Chevron Shares Fall After Earnings Miss Wall Street Estimates

By @ibtimes on
Chevron (CVX)
Shares of Chevron were down Friday after earnings missed Wall Street forecasts. REUTERS

Shares of energy giant Chevron Corp. tumbled Friday after losses from refining operations cut fourth-quarter profit to less than analysts expected.

The second-largest U.S. energy company earned $5.1 billion, or $2.58 a share, in the last three months of 2011, compared with $5.3 billion, or $2.64 a share, in the year-earlier period.

Analysts were expecting per-share earnings of $2.84.  

Shares fell $3.11, or 2.9 percent, to $103.47 in late morning trading.

Revenue in the fourth quarter was $58 billion, up from $52 billion in the fourth quarter of 2011, a gain the San Ramon, Calif.-based company attributed to higher prices for crude oil and refined products.   

Refining and marketing operations in the fourth-quarter swung to a loss of $61 million, which offset an 18 percent increase in exploration and production to $5.74 billion during the last three months of 2011.

Net liquids production was 1.81 million barrels a day in the fourth quarter, down from 1.94 million barrels a day in the year-ago period. Net oil-equivalent production was 2.64 million barrels a day, down from 2.79 million barrels a day in the year ago period.  

For all of 2011, Chevron earned $26.9 billion, or $13.44 a share, up 41 percent from $19 billion, or $9.48 a share in 2010. Annual revenue was up 23.3 percent to $253.7 billion.

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