Occidental Stock Earnings Reports

Occidental reported a strong Q1 2026 driven by operational execution, cost savings and higher commodity realizations. Production averaged 1.426 MM BOE/d (beat guidance), and the company generated roughly $1.7 billion of free cash flow before working capital in Q1 while exiting the quarter with ~$3.8 billion of unrestricted cash. Management reiterated the decade-long portfolio transformation toward a U.S.-weighted, lower-cost, lower-decline mix (83% production and 88% resources in the U.S.), highlighting industry-leading unconventional well performance, reserve/resource growth and a >30-year resource runway. Operationally, the company has realized ~$2 billion of annual cost savings since 2023 and targets an additional ~$500 million of oil & gas cost savings in 2026; new-well cost improvement of ~7% is expected in 2026. Balance sheet progress was emphasized: principal debt has been reduced to $13.3 billion with a near-term priority to reach $10 billion principal, which would materially lower interest expense and create optionality around preferred redemption, further debt paydown or opportunistic buybacks. Midstream & Marketing outperformed, and full-year Midstream midpoint was raised to $1.1 billion. Company guidance: maintained 2026 capex range of $5.5–$5.9 billion and adjusted full-year production midpoint to 1.44 MM BOE/d reflecting Middle East disruptions and EOR portfolio optimizations. Stratos CCUS project Phase 1 commissioning had non-process component issues under evaluation (no expected change to 2026 capital range). Leadership succession: CEO Vicki Hollub will retire June 1; Richard Jackson will become President & CEO and join the Board. Management reiterated a disciplined cash-allocation framework (prioritize debt to $10B, sustain/grow dividend, then reassess reinvestment or buybacks based on macro and continued execution).