Chevron Sags 45% on Low Energy Prices

Chevron Corp., the nation’s fourth-largest oil company, said Tuesday its earnings fell 45% in the first quarter because of low energy prices and weak demand for its products.

It reported earnings of $304 million, or 88 cents a share, compared to $557 million, or $1.59 a share, a year earlier.

“The first quarter saw no improvement in the depressed state of the U.S. petroleum and chemical industries,” Chevron Chairman Kenneth Derr said.

“Low crude oil and natural gas prices coupled with sluggish demand for refined petroleum and chemical products continued to take their toll on our earnings,” he said.

For the first quarter, the San Francisco-based company reported sales of $9.7 billion, compared to $10.8 billion a year earlier.

The news apparently had little impact on Chevron’s stock, which closed 25 cents higher at $68.375 on the New York Stock Exchange.