Oil company ConocoPhillips reported fourth-quarter 2025 earnings of $1.4 billion, or $1.17 per share, down from $2.3 billion in the same period of 2024. This downward trend was also reflected in the full year, with annual net income of $8 billion, down from $9.2 billion in 2024.
The company attributed this decline to the drop in oil the drop in oil prices, which in the fourth quarter averaged $42.46 per barrel of oil equivalentwhich in the fourth quarter averaged 42.46 dollars per barrel of oil equivalent, 19% lower year-on-year. However, this decline was partially offset by an increase in production, which reached 2.32 billion barrels of oil equivalent per day (bpd), led by assets in the Delaware Basin, Eagle Ford, Bakken and Midland.
ConocoPhillips and its forecast for 2026
Looking ahead, the company kept its 2026 capital spending plan unchanged at around $12 billion. It also forecasts production of between 2.33 and 2.36 million bped for the full year, despite possible weather disruptions in the first quarter.
ConocoPhillips also reaffirmed its goal of returning 45% of its operating cash flow to shareholders, while planning a 1 billion reduction in capital and operating costs. During 2025, the company generated $19.9 billion in cash from operations 9 billion in share repurchases and dividends.
Asset integration and liquefied natural gas focus
One of the strategic pillars was the integration of Marathon Oil, whose synergy exceeded 1 billion in 2025. This operation strengthened ConocoPhillips’ position to face low price contexts without compromising margins.
At the same time, the company advanced in large liquefied natural gas (LNG) projects (LNG), including its participation in North Field East and South in Qatar and in Port Arthur LNG (Texas), with plans for start-up in the second half of 2026. Its portfolio of commercial LNG purchases already reaches 10 million tons per year, consolidating its long-term commitment to this energy source.
Reserves and capital recycling
The company ended the year with 7.6 billion barrels of proved reserves and a replacement rate of 80%. Excluding acquisitions, the organic rate was a robust 99%.
In line with the industry trend, ConocoPhillips also made asset disposals of US$3.2 billion in 2025, with the goal of reaching US$5 billion by the end of 2026. This approach seeks to optimize the portfolio and maximize the return on invested capital.
Source: ConocoPhillips
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