The American multinational energy company, Chevron It reduces the reproduction of equity this quarter after falling oil prices, showing that US President Donald Trump’s trade war is affecting a basic US industry, which has been pledged to help.
Chevron will repurchase about $ 2.75 billion of shares In the second quarter, about 30% less than the first three months of the year bought, as announced Friday (2.5.2025) the company, Bloomberg says. This move is made despite the fact that Chevron has exceeded estimates of its profits thanks to its low -cost production than Kazakhstan and the basin. “Oil prices have changed“, Said in an interview with financial director Eimear Bonner. “The market, in terms of supply and demand, seems to soften.”
Big Oil is increasingly difficult to maintain shares as Brent crude oil fell by 17% This year at about $ 62 a barrel in yesterday’s closure. Trump’s duties are ready to slow down the demand for slow demand and increase the cost of steel and other materials needed to produce oil and gas.
At the same time, OPEC and his allies surprised the markets last month with a plan to increase oil supplies more than expected. Chevron’s shares fell 2% before the start of normal negotiation in New York. Futal deduction contracts fell 0.5%to $ 58.93 a barrel.
Chevron’s acquisition of shares in the second quarter of $ 2.5 to $ 3 billion, if maintained for the rest of the year, is still part of its annual forecasts for $ 10 to $ 20 billion, but would be a decrease in last year. The company spent an additional amount on the purchase of 5% of Hess’s shares in the first quarter, a share of about $ 2.3 billion at that time, in view of the expected merger later this year.
BP reduced its shares more than half earlier this week. Totalenergies maintained its payment, but was forced to finance it with additional lending. “This is still a very powerful repurchase program,” Bonner said. “A percentage that is higher than the highest year we had before Covid.”
Shell, which also announced first -month results today, said it remains stable in its plans for investor returns and capital costs.
Chevron’s customized profits For the first quarter, $ 2.18 per share, they exceeded analysts’ consent for $ 2.10 per share, according to estimates by Bloomberg. Capital costs were lower than a year ago, as the company reduced the costs of its refineries.
Chevron’s debt levelIn the meantime, it remains healthy. Its net lending fired at 14.4% at the end of the first quarter of 10.4% in the previous period, even before falling oil prices last month. But this is well below the company’s target range ranging from 20% to 25%.
Chevron’s total crude oil production in the first trimester remained unchanged compared to a year ago, in about 3.35 million barrels of equivalent oil a day. The company, however, increased production in certain basic locations. Chevron increased production in the Tengiz project in Kazakhstan by 20%, in the Permian basin by 12% and in the Gulf of Mexico by 7% compared to last year, providing extremely profitable barrels that offset the loss of assets.