Chevron reported a decrease in earnings and adjusted earnings year-over-year, primarily due to unfavorable timing effects and increased operating expenses, despite higher production volumes driven by the Hess acquisition and growth in key U.S. regions. The company maintained financial flexibility and continued significant capital returns to shareholders.
Worldwide and U.S. production increased by 15 and 24 percent, respectively, driven by the Hess acquisition and growth in the Gulf of America and Permian Basin.
positiveReturned $6.0 billion cash to shareholders, marking the 16th consecutive quarter over $5 billion.
positiveU.S. refineries operated at record crude throughput in March 2026.
positiveAnnounced an agreement to expand heavy oil interest in Venezuela and entered into an exclusivity agreement with Microsoft for a power generation project.
neutralReported earnings decreased to $2.2 billion from $3.5 billion in Q1 2025, a 37% decline, primarily due to unfavorable timing effects of approximately $2.9 billion.
negativeAdjusted earnings decreased to $2.8 billion from $3.8 billion in Q1 2025, a 26% decline.
negativeCash flow from operations (CFFO) decreased to $2.5 billion from $5.2 billion in Q1 2025, a 52% decline, primarily due to higher working capital outflows.
negativeFree Cash Flow (FCF) was negative at $(1.5) billion, compared to positive $1.3 billion in Q1 2025.
negativeInternational downstream earnings were $(1.013) billion, a significant decrease from $222 million in Q1 2025, primarily due to lower margins and unfavorable timing effects.
negativeNet charges in 'All Other' segment increased to $(882) million from $(583) million in Q1 2025, primarily due to the absence of prior-year favorable fair value adjustment on Hess shares and higher interest expense.
attentionMargin expansion indicates improving profitability and operational efficiency. Measured in basis points (bps): 100 bps = 1.0%.
| Segment | Current | Prior Yr | YoY | % Total |
|---|---|---|---|---|
Upstream | N/A | — | — | — |
Downstream | N/A | — | — | — |
All Other | N/A | — | — | — |
| Total Revenue | $0.00M | — | — | 100.0% |
Segment performance shows business unit health and growth drivers.
Special items are non-recurring events that may distort period-over-period comparisons. Analysts typically adjust for these when calculating normalized earnings.
Despite heightened geopolitical volatility and related supply disruptions, Chevron delivered solid first quarter performance, underscoring the resilience of our portfolio and the value of disciplined execution.
Strong operating results in the United States, particularly following the integration of Hess, and continued growth in the Gulf of America and Permian Basin, drove higher production while maintaining financial flexibility.
Our U.S. refineries operated at record crude throughput in March, capital spending remains within guidance, and our structural cost reductions are firmly on track.
Commentary excerpts from earnings call transcripts provide management's perspective on performance, strategy, and outlook. Always review full transcripts for complete context.
Operational metrics provide insight into business drivers and customer engagement beyond traditional financial measures.