Chevron adjusted profit misses expectations
By Ernest Scheyder
HOUSTON (Reuters) - Oil and gas producer Chevron Corp (CVX.N: Quote) on Friday posted an adjusted profit that fell short of Wall Street's expectations, as its cost cuts failed to fully offset low crude prices CLc1 and weak refining margins.
Like many of its peers, Chevron slashed spending during the quarter in response to low crude prices CLc1, but the reductions were not as dramatic as analysts would have liked.
Chevron's stock fell 1 percent to $101.50 in premarket Friday trading.
John Watson, Chevron's chief executive, said the focus of the San Ramon, California-based company's is boosting cash flow, which dropped more than 50 percent in the first quarter.
"We are controlling our spend and getting key projects under construction online, which will boost revenue," Watson said in a press release.
Chevron reported a net loss of $725 million, or 39 cents per share, compared with a net profit of $2.57 billion, or $1.37 per share, in the year-ago period.
Excluding one-time items, Chevron earned 11 cents per share.
By that measure, analysts, on average, expected 20 cents per share, according to Thomson Reuters I/B/E/S. Continued...