Occidental Petroleum Corporation · NYSE:OXY
Occidental Petroleum — Q3 2006 Earnings Presentation
19 slides from Occidental Petroleum's earnings presentation, Oct 18, 2006
Slide 1: Investor Relations Supplemental Schedules Summary
EXHIBIT 99.3 Investor Relations Supplemental Schedules Investor Relations Supplemental Schedules Summary ($ millions) 3Q 2006 3Q 2005 Reported Net Income $ 1,168 $ 1,747 EPS - Diluted $ 1.36 $ 2.12 Core Net Income $ 1,159 $ 1,004 EPS - Diluted $ 1.35 $ 1.22 Total Worldwide Production (mboe/day) 587
Slide 2: 2006 Third Quarter Net Income (Loss)
Investor Relations Supplemental Schedules OCCIDENTAL PETROLEUM 2006 Third Quarter Net Income (Loss) ($ millions) Reported Core Income Significant Items Affecting Income Earnings Oil & Gas $ 1,877 $ 1,877 Chemical 247 247 Corporate Interest expense, net (18) (18) Other (62) (62) Taxes (885) (885) Inc
Slide 3: 2005 Third Quarter Net Income (Loss)
Investor Relations Supplemental Schedules OCCIDENTAL PETROLEUM 2005 Third Quarter Net Income (Loss) ($ millions) Reported Core Income Significant Items Affecting Income Earnings Oil & Gas $ 1,638 $ 9 Hurricane insurance charge $ 1,647 Chemical 3 159 Write-off of plants 167 5 Hurricane insurance char
Slide 4: 2006 First Nine Months Net Income (Loss)
Investor Relations Supplemental Schedules OCCIDENTAL PETROLEUM 2006 First Nine Months Net Income (Loss) ($ millions) Reported Core Income Significant Items Affecting Income Earnings Oil & Gas $ 5,740 $ 5,740 Chemical 745 745 Corporate Interest expense, net (80) (80) Other (219) (219) Taxes (2,672) (
Slide 5: 2005 First Nine Months Net Income (Loss)
Investor Relations Supplemental Schedules OCCIDENTAL PETROLEUM 2005 First Nine Months Net Income (Loss) ($ millions) Reported Core Income Significant Items Affecting Income Earnings Oil & Gas $ 4,172 $ 26 Contract settlement $ 4,207 9 Hurricane insurance charge Chemical 442 159 Write-off of plants 6
Slide 6: Items Affecting Comparability of Core Earnings Between Periods
Investor Relations Supplemental Schedules OCCIDENTAL PETROLEUM Items Affecting Comparability of Core Earnings Between Periods The item(s) below are included in core earnings but are shown in this table because they affect the comparability of core earnings between periods. Pre-tax Income / (Expense)
Slide 7: Worldwide Effective Tax Rate
Investor Relations Supplemental Schedules OCCIDENTAL PETROLEUM Worldwide Effective Tax Rate QUARTERLY YEAR TO-DATE 2006 2006 2005 2006 2005 REPORTED INCOME QTR 3 QTR 2 QTR 3 9 Months 9 Months Oil & Gas (a) 1,877 1,953 1,638 5,740 4,172 Chemicals 247 250 3 745 442 Corporate & other (80) (117) 590 (29
Slide 8: 2006 Third Quarter Net Income (Loss) vs Second Quarter
Investor Relations Supplemental Schedules OCCIDENTAL PETROLEUM 2006 Third Quarter Net Income (Loss) Reported Income Comparison Third Second Quarter Quarter 2006 2006 B / (W) Oil & Gas $ 1,877 $ 1,953 $ (76) Chemical 247 250 (3) Corporate Interest expense, net (18) (33) 15 Other (62) (84) 22 Taxes (8
Slide 9: Oil & Gas Core Earnings Variance Analysis 3Q06 vs. 2Q06
Investor Relations Supplemental Schedules OCCIDENTAL PETROLEUM Oil & Gas Core Earnings Variance Analysis 3Q06 vs. 2Q06 ($ millions) [the following is a tabular representation of graphical materials] 2006 3rd Quarter $ 1,877 2006 2nd Quarter 1,953 $ (76) Sales Price $ (10) Sales Volume/Mix (36) Explo
Slide 10: Chemical Core Earnings Variance Analysis 3Q06 vs. 2Q06
[the following is a tabular representation of graphical materials] 2006 3rd Quarter $ 247 2006 2nd Quarter 250 $ (3) Sales Price $ (3) Sales Volume/Mix 4 Operations/Manufacturing (14) * All Others 10 TOTAL VARIANCE $ (3) * Higher feedstock costs 9
Slide 11: 2006 Third Quarter Net Income (Loss) vs Third Quarter 2005
Investor Relations Supplemental Schedules OCCIDENTAL PETROLEUM 2006 Third Quarter Net Income (Loss) Reported Income Comparison Third Third Quarter Quarter 2006 2005 B / (W) Oil & Gas $ 1,877 $ 1,638 $ 239 Chemical 247 3 244 Corporate Interest expense, net (18) (70) 52 Other (62) 660 (722) Taxes (885
Slide 12: Oil & Gas Core Earnings Variance Analysis 3Q06 vs. 3Q05
Investor Relations Supplemental Schedules OCCIDENTAL PETROLEUM Oil & Gas Core Earnings Variance Analysis 3Q06 vs. 3Q05 ($ millions) [the following is a tabular representation of graphical materials] 2006 3rd Quarter $ 1,877 2005 3rd Quarter 1,647 $ 230 Sales Price $ 273 Sales Volume/Mix 141 Explorat
Slide 13: Chemical Core Earnings Variance Analysis 3Q06 vs. 3Q05
[the following is a tabular representation of graphical materials] 2006 3rd Quarter $ 247 2005 3rd Quarter 167 $ 80 Sales Price $ 83 Sales Volume/Mix 24 Operations/Manufacturing (23) * All Others (4) TOTAL VARIANCE $ 80 * Higher feedstock costs partially offset by lower energy costs 11
Slide 14: Summary of Operating Statistics: Net Production per Day
Investor Relations Supplemental Schedules OCCIDENTAL PETROLEUM SUMMARY OF OPERATING STATISTICS Third Quarter Nine Months 2006 2005 2006 2005 NET PRODUCTION PER DAY: United States Crude Oil and Liquids (MBL) California 84 73 83 75 Permian 168 165 167 156 Horn Mountain 10 10 12 13 Hugoton and other 3
Slide 15: Total Worldwide Production (MBOE)
Russia – Occidental net interest 25 27 27 27 Yemen – Occidental net interest 2 1 2 2 Total worldwide production (MBOE) 587 516 596 519 12
Slide 16: Summary of Operating Statistics: Prices and Exploration Expense
Investor Relations Supplemental Schedules OCCIDENTAL PETROLEUM SUMMARY OF OPERATING STATISTICS Third Quarter Nine Months 2006 2005 2006 2005 OIL & GAS: PRICES United States Crude Oil ($/BBL) 62.71 56.70 60.03 49.26 Natural gas ($/MCF) 5.88 6.33 6.80 6.16 Latin America Crude Oil ($/BBL) 55.19 59.91 5
Slide 17: Summary of Operating Statistics: Capital Expenditures and DD&A
Investor Relations Supplemental Schedules OCCIDENTAL PETROLEUM SUMMARY OF OPERATING STATISTICS Third Quarter Nine Months Capital Expenditures ($MM) 2006 2005 2006 2005 Oil & Gas California $ 150 $ 98 $ 376 $ 270 Permian 149 112 414 271 Other - U.S. 63 51 194 113 Latin America 98 23 223 66 Middle Eas
Slide 18: Corporate Capitalization
Investor Relations Supplemental Schedules OCCIDENTAL PETROLEUM CORPORATE ($ millions) 30-Sep-06 31-Dec-05 CAPITALIZATION Long-Term Debt (including current maturities) $ 2,893 $ 2,919 Subsidiary Preferred Stock 75 75 Others 25 25 Total Debt $ 2,993 $ 3,019 EQUITY $ 18,858 $ 15,032 Total Debt To Total
Slide 19: Forward-looking statements and non-GAAP note
Investor Relations Supplemental Schedules See the investor relations supplemental schedules for the reconciliation of non-GAAP items. Statements in this presentation that contain words such as "will", "expect" or "estimate", or otherwise relate to the future, are forward-looking and involve risks an