Chevron Earnings: Double-Digit Profit Growth

Chevron Corp. (NYSE:CVX) delivered a profit and beat Wall Street’s expectations, BUT came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company. Shares are up 0.52%.

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Chevron Corp. Earnings Cheat Sheet

Results: Net income increased 41.52% to $7.25 billion ($3.7 per diluted share) in the quarter versus a net gain of $5.12 billion in the year-earlier quarter.

Revenue: Decreased 6.14% to $56.3 billion from the year-earlier quarter.

Actual vs. Wall St. Expectations: Chevron Corp. reported adjusted net income of $3.70 per share. By that measure, the company beat the mean analyst estimate of $3.04. It missed the average revenue estimate of $68.64 billion.

Quoting Management: “Chevron delivered another very strong year in 2012,” said Chairman and CEO John Watson. “Our upstream portfolio continues to produce excellent results. We’ve now led the industry in earnings per barrel for over three years. Our downstream businesses also delivered highly competitive earnings per barrel…

…Strong cash flows allowed us to invest aggressively in our major capital projects and to acquire several important, new resource opportunities. We also raised the dividend on our common shares for the 25th consecutive year and continued our share repurchase program, both of which demonstrate our commitment to providing near-term, top-tier returns to our shareholders.”

Key Stats:

Revenue decreased 3% from $58.04 billion in the previous quarter. Net income increased 38.02% from $5.25 billion in the previous quarter.

Looking Forward: Analysts have a more positive outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has risen from a profit of $3.04 to a profit $3.05. For the current year, the average estimate has moved down from a profit of $12.85 to a profit of $12.48 over the last ninety days.

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(Company fundamentals provided by Xignite Financials.)