ConocoPhillips Q3 2025 earnings: profit dips on lower prices despite higher output
ConocoPhillips' Q3 2025 profit fell year-over-year as lower oil prices offset production gains from the Marathon Oil acquisition, but cash flow stayed strong and the dividend rose 8%.
| Q3 2025 | Reported |
|---|---|
| EPS | $1.38 |
| Revenue | $13.34B |
Figures as reported by the company to the SEC for the quarter ended September 30, 2025. Analyst estimates are not part of a filing, so no comparison to expectations is shown.
Key takeaways
- Net income was $1.7 billion, or $1.38 per share, down from $2.1 billion ($1.76 per share) a year earlier — lower oil and gas prices weighed on results even though the company pumped more barrels.
- On an adjusted basis (excluding one-time items), earnings were $1.61 per share, up from $1.42 the prior quarter but below the $1.78 posted a year ago.
- Total production jumped to about 2.4 million barrels of oil equivalent per day, up sharply from 1.92 million a year earlier, mainly because the company folded in output from last year’s Marathon Oil acquisition.
- The TTM net profit margin of about 12.6% and a 25% year-over-year drop in trailing EPS point to a business earning noticeably less per dollar of sales than a year ago, consistent with weaker oil and gas prices offsetting the extra production volume.
- Revenue grew only modestly over the past year (about 1.4% on a trailing basis) — the added production from Marathon Oil roughly offset the drag from lower commodity prices.
- The company generated $5.9 billion in cash from operations during the quarter, cash generation management pointed to as support for both continued spending and shareholder returns.
- ConocoPhillips raised its quarterly base dividend by 8%, which it said reflects its goal of delivering top-quartile dividend growth among S&P 500 companies.
- Management said roughly 75% of the cost synergies targeted from the Marathon Oil deal have already been captured, with full integration expected by the end of 2025 and further savings continuing into 2026.
- For 2026, the company guided to lower capital spending (about $12 billion, down roughly $0.5 billion from 2025) and lower operating costs, alongside modest production growth of 0-2%.
- Projected costs for the Willow oil project in Alaska rose due to inflation and local cost pressures, but the company said the timeline to first oil in early 2029 is unchanged.
Q3 2025 in context
| Metric | Sep 2025 | Sep 2024 | Change |
|---|---|---|---|
| Revenue | $13.3B | $11.7B | +14.0% |
| Net income | $1.7B | $2.1B | -16.2% |
| Diluted EPS | $1.38 | $1.76 | -21.6% |
| Gross margin | 56.1% | 59.4% | -3.4 pts |
| Net margin | 12.9% | 17.6% | -4.7 pts |
Figures for the quarter ended Sep 2025 and the quarter ended Sep 2024, as reported to the SEC.
How the stock took it
ConocoPhillips closed at $87.70 on Nov 5, 2025, the last session before the report, and at $86.83 on Nov 7, 2025, the first session after it — -1.0% across the report.
Closes from the market's daily record. Each figure spans the report date — from the last session that closed before it to the first that closed after — because a company may report before the open or after the close.
Sources: company report · earnings call