Chevron Earnings 2020-03-31

Balance Sheet	Income Statement	Cash Flow
Assets, Equity	Rev, G Profit, Net Income	Ops, Inv, Fin

Document

UNITED STATES SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form 10-Q

☑QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d)

OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended March 31, 2020

☐TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d)

OF THE SECURITIES EXCHANGE ACT OF 1934

Commission file number 001-00368

Chevron Corporation

(Exact name of registrant as specified in its charter)



		6001 Bollinger Canyon Road
Delaware	94-0890210	San Ramon,	California	94583-2324
(State or other jurisdiction of incorporation or organization)	(I.R.S. Employer Identification No.)	(Address of principal executive offices) (Zip Code)

Registrant’s telephone number, including area code: (925) 842-1000



		NONE
	(Former name, former address and former fiscal year, if changed since last report.)

Securities registered pursuant to Section 12(b) of the Act:



Title of each class	Trading Symbol	Name of each exchange on which registered
Common stock, par value $.75 per share	CVX	New York Stock Exchange

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☑ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☑ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.



Large accelerated filer	☑	Accelerated filer	☐
Non-accelerated filer	☐	Smaller reporting company	☐
		Emerging growth company	☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☑

There were 1,866,978,650 shares of the Company's common stock outstanding on March 31, 2020.

Table of Contents

TABLE OF CONTENTS



		Page No.
	Cautionary Statements Relevant to Forward-Looking Information for the Purpose of “Safe Harbor” Provisions of the Private Securities Litigation Reform Act of 1995	2
PART I FINANCIAL INFORMATION
Item 1.	Consolidated Financial Statements —
	Consolidated Statement of Income for the Three Months Ended March 31, 2020 and 2019	3
	Consolidated Statement of Comprehensive Income for the Three Months Ended March 31, 2020 and 2019	4
	Consolidated Balance Sheet at March 31, 2020 and December 31, 2019	5
	Consolidated Statement of Cash Flows for the Three Months Ended March 31, 2020 and 2019	6
	Consolidated Statement of Equity for the Three Months Ended March 31, 2020 and 2019	7
	Notes to Consolidated Financial Statements	8
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	24
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	36
Item 4.	Controls and Procedures	36
PART II OTHER INFORMATION
Item 1.	Legal Proceedings	37
Item 1A.	Risk Factors	37
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	38
Item 5.	Other Information	39
Item 6.	Exhibits	40
Signature		41

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CAUTIONARY STATEMENTS RELEVANT TO FORWARD-LOOKING INFORMATION

FOR THE PURPOSE OF “SAFE HARBOR” PROVISIONS OF THE

PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995

This quarterly report on Form 10-Q of Chevron Corporation contains forward-looking statements relating to Chevron’s operations that are based on management's current expectations, estimates and projections about the petroleum, chemicals and other energy-related industries. Words or phrases such as “anticipates,” “expects,” “intends,” “plans,” “targets,” “forecasts,” “projects,” “believes,” “seeks,” “schedules,” “estimates,” “positions,” “pursues,” “may,” “could,” “should,” “will,” “budgets,” “outlook,” “trends,” “guidance,” “focus,” “on schedule,” “on track,” “is slated,” “goals,” “objectives,” “strategies,” “opportunities,” “poised,” “potential” and similar expressions are intended to identify such forward-looking statements. These statements are not guarantees of future performance and are subject to certain risks, uncertainties and other factors, many of which are beyond the company’s control and are difficult to predict. Therefore, actual outcomes and results may differ materially from what is expressed or forecasted in such forward-looking statements. The reader should not place undue reliance on these forward-looking statements, which speak only as of the date of this report. Unless legally required, Chevron undertakes no obligation to update publicly any forward-looking statements, whether as a result of new information, future events or otherwise.

Among the important factors that could cause actual results to differ materially from those in the forward-looking statements are: changing crude oil and natural gas prices and demand for our products; crude oil production quotas or other actions that might be imposed by the Organization of Petroleum Exporting Countries and other producing countries; public health crises, such as pandemics (including coronavirus (COVID-19)) and epidemics, and any related government policies and actions; changing economic, regulatory and political environments in the various countries in which the company operates; general domestic and international economic and political conditions; changing refining, marketing and chemicals margins; the company’s ability to realize anticipated cost savings, expenditure reductions and efficiencies associated with enterprise transformation initiatives; actions of competitors or regulators; timing of exploration expenses; timing of crude oil liftings; the competitiveness of alternate-energy sources or product substitutes; technological developments; the results of operations and financial condition of the company’s suppliers, vendors, partners and equity affiliates, particularly during extended periods of low prices for crude oil and natural gas during the COVID-19 pandemic; the inability or failure of the company’s joint-venture partners to fund their share of operations and development activities; the potential failure to achieve expected net production from existing and future crude oil and natural gas development projects; potential delays in the development, construction or start-up of planned projects; the potential disruption or interruption of the company’s operations due to war, accidents, political events, civil unrest, severe weather, cyber threats, terrorist acts, or other natural or human causes beyond the company’s control; the potential liability for remedial actions or assessments under existing or future environmental regulations and litigation; significant operational, investment or product changes required by existing or future environmental statutes and regulations, including international agreements and national or regional legislation and regulatory measures to limit or reduce greenhouse gas emissions; the potential liability resulting from pending or future litigation; the company’s future acquisitions or dispositions of assets or shares or the delay or failure of such transactions to close based on required closing conditions; the potential for gains and losses from asset dispositions or impairments; government mandated sales, divestitures, recapitalizations, industry-specific taxes, tariffs, sanctions, changes in fiscal terms or restrictions on scope of company operations; foreign currency movements compared with the U.S. dollar; material reductions in corporate liquidity and access to debt markets; the receipt of required Board authorizations to pay future dividends; the effects of changed accounting rules under generally accepted accounting principles promulgated by rule-setting bodies; the company’s ability to identify and mitigate the risks and hazards inherent in operating in the global energy industry; and the factors set forth under the heading “Risk Factors” on pages 18 through 21 of the company’s 2019 Annual Report on Form 10-K, on pages 37 and 38 of this report and in subsequent filings with the U.S. Securities and Exchange Commission. Other unpredictable or unknown factors not discussed in this report could also have material adverse effects on forward-looking statements.

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PART I.

FINANCIAL INFORMATION

Item 1.
Consolidated Financial Statements

CHEVRON CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENT OF INCOME

(Unaudited)



	Three Months Ended March 31
	2020			2019
	(Millions of dollars, except per share amounts)
Revenues and Other Income
Sales and other operating revenues	$	29,705		$	34,189
Income from equity affiliates	965			1,062
Other income (loss)	831			(51		)
Total Revenues and Other Income	31,501			35,200
Costs and Other Deductions
Purchased crude oil and products	15,509			19,703
Operating expenses	5,291			4,886
Selling, general and administrative expenses	683			984
Exploration expenses	158			189
Depreciation, depletion and amortization	4,288			4,094
Taxes other than on income	1,167			1,061
Interest and debt expense	162			225
Other components of net periodic benefit costs	98			101
Total Costs and Other Deductions	27,356			31,243
Income Before Income Tax Expense	4,145			3,957
Income Tax Expense (Benefit)	564			1,315
Net Income (Loss)	3,581			2,642
Less: Net income (loss) attributable to noncontrolling interests	(18		)	(7		)
Net Income (Loss) Attributable to Chevron Corporation	$	3,599		$	2,649
Per Share of Common Stock
Net Income (Loss) Attributable to Chevron Corporation
- Basic	$	1.93		$	1.40
- Diluted	$	1.93		$	1.39
Weighted Average Number of Shares Outstanding (000s)
- Basic	1,862,273			1,888,002
- Diluted	1,865,649			1,900,748

See accompanying notes to consolidated financial statements.

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CHEVRON CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

(Unaudited)



	Three Months Ended March 31
	2020			2019
	(Millions of dollars)
Net Income (Loss)	$	3,581		$	2,642
Currency translation adjustment	(19		)	(4		)
Unrealized holding gain (loss) on securities
Net gain (loss) arising during period	(3		)	(1		)
Defined benefit plans
Actuarial gain (loss)
Amortization to net income of net actuarial loss and settlements	166			125
Actuarial gain (loss) arising during period	—			(3		)
Prior service credits (cost)
Amortization to net income of net prior service costs and curtailments	(3		)	(4		)
Prior service (costs) credits arising during period	—			—
Defined benefit plans sponsored by equity affiliates - benefit (cost)	2			2
Income (taxes) benefit on defined benefit plans	(37		)	(30		)
Total	128			90
Other Comprehensive Gain (Loss), Net of Tax	106			85
Comprehensive Income	3,687			2,727
Comprehensive loss (income) attributable to noncontrolling interests	18			7
Comprehensive Income (Loss) Attributable to Chevron Corporation	$	3,705		$	2,734

See accompanying notes to consolidated financial statements.

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CHEVRON CORPORATION AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEET

(Unaudited)



	At March 31, 2020			At December 31, 2019
	(Millions of dollars)
Assets
Cash and cash equivalents	$	8,492		$	5,686
Marketable securities	50			63
Accounts and notes receivable, net	10,167			13,325
Inventories:
Crude oil and petroleum products	4,425			3,722
Chemicals	494			492
Materials, supplies and other	1,655			1,634
Total inventories	6,574			5,848
Prepaid expenses and other current assets	3,279			3,407
Total Current Assets	28,562			28,329
Long-term receivables, net	1,243			1,511
Investments and advances	39,693			38,688
Properties, plant and equipment, at cost	326,412			326,722
Less: Accumulated depreciation, depletion and amortization	177,192			176,228
Properties, plant and equipment, net	149,220			150,494
Deferred charges and other assets	10,516			10,532
Goodwill	4,454			4,463
Assets held for sale	2,989			3,411
Total Assets	$	236,677		$	237,428
Liabilities and Equity
Short-term debt	$	8,688		$	3,282
Accounts payable	11,006			14,103
Accrued liabilities	6,263			6,589
Federal and other taxes on income	1,534			1,554
Other taxes payable	744			1,002
Total Current Liabilities	28,235			26,530
Long-term debt	23,663			23,691
Deferred credits and other noncurrent obligations	18,677			20,445
Noncurrent deferred income taxes	13,457			13,688
Noncurrent employee benefit plans	7,731			7,866
Total Liabilities^*	$	91,763		$	92,220
Preferred stock (authorized 100,000,000 shares; $1.00 par value; none issued)	—			—
Common stock (authorized 6,000,000,000 shares, $0.75 par value; 2,442,676,580 shares issued at March 31, 2020 and December 31, 2019)	1,832			1,832
Capital in excess of par value	17,275			17,265
Retained earnings	176,113			174,945
Accumulated other comprehensive losses	(4,884		)	(4,990		)
Deferred compensation and benefit plan trust	(240		)	(240		)
Treasury stock, at cost (575,697,930 and 560,508,479 shares at March 31, 2020 and December 31, 2019, respectively)	(46,166		)	(44,599		)
Total Chevron Corporation Stockholders’ Equity	143,930			144,213
Noncontrolling interests	984			995
Total Equity	144,914			145,208
Total Liabilities and Equity	$	236,677		$	237,428
___________________________
* Refer to Note 13, “Other Contingencies and Commitments” beginning on page 17.

See accompanying notes to consolidated financial statements.

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CHEVRON CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENT OF CASH FLOWS

(Unaudited)



	Three Months Ended March 31
	2020			2019
	(Millions of dollars)
Operating Activities
Net Income (Loss)	$	3,581		$	2,642
Adjustments
Depreciation, depletion and amortization	4,288			4,094
Dry hole expense	50			86
Distributions less than income from equity affiliates	(639		)	(513		)
Net before-tax losses (gains) on asset retirements and sales	(226		)	80
Net foreign currency effects	(403		)	141
Deferred income tax provision	58			73
Net decrease (increase) in operating working capital	(1,096		)	(1,210		)
Decrease (increase) in long-term receivables	239			66
Net decrease (increase) in other deferred charges	(43		)	(62		)
Cash contributions to employee pension plans	(213		)	(326		)
Other	(874		)	(14		)
Net Cash Provided by Operating Activities	4,722			5,057
Investing Activities
Capital expenditures	(3,133		)	(2,953		)
Proceeds and deposits related to asset sales and returns of investment	374			294
Net maturities of (investments in) time deposits	—			950
Net sales (purchases) of marketable securities	—			2
Net repayment (borrowing) of loans by equity affiliates	(399		)	(321		)
Net Cash Used for Investing Activities	(3,158		)	(2,028		)
Financing Activities
Net borrowings (repayments) of short-term obligations	8,167			936
Proceeds from issuances of long-term debt	—			—
Repayments of long-term debt and other financing obligations	(2,809		)	(2,506		)
Cash dividends - common stock	(2,402		)	(2,244		)
Distributions to noncontrolling interests	(5		)	(6		)
Net sales (purchases) of treasury shares	(1,573		)	(15		)
Net Cash Provided by (Used for) Financing Activities	1,378			(3,835		)
Effect of Exchange Rate Changes on Cash, Cash Equivalents and Restricted Cash	(163		)	20
Net Change in Cash, Cash Equivalents and Restricted Cash	2,779			(786		)
Cash, Cash Equivalents and Restricted Cash at January 1	6,911			10,481
Cash, Cash Equivalents and Restricted Cash at March 31	$	9,690		$	9,695

See accompanying notes to consolidated financial statements.

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CHEVRON CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENT OF EQUITY

(Unaudited)



(Millions of dollars)						Accumulated			Treasury			Chevron Corp.			Non-
	Common		Retained			Other Comp.			Stock			Stockholders'			Controlling			Total
Three Months Ended March 31	Stock⁽¹⁾		Earnings			Income (Loss)			(at cost)			Equity			Interests			Equity
Balance at December 31, 2018	$	18,704	$	180,987		$	(3,544	)	$	(41,593	)	$	154,554		$	1,088		$	155,642
Treasury stock transactions	34		—			—			—			34			—			34
Net income (loss)	—		2,649			—			—			2,649			(7		)	2,642
Cash dividends	—		(2,244		)	—			—			(2,244		)	(6		)	(2,250		)
Stock dividends	—		(1		)	—			—			(1		)	—			(1		)
Other comprehensive income	—		—			85			—			85			—			85
Purchases of treasury shares	—		—			—			(538		)	(538		)	—			(538		)
Issuances of treasury shares	—		—			—			510			510			—			510
Other changes, net	—		(4		)	—			—			(4		)	(2		)	(6		)
Balance at March 31, 2019	$	18,738	$	181,387		$	(3,459	)	$	(41,621	)	$	155,045		$	1,073		$	156,118

Balance at December 31, 2019	$	18,857	$	174,945		$	(4,990	)	$	(44,599	)	$	144,213		$	995		$	145,208
Treasury stock transactions	10		—			—			—			10			—			10
Net income (loss)	—		3,599			—			—			3,599			(18		)	3,581
Cash dividends	—		(2,402		)	—			—			(2,402		)	(5		)	(2,407		)
Stock dividends	—		(1		)	—			—			(1		)	—			(1		)
Other comprehensive income	—		—			106			—			106			—			106
Purchases of treasury shares	—		—			—			(1,751		)	(1,751		)	—			(1,751		)
Issuances of treasury shares	—		—			—			184			184			—			184
Other changes, net	—		(28		)	—			—			(28		)	12			(16		)
Balance at March 31, 2020	$	18,867	$	176,113		$	(4,884	)	$	(46,166	)	$	143,930		$	984		$	144,914


(Number of Shares)	Common Stock - 2020											Common Stock - 2019
Three Months Ended March 31	Issued⁽²⁾		Treasury			Outstanding						Issued⁽²⁾			Treasury			Outstanding
Balance at December 31	2,442,676,580		(560,508,479		)	1,882,168,101						2,442,676,580			(539,838,890		)	1,902,837,690
Purchases	—		(17,501,102		)	(17,501,102		)				—			(4,710,696		)	(4,710,696		)
Issuances	—		2,311,651			2,311,651						—			6,599,067			6,599,067
Balance at March 31	2,442,676,580		(575,697,930		)	1,866,978,650						2,442,676,580			(537,950,519		)	1,904,726,061

_________________________________________________


⁽¹⁾	Beginning and ending balances for all periods include capital in excess of par, common stock issued at par for $1,832, and $(240) associated with Chevron's Benefit Plan Trust. Changes reflect capital in excess of par.


⁽²⁾	Beginning and ending total issued share balances include 14,168,000 shares associated with Chevron's Benefit Plan Trust for all periods.

See accompanying notes to consolidated financial statements.

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

Note 1. General

Basis of Presentation The accompanying consolidated financial statements of Chevron Corporation and its subsidiaries (together, Chevron or the company) have not been audited by an independent registered public accounting firm. In the opinion of the company’s management, the interim data includes all adjustments necessary for a fair statement of the results for the interim periods. These adjustments were of a normal recurring nature. The results for the three-month period ended March 31, 2020, are not necessarily indicative of future financial results. The term “earnings” is defined as net income attributable to Chevron.

Certain notes and other information have been condensed or omitted from the interim financial statements presented in this Quarterly Report on Form 10-Q. Therefore, these financial statements should be read in conjunction with the company’s 2019 Annual Report on Form 10-K.

Impact of the novel coronavirus (COVID-19) pandemic The outbreak of COVID-19 and decreases in commodity prices resulting from oversupply and government-imposed travel restrictions have caused a significant decrease in the demand for our products and has created disruptions and volatility in the global marketplace beginning in the first quarter 2020, which negatively affected our results of operations and cash flows. These conditions have persisted into the second quarter, including a further collapse in commodity prices, and are expected to negatively affect our results of operations and cash flows. There remains a continuing uncertainty regarding the length and impact of the COVID-19 pandemic and associated reductions in demand for our products, on the energy industry and the outlook for our business.

Note 2. Changes in Accumulated Other Comprehensive Losses

The change in Accumulated Other Comprehensive Losses (AOCL) presented on the Consolidated Balance Sheet and the impact of significant amounts reclassified from AOCL on information presented in the Consolidated Statement of Income for the three months ended March 31, 2020 and 2019 are reflected in the table below.

Changes in Accumulated Other Comprehensive Income (Loss) by Component⁽¹⁾

(Millions of dollars)




	Currency Translation Adjustment			Unrealized Holding Gains (Losses) on Securities			Derivatives			Defined Benefit Plans			Total
Balance at December 31, 2018	$	(124	)	$	(10	)	$	(2	)	$	(3,408	)	$	(3,544	)
Components of Other Comprehensive Income (Loss):
Before Reclassifications	(4		)	(1		)	—			(4		)	(9		)
Reclassifications	—			—			—			94			94
Net Other Comprehensive Income (Loss)	(4		)	(1		)	—			90			85
Balance at March 31, 2019	$	(128	)	$	(11	)	$	(2	)	$	(3,318	)	$	(3,459	)

Balance at December 31, 2019	$	(142	)	$	(8	)	$	—		$	(4,840	)	$	(4,990	)
Components of Other Comprehensive Income (Loss):
Before Reclassifications	(19		)	(3		)	—			2			(20		)
Reclassifications⁽²⁾	—			—			—			126			126
Net Other Comprehensive Income (Loss)	(19		)	(3		)	—			128			106
Balance at March 31, 2020	$	(161	)	$	(11	)	$	—		$	(4,712	)	$	(4,884	)

_______________________________


⁽¹⁾	All amounts are net of tax.


⁽²⁾	Refer to Note 9, Employee Benefits for reclassified components totaling $163 million that are included in employee benefit costs for the three months ended March 31, 2020. Related income taxes for the same period, totaling $37 million, are reflected in “Income Tax Expense” on the Consolidated Statement of Income. All other reclassified amounts were insignificant.

Note 3. New Accounting Standards

Financial Instruments - Credit Losses (Topic 326) Effective January 1, 2020, Chevron adopted Accounting Standards Update (ASU) 2016-13 and its related amendments. For additional information on the company's expected credit losses, refer to Note 17 beginning on page 22.

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)

Note 4. Information Relating to the Consolidated Statement of Cash Flows



	Three Months Ended March 31
	2020			2019
	(Millions of dollars)
Net decrease (increase) in operating working capital was composed of the following:
Decrease (increase) in accounts and notes receivable	$	2,986		$	473
Decrease (increase) in inventories	(733		)	(1,098		)
Decrease (increase) in prepaid expenses and other current assets	120			(667		)
Increase (decrease) in accounts payable and accrued liabilities	(3,268		)	(160		)
Increase (decrease) in income and other taxes payable	(201		)	242
Net decrease (increase) in operating working capital	$	(1,096	)	$	(1,210	)
Net cash provided by operating activities includes the following cash payments:
Interest on debt (net of capitalized interest)	$	106		$	186
Income taxes	981			757
Proceeds and deposits related to asset sales and returns of investment consisted of the following gross amounts:
Proceeds and deposits related to asset sales	$	363		$	276
Returns of investment from equity affiliates	11			18
Proceeds and deposits related to asset sales and returns of investment	$	374		$	294
Net maturities of (investments in) time deposits consisted of the following gross amounts:
Investments in time deposits	$	—		$	—
Maturities of time deposits	—			950
Net maturities of (investments in) time deposits	$	—		$	950
Net sales (purchases) of marketable securities consisted of the following gross amounts:
Marketable securities purchased	$	—		$	(1	)
Marketable securities sold	—			3
Net sales (purchases) of marketable securities	$	—		$	2
Net repayment (borrowing) of loans by equity affiliates consisted of the following gross amounts:
Borrowing of loans by equity affiliates	$	(425	)	$	(350	)
Repayment of loans by equity affiliates	26			29
Net repayment (borrowing) of loans by equity affiliates	$	(399	)	$	(321	)
Net borrowings (repayments) of short-term obligations consisted of the following gross and net amounts:
Proceeds from issuances of short-term obligations	$	4,952		$	359
Repayments of short-term obligations	(1,010		)	(134		)
Net borrowings (repayments) of short-term obligations with three months or less maturity	4,225			711
Net borrowings (repayments) of short-term obligations	$	8,167		$	936
Net sales (purchases) of treasury shares consists of the following gross and net amounts:
Shares issued for share-based compensation plans	$	178		$	523
Shares purchased under share repurchase and deferred compensation plans	(1,751		)	(538		)
Net sales (purchases) of treasury shares	$	(1,573	)	$	(15	)

The Consolidated Statement of Cash Flows excludes changes to the Consolidated Balance Sheet that did not affect cash.

The “Other” line in the Operating Activities section includes changes in postretirement benefits obligations and other long-term liabilities.

The company paid dividends of $1.29 per share of common stock in first quarter 2020. This compares to dividends of $1.19 per share paid in the corresponding year-ago period.

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)

The major components of “Capital expenditures” and the reconciliation of this amount to the reported capital and exploratory expenditures, including equity affiliates, are presented in the following table:



	Three Months Ended March 31
	2020		2019
	(Millions of dollars)
Additions to properties, plant and equipment	$	3,071	$	2,865
Additions to investments	13		14
Current-year dry hole expenditures	49		74
Payments for other assets and liabilities, net	—		—
Capital expenditures	3,133		2,953
Expensed exploration expenditures	108		103
Assets acquired through finance lease obligations and other financing obligations	—		146
Payments for other assets and liabilities, net	—		—
Capital and exploratory expenditures, excluding equity affiliates	3,241		3,202
Company's share of expenditures by equity affiliates	1,183		1,532
Capital and exploratory expenditures, including equity affiliates	$	4,424	$	4,734

The table below quantifies the beginning and ending balances of restricted cash and restricted cash equivalents in the Consolidated Balance Sheet:



	At March 31				At December 31
	2020		2019		2019		2018
	(Millions of dollars)
Cash and Cash Equivalents	$	8,492	$	8,699	$	5,686	$	9,342
Restricted cash included in “Prepaid expenses and other current assets”	434		195		452		341
Restricted cash included in “Deferred charges and other assets”	764		801		773		798
Total Cash, Cash Equivalents and Restricted Cash	$	9,690	$	9,695	$	6,911	$	10,481

Additional information related to “Restricted Cash” is included on page 20 in Note 14 under the heading “Restricted Cash.”

Note 5. Summarized Financial Data — Tengizchevroil LLP

Chevron has a 50 percent equity ownership interest in Tengizchevroil LLP (TCO). Summarized financial information for 100 percent of TCO is presented in the following table:



	Three Months Ended March 31
	2020		2019
	(Millions of dollars)
Sales and other operating revenues	$	3,296	$	4,107
Costs and other deductions	1,957		2,002
Net income attributable to TCO	$	938	$	1,481

Note 6. Summarized Financial Data — Chevron Phillips Chemical Company LLC

Chevron has a 50 percent equity ownership interest in Chevron Phillips Chemical Company LLC (CPChem). Summarized financial information for 100 percent of CPChem is presented in the table below:



	Three Months Ended March 31
	2020		2019
	(Millions of dollars)
Sales and other operating revenues	$	2,195	$	2,377
Costs and other deductions	1,812		2,004
Net income attributable to CPChem	$	337	$	449

Table of Contents

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)

Note 7. Summarized Financial Data — Chevron U.S.A. Inc.

Chevron U.S.A. Inc. (CUSA) is a major subsidiary of Chevron Corporation. CUSA and its subsidiaries manage and operate most of Chevron’s U.S. businesses. Assets include those related to the exploration and production of crude oil, natural gas and natural gas liquids and those associated with refining, marketing, and supply and distribution of products derived from petroleum, excluding most of the regulated pipeline operations of Chevron. CUSA also holds the company’s investment in the Chevron Phillips Chemical Company LLC joint venture, which is accounted for using the equity method.

The summarized financial information for CUSA and its consolidated subsidiaries is as follows:



	Three Months Ended March 31
	2020

Price	123.51	EPS	0
Shares	1,890,872	P/E	24,496
MCap	233,541,624	P/FCF	10,784
Net Debt	12,236	EBIT	13,963
TEV	233,553,860	TEV/EBIT	16,727
TTM 2019-09-30, in MM, except price, ratios

10-Q	2020-03-31	Filed 2020-05-06
10-K	2019-12-31	Filed 2020-02-21
10-Q	2019-09-30	Filed 2019-11-07
10-Q	2019-06-30	Filed 2019-08-07
10-Q	2019-03-31	Filed 2019-05-02
10-K	2018-12-31	Filed 2019-02-22
10-Q	2018-09-30	Filed 2018-11-08
10-Q	2018-06-30	Filed 2018-08-02
10-Q	2018-03-31	Filed 2018-05-03
10-K	2017-12-31	Filed 2018-02-22
10-Q	2017-09-30	Filed 2017-11-02
10-Q	2017-06-30	Filed 2017-08-03
10-Q	2017-03-31	Filed 2017-05-04
10-K	2016-12-31	Filed 2017-02-23
10-Q	2016-09-30	Filed 2016-11-03
10-Q	2016-06-30	Filed 2016-08-04
10-Q	2016-03-31	Filed 2016-05-05
10-K	2015-12-31	Filed 2016-02-25
10-Q	2015-09-30	Filed 2015-11-06
10-Q	2015-06-30	Filed 2015-08-05
10-Q	2015-03-31	Filed 2015-05-07
10-K	2014-12-31	Filed 2015-02-20
10-Q	2014-09-30	Filed 2014-11-07
10-Q	2014-06-30	Filed 2014-08-06
10-Q	2014-03-31	Filed 2014-05-02
10-K	2013-12-31	Filed 2014-02-21
10-Q	2013-09-30	Filed 2013-11-08
10-Q	2013-06-30	Filed 2013-08-07
10-Q	2013-03-31	Filed 2013-05-02
10-K	2012-12-31	Filed 2013-02-22
10-Q	2012-09-30	Filed 2012-11-06
10-Q	2012-06-30	Filed 2012-08-02
10-Q	2012-03-31	Filed 2012-05-03
10-K	2011-12-31	Filed 2012-02-23
10-Q	2011-09-30	Filed 2011-11-03
10-Q	2011-06-30	Filed 2011-08-04
10-Q	2011-03-31	Filed 2011-05-05
10-K	2010-12-31	Filed 2011-02-24
10-Q	2010-09-30	Filed 2010-11-05
10-Q	2010-06-30	Filed 2010-08-05
10-Q	2010-03-31	Filed 2010-05-05
10-K	2009-12-31	Filed 2010-02-25

8-K	2020-05-11	Other Events, Exhibits
8-K	2020-05-01	Earnings, Exhibits
8-K	2020-05-01	Regulation FD
8-K	2020-03-24	Regulation FD, Other Events, Exhibits
8-K	2020-01-31	Earnings, Exhibits
8-K	2020-01-28	Officers, Exhibits
8-K	2019-12-30	Officers
8-K	2019-12-04	Impairments, Regulation FD, Exhibits
8-K	2019-11-01	Earnings, Exhibits
8-K	2019-09-25	Amend Bylaw, Exhibits
8-K	2019-08-02	Earnings, Exhibits
8-K	2019-05-29	Shareholder Vote
8-K	2019-05-28	Officers
8-K	2019-05-09	Leave Agreement
8-K	2019-05-09	Other Events, Exhibits
8-K	2019-04-26	Earnings
8-K	2019-04-12	Other Events, Exhibits
8-K	2019-04-11	Enter Agreement, Exhibits
8-K	2019-02-01	Earnings, Other Events
8-K	2019-01-30	Officers
8-K	2019-01-29	Officers, Exhibits
8-K	2018-12-04	Officers, Exhibits
8-K	2018-11-02	Earnings
8-K	2018-07-27	Earnings
8-K	2018-05-30	Shareholder Vote
8-K	2018-04-27	Earnings
8-K	2018-02-02	Earnings
8-K	2018-01-31	Officers, Exhibits
8-K	2018-01-30	Officers, Exhibits

EX-10.1	a03312020ex101-aircraft.htm
EX-31.1	a03312020ex311ceo-sox3.htm
EX-31.2	a03312020ex312cfo-sox3.htm
EX-32.1	a03312020ex321ceo-sox9.htm
EX-32.2	a03312020ex322cfo-sox9.htm

CVX 10Q Quarterly Report

Chevron Earnings 2020-03-31