CVX Chevron Corporation

Chevron Corp. swung to a loss in the latest quarter—its third straight period in the red—as depressed prices continued to drag results, though the company's revenue decline was less than anticipated.

Shares in the second-largest energy company in the U.S. by revenue fell 1.4% to $100.35.

Chief Executive John Watson said results reflected lower oil prices and "our ongoing adjustment to a lower-oil-price world." In the second quarter, the company's average sales price per barrel of crude oil and natural gas liquids was $36, down from $50 a year ago.

Like many of its peers, the San Ramon, Calif.-based oil company has looked to cut costs as sharply lower energy prices cut into profitability. Chevron has said it would cut about 8,000 jobs—up to 12% of its workforce—and slash billions of dollars from its capital-spending budget to deal with market conditions.

In all for the June quarter, Chevron reported a loss of $1.47 billion, or 78 cents a share, compared with a profit of $571 million, or 30 cents a share, a year earlier.

Revenue slid 27% to $29.28 billion. Analysts had projected earnings of 32 cents a share on $28.54 billion in revenue.

Profit in Chevron's downstream, or refining, operations plunged 57% to $1.28 billion in the latest quarter.

Upstream operations, which include exploration and drilling, meanwhile, were hit even worse by the plunge in energy prices. In the U.S., the segment's loss deepened to $2.46 billion from $2.22 billion a year ago. Mr. Watson said the upstream business recorded impairment and other charges on certain assets where revenue from expected oil and gas production is expected to be insufficient to recover costs.

Also Friday, rival Exxon Mobil Corp., the largest U.S. oil company, said its quarterly profit dropped 60% and its top and bottom lines came in worse than expected as the oil giant remains racked by low energy prices.

Write to Anne Steele at Anne.Steele@wsj.com

(END) Dow Jones Newswires

July 29, 2016 09:15 ET (13:15 GMT)

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