# Hess Corporation (HES) — Financial Analysis

**Exchange:** NYSE  
**Coverage as of:** 2026-Q2  
**Updated:** 2026-05-13  
**Tier:** Free primer (step 2 of 19)  
**Sibling pages:** /stocks/HES/thesis · /stocks/HES/memo

## Financial Snapshot

---
ticker: HES
step: 04
generated: 2026-05-12
source: quick-research
---

### Hess Corporation (HES) — Financial Snapshot

> **Note: Hess was acquired by Chevron on July 18, 2025. Financials reflect Hess as an independent public company.**

#### Income Statement Summary

| Metric | FY2022 | FY2023 | FY2024 | YoY |
|--------|--------|--------|--------|-----|
| Revenue | $11.57B | $10.65B | $13.02B | +22% |
| Gross Margin | ~55% | ~52% | ~55% | flat |
| Operating Margin | ~25% | ~20% | ~25% | flat |
| Net Income | ~$2.8B | ~$1.8B | ~$2.5B | +39% |
| EPS (diluted) | ~$8.81 | ~$5.82 | ~$8.17 | +40% |

*Revenue and earnings are highly sensitive to oil price (WTI/Brent). FY2023 decline reflects lower oil prices. FY2024 recovery driven by higher production from Guyana and Bakken plus oil price recovery.*
*Q1 2025 operating cash flow (before working capital changes): $1.315B (~$5.3B annualized run-rate).*

#### Cash Flow & Balance Sheet (FY2024)

| Metric | Value |
|--------|-------|
| Operating Cash Flow | ~$4.5–5.0B |
| Capital Expenditures | ~$4.5B (FY2025 guidance) |
| Free Cash Flow | ~$0.5–1.0B (net, after heavy Guyana capex) |
| Cash & Equivalents | ~$1.5B |
| Total Debt | ~$7.5B |
| Net Production (Q1 2025) | 476,000 boepd |

*Hess was in a high-capex investment phase through the Guyana development (Yellowtail FPSO, $4.5B+ annual capex); the payoff was projected to be massive FCF growth as Guyana reached plateau production.*

#### Key Ratios (approximate, pre-acquisition)
- EV/EBITDA: ~8–10x (E&P sector) | FCF Yield: Low during capex phase, expanding post-Yellowtail
- Net Production: ~476,000 boepd (Q1 2025) | Guyana: ~183,000 bopd (Q1 2025)
- Bakken: ~195,000 boepd (Q1 2025) | 2025 full-year guidance: ~490,000 boepd

#### Growth Profile
Hess was a growth story driven almost entirely by Guyana. The Stabroek Block (30% WI, operated by ExxonMobil with 45%; CNOOC 25%) was in production expansion mode: Liza I (120,000 bopd), Liza II (220,000 bopd), Payara (220,000 bopd), and Yellowtail (250,000 bopd starting Q3 2025) — reaching ~810,000 bopd gross (Hess net ~243,000 bopd) by 2027. The full Stabroek Block production was projected to reach 1.3 million bopd by 2027, making it one of the most valuable oil development programs in the world. After Yellowtail ramp-up, Hess's FCF was expected to inflect sharply as capex normalized.

#### Forward Estimates (standalone, pre-acquisition)
- Post-Yellowtail FCF: ~$3–4B+ annually at $70–80/barrel Brent, an extraordinary FCF inflection
- Guyana production: 30% share of 1.3M bopd = ~390,000 bopd net by 2027 (from ~183,000 in Q1 2025)
- Chevron acquisition value: ~$53B ($171/share at announcement); all-stock deal at 1.025 CVX/HES

## Deeper Financial Analysis

The fundamental tier ($1.00) adds 8 dimensions not included here:

- Revenue Breakdown — segment revenue, geographic mix, product-line margins
- Financial Trends — QoQ momentum, leading indicators, inflection points
- Balance Sheet — debt structure, dilution risk, working capital dynamics
- Capital Allocation — ROIC, buyback cadence, reinvestment efficiency
- Earnings Analysis — beats/misses, guidance vs actuals, transcript highlights
- Competitive Positioning — market share, pricing power, peer benchmarks
- Industry Context — TAM, sector tailwinds/headwinds, regulatory backdrop

**API endpoint:** GET /api/v1/research/HES/fundamental

## Navigation

- Overview: /stocks/HES
- Financials (this page): /stocks/HES/financials
- Thesis: /stocks/HES/thesis
- Investment Memo: /stocks/HES/memo
- Coverage universe: /stocks