Occidental reduced principal debt by $1.8 billion in the third quarter, ending Sept. 30 with $10 billion outstanding, while free cash flow before working capital from continuing operations totaled $2.779 billion.
The results cover the quarter ended Sept. 30 and are detailed in an Occidental earnings release filed with the U.S. Securities and Exchange Commission. Adjusted diluted EPS from continuing operations, a non-GAAP measure, was $1.91, compared with $0.51 a year earlier.
Under generally accepted accounting principles (GAAP), diluted EPS from continuing operations was $1.63 in Q3 2026, while total diluted EPS was $1.61, reflecting a $0.02 loss from discontinued operations. In Q3 2025, adjusted and GAAP diluted EPS from continuing operations were both $0.51; total GAAP EPS was $0.65, including $0.14 from discontinued operations. The figures have different scopes: total GAAP EPS includes continuing and discontinued operations, while the adjusted measure covers continuing operations.
Net sales were $6.567 billion. Reported net income attributable to common stockholders was $1.637 billion, a figure that includes discontinued operations. Occidental also reported $1.951 billion in non-GAAP adjusted income attributable to common stockholders from continuing operations. The company attributed most of the gap to derivative losses.
Operating cash flow from continuing operations was $4.1 billion, and capital expenditures were $1.3 billion. Occidental classifies free cash flow before working capital from continuing operations as a non-GAAP measure; it totaled $2.779 billion, rounded to $2.8 billion.
Oil and gas pretax income fell to $2.6 billion from $2.8 billion in Q2. Excluding items affecting comparability, lower realized crude prices weighed on the result, while higher domestic natural gas prices cushioned the decline.
Richard Jackson, Occidental’s president and CEO, linked the company’s stronger balance sheet to a goal of adding more than $4 billion in annual sustainable cash flow by 2030. He described capital returns and long-term shareholder value as intended outcomes. Occidental also said it had retired $10.4 billion in debt since the start of 2026.
