(RTTNews) – Chevron Corporation (CVX) said its third quarter profits were the highest since the first quarter of 2013, in large part due to improving market conditions, strong operating performance and a structure lower costs. The company’s free cash flow during the quarter was the best ever reported by the company.
Upstream operations in the United States gained $ 1.96 billion, up from $ 116 million the previous year. The average selling price per barrel of crude oil and natural gas liquids was $ 58 in the third quarter of 2021, compared to $ 31 last year.
International upstream operations brought in $ 3.17 billion, compared to $ 119 million. The average selling price for crude oil and natural gas liquids was $ 68 per barrel, up from $ 39.
Global net upstream oil-equivalent production was 3.03 million barrels per day in the third quarter of 2021, an increase of 7% from a year ago.
Downstream operations in the United States reported a profit of $ 1.08 billion, up from $ 141 million the previous year. International downstream operations reported a profit of $ 227 million, up from $ 151 million last year.
Chevron reported adjusted earnings of $ 5.7 billion or $ 2.96 per share in the third quarter, compared to adjusted earnings of $ 340 million, or $ 0.18 per share, the previous year. On average, 22 analysts polled by Thomson Reuters expected the company to report earnings per share of $ 2.21 for the quarter. Analysts’ estimates generally exclude special items. Reported profit was $ 6.1 billion or $ 3.19 per share, compared with a loss of $ 207 million or $ 0.12 per share.
Sales and other operating income increased to $ 43 billion, from $ 24 billion a year ago. Analysts had estimated an average of $ 40.52 billion in revenue.
Third quarter cash flow from operations was $ 8.6 billion. In addition, the company reported a record free cash flow of $ 6.7 billion for the quarter.
Chevron shares rose nearly 2% in pre-market trading on Friday.
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