ChevronTexaco Corp, the No 2 US oil company, on Friday reported a 62 percent rise in quarterly profit due to record oil prices and gains from asset sales, but the results fell short of Wall Street forecasts.
Record oil prices - which have shot up 60 percent this year - fuelled results at the company's exploration and production operations and higher margins boosted results at its international refining and marketing businesses.
But that was partly offset by lower margins for refined products in the United States and disruptions from hurricanes that swept through the Gulf of Mexico and Caribbean.
Net income in the third quarter jumped to $3.2 billion, or $1.51 a share, from $2.0 billion, or $1.01 a share, in the year-earlier quarter.
The results included gains of $486 million, or 23 cents a share, related to the sale of non-strategic assets.
Excluding those gains, however, profit was below Wall Street expectations of $1.36 a share, according to Reuters Estimates.
"They are disappointing," Gene Gillespie, analyst at Howard, Weil, Labouisse, Friedrichs Inc, said of the results.
He said since the company's production figures appeared to be in line with estimates, the shortfall was likely due to higher-than-expected costs.
Total revenues jumped to $40.72 billion from $30.84 billion a year earlier.
World-wide oil-equivalent production declined about 6 percent from year earlier levels, largely because of properties sold as well as the impact of hurricanes and higher prices on production sharing contracts.
Damage from Hurricane Ivan in September is expected to restrict production in the fourth quarter by about 50,000 to 60,000 barrels per day, the company said.
The company's shares were up 22 cents, or 0.4 percent, at $52.69 in early trading as crude prices stabilised after a recent fall.