Occidental Cuts Debt to $10 Billion as Q3 Adjusted EPS Hits $1.91
Occidental Petroleum said Monday it reached a $10.0 billion principal debt milestone in the third quarter, paying down $1.8 billion of debt in the period while earning $1.91 a share on an adjusted basis, according to its earnings release.
Net income attributable to common stockholders was $1.6 billion, or $1.61 a diluted share. Adjusted income was $2.0 billion. The company said the gap between the two mainly reflects derivatives losses.
The Houston oil producer has retired $10.4 billion of debt since the start of 2026, Chief Executive Richard Jackson said in the release. "With our stronger balance sheet, we are advancing our plan to add more than $4.0 billion in annual sustainable cash flow by 2030," he said, describing that as a path to faster capital returns.
Cash and output
Operating cash flow from continuing operations was $4.1 billion. Free cash flow before working capital came to $2.8 billion after $1.3 billion of capital spending, according to the release.
Global production averaged 1,427 thousand barrels of oil equivalent per day, above the midpoint of guidance. The company credited its Permian and Rockies units, which offset a temporary curtailment at some Gulf of America facilities tied to a third-party gas pipeline constraint and maintenance.
Pre-tax income from oil and gas was $2.6 billion, down from $2.8 billion in the second quarter. Average worldwide realized crude prices fell 11% from the prior quarter to $85.91 a barrel, while domestic realized gas prices turned positive at $1.61 per thousand cubic feet from negative $1.48 in the second quarter.
Midstream and marketing earned $55 million before tax, compared with $1.3 billion in the prior quarter, as narrower Waha-to-Gulf-Coast gas spreads cut margins. Excluding items affecting comparability, the segment beat the high end of its guidance, the company said.
By the numbers
- Adjusted EPS from continuing operations: $1.91
- Reported EPS: $1.61
- Principal debt: $10.0 billion, after a $1.8 billion reduction in the quarter
- Operating cash flow from continuing operations: $4.1 billion
- Production: 1,427 Mboed
Sources
- Form 8-K with Exhibit 99.1 earnings release, Occidental Petroleum Corporation, filed Nov. 9, 2026, accession 0001628280-26-072193
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