EX-99.2 3 a4939009ex992.txt EXHIBIT 99.2 Exhibit 99.2 ConocoPhillips Houston, Texas 77079
Preliminary FINANCIAL HIGHLIGHTS Millions of Dollars --------------------------------------------------- Three Months Ended Six Months Ended June 30 June 30 ----------------------- ----------------------- 2005 2004 2005 2004 ---------- ---------- --------- --------- Revenues Sales and other operating revenues* $ 41,808 31,528 79,439 61,341 Equity in earnings of affiliates 701 322 1,754 591 Other income 105 36 339 171 ---------- ------ ------ ------ 42,614 31,886 81,532 62,103 ---------- ------ ------ ------ Costs and expenses Purchased crude oil, natural gas and products 28,523 20,363 54,095 40,098 Production and operating expenses 2,147 1,840 4,099 3,505 Selling, general and administrative expenses 539 516 1,078 984 Exploration expenses 121 163 292 306 Depreciation, depletion and amortization 985 912 2,026 1,830 Property impairments 9 20 31 51 Taxes other than income taxes* 4,664 4,428 9,152 8,542 Accretion on discounted liabilities 41 41 89 77 Interest and debt expense 127 159 265 304 Foreign currency transaction losses (gains) 21 (33) 18 (49) Minority interests 5 7 15 21 ---------- ------ ------ ------ 37,182 28,416 71,160 55,669 ---------- ------ ------ ------ Income from continuing operations before income taxes 5,432 3,470 10,372 6,434 Provision for income taxes 2,301 1,457 4,318 2,818 ---------- ------ ------ ------ Income from continuing operations 3,131 2,013 6,054 3,616 Income (loss) from discontinued operations 7 62 (4) 75 ---------- ------ ------ ------ Net income $ 3,138 2,075 6,050 3,691 ========== ====== ====== ====== Income per share of common stock (dollars)** Basic Continuing operations $ 2.24 1.46 4.33 2.63 Discontinued operations 0.01 0.04 -- 0.05 Net income $ 2.25 1.50 4.33 2.68 Diluted Continuing operations $ 2.21 1.44 4.26 2.60 Discontinued operations -- 0.04 -- 0.05 Net income $ 2.21 1.48 4.26 2.65 Average common shares outstanding (in thousands)** Basic 1,396,724 1,379,380 1,397,305 1,375,788 Diluted 1,419,288 1,398,022 1,420,022 1,393,528 *Includes excise, value added and other similar taxes on petroleum products sales: $ 4,338 4,172 8,493 7,994 ** Per-share amounts and average number of common shares outstanding in all periods reflect a two-for-one stock split effected as a 100 percent stock dividend on June 1, 2005.
1 ConocoPhillips Houston, Texas 77079
Preliminary SELECTED FINANCIAL DATA Millions of Dollars --------------------------------------- Three Months Ended Six Months Ended June 30 June 30 --------------------- ----------------- 2005 2004 2005 2004 INCOME (LOSS) FROM CONTINUING OPERATIONS E&P United States $ 966 671 1,858 1,306 International 963 683 1,858 1,305 ------- ----- ----- ----- Total E&P 1,929 1,354 3,716 2,611 ------- ----- ----- ----- Midstream 68 42 453 97 ------- ----- ----- ----- R&M United States 936 734 1,506 1,137 International 174 84 304 145 ------- ----- ----- ----- Total R&M 1,110 818 1,810 1,282 ------- ----- ----- ----- LUKOIL Investment 148 -- 258 -- Chemicals 63 46 196 85 Emerging Businesses (8) (29) (16) (51) Corporate and other (179) (218) (363) (408) ------- ----- ----- ----- Consolidated $ 3,131 2,013 6,054 3,616 ======= ===== ===== ===== INCOME (LOSS) FROM DISCONTINUED OPERATIONS Corporate and other 7 62 (4) 75 SUMMARY OF NET INCOME (LOSS) E&P United States $ 966 671 1,858 1,306 International 963 683 1,858 1,305 ------- ----- ----- ----- Total E&P 1,929 1,354 3,716 2,611 ------- ----- ----- ----- Midstream 68 42 453 97 ------- ----- ----- ----- R&M United States 936 734 1,506 1,137 International 174 84 304 145 ------- ----- ----- ----- Total R&M 1,110 818 1,810 1,282 ------- ----- ----- ----- LUKOIL Investment 148 -- 258 -- Chemicals 63 46 196 85 Emerging Businesses (8) (29) (16) (51) Corporate and other (172) (156) (367) (333) ------- ----- ----- ----- Net income $ 3,138 2,075 6,050 3,691 ======= ===== ===== =====
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ConocoPhillips Houston, Texas 77079 Preliminary SELECTED FINANCIAL DATA Three Months Ended Six Months Ended June 30 June 30 ------------------ ------------------ 2005 2004 2005 2004 ------- ------ ----- ---- INCOME (LOSS) FROM CONTINUING OPERATIONS Effective tax rate % 42.4 % 42.0 41.6 43.8 Millions of Dollars FOREIGN CURRENCY GAINS (LOSSES) AFTER-TAX E&P $ (8) 14 4 19 Midstream 7 -- 7 -- R&M (18) 5 (36) 6 LUKOIL Investment -- -- -- -- Chemicals -- -- -- -- Emerging Businesses -- 1 -- 1 Corporate and other (11) -- (4) 6 -------- ----- ----- ----- $ (30) 20 (29) 32 ======== ===== ===== ===== CASH FLOWS FROM OPERATING ACTIVITIES Income from continuing operations $ 3,131 2,013 6,054 3,616 Depreciation, depletion and amortization 985 912 2,026 1,830 Property impairments 9 20 31 51 Dry hole costs and leasehold impairment 47 105 156 192 Accretion on discounted liabilities 41 41 89 77 Deferred income taxes 369 310 492 670 Undistributed equity earnings (414) (97) (1,219) (278) Net (gain) loss on asset dispositions (65) (6) (242) (88) Other (113) 65 (191) 135 Working capital changes (1,224) (1,101) (336) (1,878) -------- ----- ----- ----- Net cash provided by continuing operations 2,766 2,262 6,860 4,327 Net cash provided by discontinued operations 2 14 (3) 22 -------- ----- ----- ----- Net cash provided by operating activities $ 2,768 2,276 6,857 4,349 ======== ===== ===== ===== CAPITAL EXPENDITURES AND INVESTMENTS E&P United States $ 576 308 898 614 International 1,761 931 2,645 1,835 -------- ----- ----- ----- 2,337 1,239 3,543 2,449 Midstream -- 2 1 5 R&M 360 278 635 493 LUKOIL Investment 384 -- 708 -- Chemicals -- -- -- -- Emerging Businesses 7 27 3 55 Corporate and other* 37 38 57 63 -------- ----- ----- ----- $ 3,125 1,584 4,947 3,065 ======== ===== ===== ===== *Excludes discontinued operations OTHER At June 30, 2005 At December 31, 2004 Total debt $ 14,013 15,002 Common stockholders' equity $ 47,300 42,723
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Preliminary OPERATING HIGHLIGHTS BY SEGMENT Three Months Ended Six Months Ended June 30 June 30 ------------------ ---------------- 2005 2004 2005 2004 ---- ---- ---- ---- Thousands of Barrels Daily E&P Crude oil produced United States Alaska 297 307 303 314 Lower 48 63 52 62 52 --- --- --- --- 360 359 365 366 Norway 195 212 201 213 United Kingdom 60 64 60 66 Canada 23 25 23 26 China 25 28 24 30 Indonesia 16 14 19 15 Vietnam 26 31 26 31 Timor Sea 21 15 29 10 Other 54 61 54 61 --- --- --- --- Total consolidated 780 809 801 818 Equity affiliates 123 104 122 109 --- --- --- --- Total Worldwide 903 913 923 927 === === === === Syncrude 21 20 18 22 === === === === Natural gas liquids produced United States Alaska* 16 23 20 25 Lower 48 31 26 29 25 --- --- --- --- 47 49 49 50 Norway 9 8 9 8 Canada 10 10 10 10 Timor Sea 9 4 13 2 Other 5 8 6 8 --- --- --- --- Total Worldwide 80 79 87 78 === === === === *Includes reinjected volumes sold lease-to-lease 1 15 7 15 Millions of Cubic Feet Daily Natural gas produced* United States Alaska 148 147 166 166 Lower 48 1,195 1,226 1,182 1,229 ----- ----- ----- ----- 1,343 1,373 1,348 1,395 Norway 268 303 283 312 United Kingdom 741 821 782 850 Canada 422 437 420 432 Timor Sea 35 32 35 36 Indonesia 287 237 280 243 Vietnam 14 15 16 16 Other 81 81 78 73 ----- ----- ----- ----- Total consolidated 3,191 3,299 3,242 3,357 Equity affiliates 7 4 7 6 ----- ----- ----- ----- Total Worldwide 3,198 3,303 3,249 3,363 ===== ===== ===== ===== *Represents quantities available for sale Excludes gas equivalent of NGL shown above Liquefied natural gas sales 96 82 114 100 LUKOIL Investment Production (MBOE/D)* 223 -- 213 -- Refinery crude oil throughput (MB/D)* 102 -- 97 -- *Represents our estimated net share of LUKOIL
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Preliminary OPERATING HIGHLIGHTS Three Months Ended Six Months Ended June 30 June 30 --------------------- --------------------- 2005 2004 2005 2004 ---- ---- ---- ---- E&P Per Unit Average sales prices Crude oil (per barrel) United States Alaska $ 49.22 36.53 46.55 34.68 Lower 48 43.58 34.39 42.45 33.11 Total U.S. 48.21 36.22 45.86 34.45 International 49.41 34.58 47.68 33.02 Total consolidated 48.88 35.32 46.85 33.68 Equity affiliates 36.11 25.48 33.59 22.17 Total Worldwide 46.93 34.17 45.04 32.27 Natural gas-lease (per MCF) United States Alaska 2.49 2.31 2.72 2.43 Lower 48 6.20 5.49 5.93 5.25 Total U.S. 6.07 5.35 5.83 5.11 International 5.16 3.81 5.10 3.96 Total consolidated 5.53 4.43 5.38 4.42 Equity affiliates 0.32 0.31 0.30 3.14 Total Worldwide 5.52 4.43 5.38 4.42 Midstream Thousands of Barrels Daily Natural gas liquids extracted Consolidated United States 21 24 22 38 International 44 33 48 40 Equity affiliates United States* 112 112 111 111 International 6 5 6 6 ------ ----- ---- --- 183 174 187 195 ====== ===== ==== === *Represents 30.3 percent interest in Duke Energy Field Services LLC (DEFS). Per Barrel U.S. product prices Weighted average NGL** Consolidated $ 32.49 26.42 32.22 26.05 DEFS 31.33 25.61 30.97 25.21 **Prices are based on index prices from the Mont Belvieu and Conway market hubs that are weighted by natural-gas-liquids component and location mix.
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Three Months Ended Six Months Ended June 30 June 30 ------------------------- ----------------------- 2005 2004 2005 2004 -------- ------- ------- ------ Thousands of Barrels Daily R&M United States Crude oil capacity 2,182 2,168 2,178 2,168 Crude oil runs 2,133 2,119 2,046 2,112 Refinery production 2,349 2,300 2,247 2,273 International* Crude oil capacity 428 447 428 447 Crude oil runs 402 309 415 359 Refinery production 410 318 427 364 U.S. Petroleum products outside sales Automotive Gasoline 1,426 1,328 1,364 1,321 Distillates 680 538 662 554 Aviation fuels 214 191 206 185 Other products 566 573 514 545 ------ ----- ------ ----- 2,886 2,630 2,746 2,605 International 477 440 486 472 ------ ----- ------ ----- 3,363 3,070 3,232 3,077 ====== ===== ====== ===== Per Gallon U.S. Average sales prices** Automotive gasoline-wholesale $ 1.67 1.40 1.56 1.28 Automotive gasoline-retail 1.85 1.61 1.70 1.47 Distillates-wholesale 1.66 1.17 1.57 1.09 *Includes ConocoPhillips' share of equity affiliates except LUKOIL. **Excludes excise taxes.
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