | 2,046 | 1,759 | 1,822 | 1,750 | |||||||||||||||||||||
| Sales of natural gas | MMCFD | 5,682 | 5,576 | 5,523 | 5,579 | |||||||||||||||||||||
| Sales of natural gas liquids | MBD | 127 | 147 | 124 | 132 | |||||||||||||||||||||
| Revenue from liftings | ||||||||||||||||||||||||||
| Crude | $/BBL | $ | 64.84 | $ | 72.82 | $ | 64.96 | $ | 75.09 | |||||||||||||||||
| NGLs | $/BBL | $ | 18.67 | $ | 27.44 | $ | 22.07 | $ | 23.95 | |||||||||||||||||
| Liquids (weighted average of Crude and NGLs) | $/BBL | $ | 63.16 | $ | 70.59 | $ | 63.14 | $ | 72.70 | |||||||||||||||||
| Natural gas | $/MCF | $ | 6.88 | $ | 7.46 | $ | 7.06 | $ | 7.20 | |||||||||||||||||
| U.S. and International Upstream | ||||||||||||||||||||||||||
|
Total net oil-equivalent production(4)
|
MBOED | 4,086 | 3,364 | 3,614 | 3,334 | |||||||||||||||||||||
| U.S. Downstream | ||||||||||||||||||||||||||
|
Gasoline sales(5)
|
MBD | 676 | 684 | 688 | 666 | |||||||||||||||||||||
| Other refined product sales | MBD | 627 | 628 | 637 | 630 | |||||||||||||||||||||
| Total refined product sales | MBD | 1,303 | 1,312 | 1,325 | 1,296 | |||||||||||||||||||||
| Sales of natural gas | MMCFD | 26 | 37 | 32 | 31 | |||||||||||||||||||||
| Sales of natural gas liquids | MBD | 29 | 21 | 25 | 22 | |||||||||||||||||||||
| Refinery crude unit inputs | MBD | 1,064 | 995 | 1,043 | 925 | |||||||||||||||||||||
| International Downstream | ||||||||||||||||||||||||||
|
Gasoline sales(5)
|
MBD | 336 | 335 | 351 | 335 | |||||||||||||||||||||
| Other refined product sales | MBD | 793 | 782 | 735 | 747 | |||||||||||||||||||||
| Share of affiliate sales | MBD | 388 | 390 | 377 | 391 | |||||||||||||||||||||
| Total refined product sales | MBD | 1,517 | 1,507 | 1,463 | 1,473 | |||||||||||||||||||||
| Sales of natural gas | MMCFD | - | - | 1 | - | |||||||||||||||||||||
| Sales of natural gas liquids | MBD | 109 | 152 | 119 | 136 | |||||||||||||||||||||
| Refinery crude unit inputs | MBD | 663 | 628 | 648 | 643 | |||||||||||||||||||||
|
(1) Includes company share of equity affiliates.
|
||||||||||||||||||||||||||
|
(2) MBD - thousands of barrels per day; MMCFD - millions of cubic feet per day; BBL - Barrel; MCF - thousands of cubic feet; oil-equivalent gas conversion ratio is 6,000 cubic feet of natural gas = 1 barrel of crude oil; MBOED - thousands of barrels of oil-equivalent per day.
|
||||||||||||||||||||||||||
|
(3) Includes natural gas consumed in operations (MMCFD):
|
||||||||||||||||||||||||||
| United States | 77 | 66 | 62 | 61 | ||||||||||||||||||||||
| International | 592 | 551 | 575 | 542 | ||||||||||||||||||||||
|
(4) Includes net production of synthetic oil:
|
||||||||||||||||||||||||||
| Canada | - | 48 | - | 49 | ||||||||||||||||||||||
|
(5) Includes branded and unbranded gasoline.
|
||||||||||||||||||||||||||
Liquidity and Capital Resources
Cash, cash equivalents and marketable securitiestotaled $7.7 billion at September 30, 2025, and $6.8 billion at year-end 2024. The company holds its cash with a diverse group of major financial institutions and has processes and safeguards in place to manage its cash balances and mitigate the risk of loss. Cash provided by operating activities in the first nine months of 2025 was $23.2 billion, compared with $22.8 billion in the year-ago period. Between January and March 2025, Chevron purchased 15.38 million shares of Hess common stock in open market transactions for approximately $2.2 billion. Capital expenditures totaled $12.1 billion in the first nine months of 2025, in line with the year-ago period. Proceeds and deposits related to asset sales and returns of investment totaled $1.5 billion in the first nine months of 2025, compared to $620 million in the year-ago period. Net repayment (borrowing) of loans by equity affiliates included an inflow of $798 million in the first nine months of 2025 due to a loan repayment from TCO, compared with an outflow of $157 million in the year-ago period.
DividendsThe company paid dividends of $9.3 billion to common stockholders during the first nine months of 2025. In October 2025, the company declared a quarterly dividend of $1.71 per common share, payable in December 2025.
Debt and Finance Lease LiabilitiesChevron's total debt and finance lease liabilities were $41.5 billion at September 30, 2025, up from $24.5 billion at December 31, 2024. The company issued $11.0 billion of public bonds and retired $3.3 billion of public bonds at maturity while reducing commercial paper balances. In third quarter 2025, the company also assumed $10.0 billion of debt and finance lease liabilities as part of the Hess acquisition, including approximately $3.7 billion related to Hess Midstream Operations LP that is non-recourse to Chevron Corporation.
The company's primary source for working capital needs is its commercial paper program. The outstanding balance for the company's commercial paper program at September 30, 2025, was $4.8 billion, compared with $5.4 billion at December 31, 2024. The company's debt and finance lease liabilities due within one year, consisting primarily of commercial paper, the current portion of long-term debt and redeemable long-term obligations, totaled $11.8 billion at September 30, 2025, and $12.7 billion at December 31, 2024. Of these amounts, $8.25 billion was reclassified to long-term at both September 30, 2025, and December 31, 2024. At September 30, 2025, settlement of these obligations was not expected to require the use of working capital within one year, as the company had the intent and the ability, as evidenced by committed credit facilities, to continually refinance them.
At September 30, 2025, the company had $8.25 billion in 364-day committed credit facilities with various major banks that enable the refinancing of short-term obligations. The credit facilities allow the company the option to convert outstanding short-term obligations into a term loan for a period of up to one year from the facilities termination date. This supports commercial paper borrowing and can also be used for general corporate purposes. The company's practice has been to replace expiring commitments with new commitments on substantially the same terms, maintaining levels management believes appropriate. Any borrowings under the facilities would be unsecured indebtedness at interest rates based on the Secured Overnight Financing Rate (SOFR), or an average of base lending rates published by specified banks and on terms reflecting the company's strong credit rating. No borrowings were outstanding under these facilities at September 30, 2025. In addition, the company has an automatic shelf registration statement that expires in November 2027 for an unspecified amount of nonconvertible debt securities issued by Chevron Corporation or CUSA.
The major debt rating agencies routinely evaluate the company's debt, and the company's cost of borrowing can increase or decrease depending on these debt ratings. The company has outstanding bonds issued by Chevron Corporation, CUSA, Texaco Capital Inc., Noble Energy, Inc., and Hess Corporation. The securities that are the obligations of, or guaranteed by, Chevron Corporation carry an AA- rating by Standard and Poor's Corporation (S&P) and an Aa2 rating by Moody's Investors Service (Moody's). The company's U.S. commercial paper is rated A-1+ by S&P and P-1 by Moody's. All of these ratings denote high-quality, investment-grade securities.
The company's future debt level is dependent primarily on results of operations, cash that may be generated from asset dispositions, the capital program, lending commitments to affiliates, loan repayments from affiliates, and shareholder distributions. Based on its high-quality debt ratings, the company believes that it has substantial borrowing capacity to meet unanticipated cash requirements. During extended periods of low prices for crude oil and natural gas and narrow margins for refined products and commodity chemicals, the company has the flexibility to modify capital spending plans, discontinue or curtail the stock repurchase program, sell assets, and increase borrowings to continue paying the common stock dividend. The company remains committed to retaining high-quality debt ratings.
Summarized Financial Information for Guarantee of Securities of Subsidiaries CUSA issued bonds that are fully and unconditionally guaranteed on an unsecured basis by Chevron Corporation (together, the "Obligor Group"). The tables below contain summary financial information for Chevron Corporation, as Guarantor, excluding its consolidated subsidiaries, and CUSA, as the issuer, excluding its consolidated subsidiaries. The summary financial information of the Obligor Group is presented on a combined basis, and transactions between the combined entities have been eliminated. Financial information for non-guarantor entities has been excluded.
|
Nine Months Ended September 30, 2025 |
Year Ended December 31, 2024 |
||||||||||
| (Millions of dollars) (unaudited) | |||||||||||
| Sales and other operating revenues | $ | 70,569 | $ | 96,035 | |||||||
| Sales and other operating revenues - related party | 27,137 | 43,562 | |||||||||
| Total costs and other deductions | 70,405 | 102,116 | |||||||||
| Total costs and other deductions - related party | 24,459 | 35,454 | |||||||||
| Net income (loss) | $ | 28,784 | $ | 73,119 | |||||||
|
At September 30, 2025 |
At December 31, 2024 |
||||||||||
| (Millions of dollars) (unaudited) | |||||||||||
| Current assets | $ | 19,066 | $ | 16,918 | |||||||
| Current assets - related party | 7,586 | 2,626 | |||||||||
| Other assets | 55,324 | 57,921 | |||||||||
| Current liabilities | 26,668 | 30,563 | |||||||||
| Current liabilities - related party | 24,078 | 22,997 | |||||||||
| Other liabilities | 29,223 | 23,719 | |||||||||
| Total net equity (deficit) | $ | 2,007 | $ | 186 | |||||||
Common Stock Repurchase ProgramOn January 25, 2023, the Board of Directors authorized the repurchase of the company's shares of common stock in an aggregate amount of $75 billion (the "2023 Program"). The 2023 Program took effect on April 1, 2023, and does not have a fixed expiration date. In the aggregate, the company has repurchased 231.1 million shares for $35.5 billion under the 2023 Program, including 16.6 million shares repurchased for $2.6 billion in third quarter 2025. This excludes 15.38 million shares of Hess that were purchased for $2.2 billion in first quarter 2025 and cancelled in connection with the closing of the company's acquisition of Hess. In addition, the company paid $146 million in excise taxes related to 2024 buybacks in second quarter 2025. Chevron expects share repurchases in the fourth quarter 2025 to be between $2.5-$3.0 billion.
Repurchases may be made from time to time in the open market, by block purchases, in privately negotiated transactions or in such other manner as determined by the company. The timing of the repurchases and the actual amount repurchased will depend on a variety of factors, including the market price of the company's shares, general market and economic conditions, and other factors. The stock repurchase program and any forward guidance as to expected repurchases do not obligate the company to acquire any particular amount of common stock, and the program may be discontinued or resumed at any time.
Noncontrolling InterestsThe company had noncontrolling interests of $5.8 billion at September 30, 2025, and $839 million at December 31, 2024, including non-controlling interest in Hess Midstream LP post-acquisition.
Financial Ratios and Metrics
|
At September 30, 2025 |
At December 31, 2024 |
|||||||||||||||||||
|
Current Ratio (1)
|
1.2 | 1.1 | ||||||||||||||||||
| Debt Ratio | 18.0 | % | 13.9 | % | ||||||||||||||||
|
Net Debt Ratio (2)
|
15.1 | % | 10.4 | % | ||||||||||||||||
(1) At September 30, 2025, the book value of inventory was lower than replacement cost.
(2)Net Debt Ratio for September 30, 2025, is calculated as short-term debt of $3.6 billion plus long-term debt of $38.0 billion (together, "total debt") less cash and cash equivalents, time deposits, and marketable securities of $7.7 billion as a percentage of total debt less cash and cash equivalents, time deposits, and marketable securities, plus Chevron Corporation Stockholders' Equity of $189.8 billion. For the December 31, 2024, calculation, please refer to page 53 of Chevron's 2024 Annual Report on Form 10-K.
|
Nine Months Ended September 30 |
||||||||||||||
| 2025 | 2024 | |||||||||||||
| (Millions of dollars) | ||||||||||||||
| Net cash provided by operating activities | $ | 23,150 | $ | 22,797 | ||||||||||
| Less: Capital expenditures | (12,083) | (12,110) | ||||||||||||
| Free Cash Flow | $ | 11,067 | $ | 10,687 | ||||||||||
Pension ObligationsInformation related to pension plan contributions is included in Note 8 Employee Benefitsto the Consolidated Financial Statements.
Capital Expenditures The company's capital expenditures (capex) primarily includes additions to fixed assets or investments for the company's consolidated subsidiaries and is disclosed in the Consolidated Statement of Cash Flows. Capex was $12.1 billion in the first nine months of 2025, slightly lower than the $12.1 billion in the corresponding 2024 period. Lower spend in downstream businesses was largely offset by higher upstream investment related to legacy Hess assets and the acquisition of lithium acreage.
Affiliate Capital Expenditures The company's affiliate capital expenditures (affiliate capex) primarily includes additions to fixed assets or investments in the equity affiliate's financial statements and does not require cash outlays by the company. Third quarter 2025 affiliate capex was $136 million lower than third quarter 2024 and year-to-date 2025 affiliate capex was $455 million lower than the year-ago period due to lower spend at TCO.
|
Capex and Affiliate Capex by Business Segment
|
|||||||||||||||||||||||
|
Three Months Ended September 30 |
Nine Months Ended September 30 |
||||||||||||||||||||||
| 2025 | 2024 | 2025 | 2024 | ||||||||||||||||||||
| Capex | (Millions of dollars) | ||||||||||||||||||||||
| United States | |||||||||||||||||||||||
| Upstream | $ | 2,383 | $ | 2,349 | $ | 7,209 | $ | 7,126 | |||||||||||||||
| Downstream | 133 | 349 | 442 | 1,116 | |||||||||||||||||||
| All Other | 112 | 93 | 286 | 274 | |||||||||||||||||||
| Total United States | 2,628 | 2,791 | 7,937 | 8,516 | |||||||||||||||||||
| International | |||||||||||||||||||||||
| Upstream | 1,732 | 1,212 | 3,967 | 3,462 | |||||||||||||||||||
| Downstream | 72 | 47 | 139 | 124 | |||||||||||||||||||
| All Other | 12 | 5 | 40 | 8 | |||||||||||||||||||
| Total International | 1,816 | 1,264 | 4,146 | 3,594 | |||||||||||||||||||
| Capex | $ | 4,444 | $ | 4,055 | $ | 12,083 | $ | 12,110 | |||||||||||||||
| Affiliate Capex | |||||||||||||||||||||||
| Upstream | $ | 214 | $ | 329 | $ | 593 | $ | 1,110 | |||||||||||||||
| Downstream | 215 | 236 | 766 | 704 | |||||||||||||||||||
| Affiliate Capex | $ | 429 | $ | 565 | $ | 1,359 | $ | 1,814 | |||||||||||||||
Contingencies and Significant Litigation
Climate ChangeInformation related to climate change-related matters is included in Note 11 Litigationunder the heading "Climate Change."
Louisiana Information related to Louisiana coastal matters is included in Note 11 Litigationunder the heading "Louisiana."
Income TaxesInformation related to income tax contingencies is included in Note 10 Income Taxesand in Note 12 Other Contingencies and Commitmentsunder the heading "Income Taxes."
GuaranteesInformation related to the company's guarantees is included in Note 12 Other Contingencies and Commitmentsunder the heading "Guarantees."
IndemnificationInformation related to indemnification is included in Note 12 Other Contingencies and Commitmentsunder the heading "Indemnification."
Long-Term Unconditional Purchase Obligations and Commitments, Including Throughput and Take-or-Pay AgreementsInformation related to the company's long-term unconditional purchase obligations and commitments is included in Note 12 Other Contingencies and Commitmentsunder the heading "Long-Term Unconditional Purchase Obligations and Commitments, Including Throughput and Take-or-Pay Agreements."
EnvironmentalInformation related to environmental matters is included in Note 12 Other Contingencies and Commitmentsunder the heading "Environmental."
Acquisition and Disposition of AssetsInformation related to the company's acquisition and disposition of assets is included in Note 12 Other Contingencies and Commitmentsunder the headings "Decommissioning Obligations for Previously Sold Assets" and "Other Contingencies."
Other ContingenciesInformation related to the company's other contingencies is included in Note 12 Other Contingencies and Commitmentsunder the heading "Other Contingencies."
Chevron Corporation published this content on November 06, 2025, and is solely responsible for the information contained herein. Distributed via Edgar on November 06, 2025 at 16:30 UTC. If you believe the information included in the content is inaccurate or outdated and requires editing or removal, please contact us at [email protected]