Chevron Q3 2025 Earnings: Record Production, Lower Profit After Hess Deal
Chevron's profit fell year-over-year on lower oil prices and Hess deal costs, but production hit a record and cash flow surged, funding higher shareholder payouts.
| Q3 2025 | Reported |
|---|---|
| EPS | $1.82 |
| Revenue | $48.17B |
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
- Chevron earned $1.82 per share in the third quarter on revenue of about $48.2 billion. Net income was $3.5 billion, down from $4.5 billion a year earlier, even though the company pumped more oil and gas than ever before — the drop came mainly from lower crude oil prices and one-time costs tied to closing its acquisition of Hess.
- Production hit a company record of about 4.1 million barrels of oil equivalent per day, up 21% from a year ago. The single biggest driver was the July completion of Chevron’s roughly $55 billion all-stock purchase of Hess, which added new output, along with growth from Chevron’s Kazakhstan (TCO) project, U.S. shale drilling, and the Gulf of Mexico.
- CEO Mike Wirth said the quarter reflected “record production, strong cash generation and sustained superior cash returns to shareholders,” and that Hess integration is “progressing well, unlocking synergies” and positioning Chevron as a premier global energy company.
- Adjusted free cash flow — cash left over after running the business and funding new projects — rose more than 50% from a year earlier, giving Chevron more room to fund dividends and buybacks even as oil prices softened.
- The company returned $6 billion to shareholders in the quarter through dividends and share buybacks, bringing total shareholder returns to more than $78 billion over the past three years; Chevron also raised its quarterly dividend and has now increased its payout for 39 straight years.
- Chevron reiterated its plan to buy back $10 billion to $20 billion of stock per year, depending on market conditions, signaling confidence in its cash position despite the softer profit.
- Trailing-twelve-month margins show a business that converts a large share of sales into gross profit (about 44 cents of every revenue dollar) but a much smaller share into final net profit (under 10 cents), reflecting the heavy costs of extracting, refining, and transporting oil and gas.
- Return on equity over the past year was a modest 6.2%, a gauge of how efficiently Chevron turns shareholder capital into profit — a figure investors will watch as the company works to integrate Hess and realize the deal’s promised synergies.
Q3 2025 in context
| Metric | Sep 2025 | Sep 2024 | Change |
|---|---|---|---|
| Revenue | $48.2B | $48.9B | -1.5% |
| Net income | $3.5B | $4.5B | -21.1% |
| Free cash flow | $4.9B | $5.6B | -12.1% |
| Diluted EPS | $1.82 | $2.48 | -26.6% |
| Gross margin | 43.1% | 37.8% | +5.4 pts |
| Net margin | 7.3% | 9.2% | -1.8 pts |
Figures for the quarter ended Sep 2025 and the quarter ended Sep 2024, as reported to the SEC.
How the stock took it
Chevron Corp closed at $152.66 on Nov 5, 2025, the last session before the report, and at $155.02 on Nov 7, 2025, the first session after it — +1.6% 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