Chevron announced its third-quarter 2024 results, reporting earnings of $4.5 billion, or $2.48 per diluted share, a decrease from $6.5 billion, or $3.48 per diluted share, reported in the same period last year.

The decline was partly attributed to a $44 million impact from foreign currency effects, as Chevron stated on Friday.

Despite the lower earnings, Chevron’s results surpassed analyst forecasts, which had projected a revenue of $48.99 billion and an EPS of $2.43.

“We delivered strong financial and operational results, started up key projects in the US Gulf of Mexico and returned record cash to shareholders this quarter,” said Mike Wirth, Chevron’s chairman and chief executive officer.

Worldwide net oil-equivalent production grew by 7% year-over-year, with the US and Permian Basin achieving a new quarterly production record. Chevron started operations at the Anchor, Jack/St. Malo, and Tahiti fields, which are anticipated to contribute to a rise in US Gulf of Mexico production to 300,000 barrels of net oil-equivalent per day by 2026.

The company returned a record $7.7 billion of cash to shareholders during the quarter, including share repurchases of $4.7 billion and dividends of $2.9 billion.

“We are also taking steps to optimize our portfolio and reduce operating costs to deliver superior long-term value to shareholders,” Wirth added.

Chevron plans to close asset sales in Canada, Congo, and Alaska in the fourth quarter of 2024, as part of its broader strategy to divest $10-15 billion in assets by 2028.

The company is also targeting structural cost reductions of $2-3 billion from 2024 levels by the end of 2026.