Occidental Petroleum reported a significant adjusted EPS beat for the third quarter of 2026, driven by a 209% sequential improvement in domestic natural gas realizations and strong operational execution in the Permian Basin. The company achieved a major financial milestone by reducing principal debt to $10.0 billion, having retired over $10.4 billion since the beginning of the year.
Key Highlights
- Adjusted EPS of $1.91 significantly exceeded the analyst estimate of $1.43, primarily due to higher domestic gas prices and robust production.
- Reached the $10.0 billion principal debt milestone after retiring $1.8 billion in debt during the quarter, providing a pathway to accelerate capital returns.
- Global production averaged 1,427 Mboed, led by strong Permian and Rockies performance, though ending slightly below the analyst expectation of 1.45 million boed.
- Domestic realized gas prices improved to $1.61 per Mcf, a massive reversal from the negative $1.48 per Mcf realized in the prior quarter.