• Total oil equivalent production came in at 3,858 million barrels of oil-equivalent per day in the first quarter. 
• First-quarter revenue of $48.61 billion missed estimates, but adjusted earnings per share stood at $1.41, ahead of the $0.97 estimate.
• Wirth highlighted pressure on global energy systems due to the Strait of Hormuz crisis, but noted that CVX’s exposure to the Middle East is less than 5%.

Chevron's (CVX) Chief Executive Officer, Mike Wirth, on Friday offered a cautious commentary on the global energy crisis stemming from the ongoing Middle East crisis, which has choked the global oil supply and is depleting reserves for many nations, but highlighted that the company is insulated, as reflected in its first-quarter production numbers.

“The global energy system continues to be under extreme stress,” he said during an interview with CNBC after reporting first-quarter results. “The longer this goes on, I think the more acute the situation becomes,” he added, commenting on oil prices.

Chevron Largely Unaffected By US-Iran War

While noting that the world is paying the price for the ongoing U.S.-Iran war in the Strait of Hormuz, Chevron CEO pointed out that his company is largely unaffected due to its very low exposure in the Middle East.

“We have big positions in countries in North and South America, in Asia, in Africa, and just less exposure to the Middle East than some of the other companies in the industry,” Wirth said, adding that the company’s exposure to the region is less than 5%. 

“We've got production in a couple of countries there, in Saudi Arabia and Kuwait. We produce a lot of natural gas in Israel, but our operations there have been much less impacted, and it's a much smaller part of our portfolio than it is for some of our peers.”

CVX Reports Mixed Q1

For the first quarter (Q1), revenue rose by $1 billion to $48.61 billion, missing the $52.7 billion estimate polled by Fiscal AI, but adjusted earnings per share (EPS) were $1.41, ahead of the $0.97 estimate.

The company saw worldwide and U.S. production increase by 15% and 24%, respectively. Total oil equivalent production came in at 3,858 million barrels of oil-equivalent per day (MBOED) compared to 3,353 MBOED in the same period last year.

“It was a quarter where we had strong U.S. production, record U.S. refinery runs, and the resilience of our portfolio really showed through,” Wirth said. “This is the third consecutive quarter of U.S. production greater than two million barrels a day.”

How Did Retail Traders React? 

On Stocktwits, retail sentiment about CVX turned ‘bullish’ from ‘bearish’ over the last 24 hours.

CVX stock has risen 27% year-to-date and nearly 42% over the last 12 months, outperforming the benchmark S&P 500 index.

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