Chevron Corporation, a global leader in energy, reported its second-quarter 2025 earnings on August 1, 2025. The company posted earnings of $2.5 billion, or $1.77 per diluted share. The results included a $215 million loss related to the acquisition of Hess Corporation and pension costs. Currency changes and asset sales also affected earnings.
Despite lower earnings, Chevron has production reaching one million barrels of oil equivalent per day in the Permian Basin. The company returned $5.5 billion in cash to shareholders, making it the 13th straight quarter of over $5 billion in shareholder returns. This highlights Chevron’s strong cash flow and commitment to rewarding investors.
In July 2025, Chevron completed its $53 billion acquisition of Hess Corporation. This deal has made Chevron one of the world’s premier integrated oil and gas companies. The acquisition brings key assets such as oil fields in Guyana and Shale formations in North Dakota’s Bakken region. Chevron also gained offshore Gulf of America assets and natural gas resources in Southeast Asia from the merger.
Chevron Chairman and CEO Mike Wirth expressed confidence in the merger, saying it enhances Chevron’s growth and long-term value. He also highlighted Chevron’s position as the largest leaseholder in the Gulf of America and its nearly 60% production increase in the US over two years. The merger is expected to create $1 billion in annual cost savings by the end of 2025.
The company is focusing on expanding production while managing costs. Its second-quarter production rose to 3.4 million barrels per day globally, a 3% increase year over year. US production increased by 8%, helped by strong results in the Permian Basin. Chevron also made progress in developing a lithium business, acquiring lithium-rich land in Texas and Arkansas.
Chevron’s strategy involves balancing traditional oil and gas operations with efforts to innovate and grow in new energy areas. The company is investing in low-carbon energy solutions and operational reliability. It also recently announced an $830 million investment to build an Engineering and Innovation Center in Karnataka, India. This center will focus on improving technology and supporting low-carbon energy advancements.
Chevron faces challenges such as fluctuating commodity prices, geopolitical risks and regulatory changes. However, its strong asset base, acquitions and efficient operations bolster its future outlook. The company aims to continue delivering strong cash flows and shareholder returns while preparing for a low-carbon future.
In summary, Chevron stands as a resilient energy giant. Its second-quarter 2025 earnings reflect ongoing growth despite market pressures. The Hess acquisition significantly expands Chevron, enabling it to lead in Key oil and gas markets worldwide. The company’s investments in innovation and cleaner energy also position it well for long-term success.
