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Research Alert: Oxy: A Q1 Eps Beat And A Stronger Balance Sheet

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-- CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:

OXY posted Q1 adjusted EPS of $1.06 vs. the $0.87 consensus, a $0.47 beat, while production of 1,426,000 boe/d exceeded guidance but declined 3.7% sequentially. The Permian Basin contributed 787,000 boe/d (55% of total), with Oil & Gas pre-tax income rising to $1.0B from $0.7B in Q4 as liquids pricing improved with oil realizations up 18% to $69.91/b and NGL prices rising 14% to $18.99/b, though domestic gas realizations fell 10% to $1.01/Mcf due to Permian congestion. The company made significant balance sheet progress, reducing principal debt to $13.3B following $7.1B in repayments and advancing toward its $10.0B milestone, while cash increased to $3.8B. The OxyChem divestiture provided financial flexibility despite occurring at a cyclical trough. We expect near-term free cash flow to improve further given crude prices remain materially higher since the Iran conflict began February 28, with free cash flow before working capital reaching $1.7B vs. capex of $1.6B.

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Research Alert: Emerson Electric: Fq2 Eps Beats Despite Sales Growth Slowdown

CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:EMR delivered operating EPS growth of 4% Y/Y to $1.54, though underlying sales growth moderated to 0.5%, impacted by the U.S.-Iran conflict according to management. The beat was supported by share buyback activity. We see 5% underlying orders growth signaling a future recovery, with bookings centered in the high-margin Software & Systems business. Management expects Software segment profitability to enter modest recovery in 2H FY 26. The Software & Systems platform delivered 4% reported growth, with Test & Measurement achieving 16% reported growth, reflecting sustained demand in EMR's growth verticals including semiconductor and aerospace markets. Geographic performance revealed mixed fortunes, with Americas leading growth at 5% Y/Y, while Europe declined 4% and Asia/MEA fell 5%, reflecting broader geopolitical tensions. Adjusted segment EBITA margin compressed 40 bps Y/Y to 27.6% despite favorable mix shift toward higher-margin Software & Systems, with Software margins declining 250 bps to 29.2%.

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Regis Resources, Vault Minerals Merger of Equals Creates Meaningful Scale, Says Euroz Hartleys

Regis Resources (ASX:RRL) and Vault Minerals (ASX:VAU) proposed a merger of equals that would create a mid-tier gold producer of meaningful scale and a combined market capitalization of roughly AU$10.7 billion, Euroz Hartleys said in a note on Tuesday.Under the proposed deal, Vault shareholders will receive 0.6947 shares in Regis for each Vault share owned. Regis shareholders will own about 51% of the merged company and Vault shareholders the remaining 49%, as per a Tuesday joint filing with the Australian bourse.The merger, which will translate to over 700,000 ounces of gold production per year through five operating assets across Western Australia, benefits from a debt-free balance sheet, a robust and growing reserve and resource base, and potential operational synergies that could cut costs.The increased capitalization will also bolster liquidity, lower the cost of capital and support future growth and shareholder returns, it added.Euroz Hartleys maintained a buy rating for Vault and is reviewing a price target for the company.

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