Occidental Petroleum posts quarterly profit as oil rises
Warren Buffett recently made several purchases of Occidental stock
It was a strong first quarter for Occidental Petroleum as higher oil prices helped the company post a profit.
It was a turnaround in results after reporting a loss in the same period a year ago.
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Net income came in at $4.7 billion, an improvement from a loss of $346 million in the first quarter of 2021.
BERKSHIRE HATHAWAY BOOSTS BET ON OIL AHEAD OF SHAREHOLDER MEETING
Earnings per share reached $4.65, compared with a loss per share of 36 cents a year earlier, and adjusted earnings per share reached $2.12 from 15 cents.
Occidental Petroleum logo. ( (Photo by Jay L. Clendenin/Los Angeles Times via Getty Images) / Getty Images)
Revenue was $8.5 billion, compared to $5.5 billion a year ago.
The numbers topped what Wall Street had been expecting. Estimates were sales of $7.8 billion in the quarter and net income of $1.9 billion.
BUFFETT'S BERKSHIRE BUYS MORE OCCIDENTAL SHARES
The average price of a barrel of Brent crude oil jumped to $97.36 in the first quarter of this year from $61.10 a year earlier, according to the Wall Street Journal.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| OXY | OCCIDENTAL PETROLEUM CORP. | 50.32 | +0.49 | +0.98% |
| BRK.A | BERKSHIRE HATHAWAY INC. | 724,276.75 | +5,923.00 | +0.82% |
Earlier this month, billionaire Warren Buffett revealed that his company Berkshire Hathaway had made several purchases of Occidental shares.
Berkshire Hathaway CEO Warren Buffett (FBN)
At the Berkshire annual meeting, the company announced a 14% stake in Occidental. Days later, it was revealed that Berkshire bought about 5.9 million more shares of the oil company.
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Occidental was the best-performing stock in the S&P 500 during the first quarter.