USA: Hess Q2 Profit Climbs

Hess Corporation today reported net income of $1,431 million for the quarter ended June 30, 2013. Adjusted earnings, which excludes the gain on sale of our Russian subsidiary and other items affecting comparability, were S520 million or S1.51 per common share. Net cash provided by operating activities was $1,247 million in the second quarter.

After-tax income (loss) by major operating activity was as follows:

Second Quarter Highlights:

• Net income increased to $1,431 million from $549 million in the second quarter of 2012
• Adjusted earnings were $520 million; adjusted EPS was $1.51 per share
• Corporation completed the sale of its Russian subsidiary, Samara-Naña; proceeds to Hess were $1.9 billion
• Proceeds from year-to-date asset sales were used to reduce debt by $2.4 billion and add cash to the balance sheet
• Capital and exploratory expenditures of $1,613 million in the second quarter of 2013 were down 22 percent from the same quarter last year