2025-07-24 22:49
HOUSTON, July 24 (Reuters) - Chevron (CVX.N) , opens new tab leaders told Hess employees to stay focused on safe operations and that they will hear next week if they will continue to have jobs following the oil producer's acquisition, according to two Hess employees who spoke with Reuters. Chevron, the second-largest U.S. oil producer, closed its $55 billion acquisition of Hess on Friday after prevailing in a landmark legal fight against Exxon Mobil(XOM.N) , opens new tab that delayed the closing by over a year. Sign up here. The deal was critical to Chevron CEO Mike Wirth's strategy to improve the business as it sought to cut costs and faced investor concerns about future growth prospects. The company will lay off 575 Hess employees in Houston effective September 26, according to a notice filed with the Texas Workforce Commission, or about 32% of staff based on Hess' headcount at the end of last year. During town hall meetings at Hess' Houston office on Tuesday, Chevron representatives presented a slide that showed safety incidents have risen during volatile periods historically, cautioning them to continue prioritizing safety, according to the two employees, who declined to be named to discuss an internal meeting. Hess staff were told they will be notified next week if they have a full-time position with the company moving forward or a short-term role to help with the transition. "These are difficult decisions which we do not make lightly," a Chevron spokesperson said, adding the company will offer severance and other support. The emphasis on safety comes after Wirth warned Chevron employees earlier this year that the company saw an increase in close calls that could have resulted in serious injuries or fatalities. Chevron and Hess staff were asked not to contact each other until the integration is complete, according to the two Hess employees and an internal Chevron message that Reuters reviewed. "We need them to focus on safe operations and on navigating the complex changes that result from this merger," said the internal Chevron message. https://www.reuters.com/business/energy/chevron-tells-hess-staff-focus-safety-they-await-job-updates-2025-07-24/
2025-07-24 22:49
Becle's stock up 7% after 300% profit surge Profits rise despite shrinking demand abroad Executives point to signs of recovery Trade stable amid U.S. tariff threats MEXICO CITY, July 24 (Reuters) - Shares in Becle (CUERVO.MX) , opens new tab, the world's largest tequila producer, surged over 7% on Thursday after it reported a quadrupling in its second-quarter profit despite shrinking demand, and as executives indicated signs of recovery in the company's main markets. Becle, which makes the bulk of its income from Jose Cuervo family tequilas as well as a range of mezcals, vodkas, gins and whiskeys, saw close to 900,000 shares change hands the day after it reported results, which surpassed analysts' forecasts. Sign up here. Analysts responded positively to better-than-expected profit margins as the company benefited from a weaker peso, which boosted its peso-denominated U.S. sales, lower input costs and a long-standing strategy to position itself in more upmarket brands. Becle's margin on earnings before interest, taxes, depreciation and amortization jumped to 23.4% from 20.7% a year ago, even as net sales dipped 6% as the Mexican distiller shipped less volumes in all its foreign markets. "For the longer term, we wonder if the 25% EBITDA margins of yesteryear are a desert mirage or not," analysts at Scotiabank said in a note, pointing out that industry data showed a fast-paced worldwide plunge in thirst for spirits, notably in the United States where trade association numbers "tell a dire story." Analysts have attributed slowing demand to de-stocking following pandemic stockpiling, customers tightening wallets amid higher costs, a shift to pre-mixed canned options and other trends such as legal cannabis and health concerns. Becle, which also sells canned cocktails and non-alcoholic drinks, remains "resilient amid industry plunge," Scotiabank said, noting the company was selling off aging spirits it distilled when prices for agave - the spiked plant whose kernels are used to make tequila and smokier mezcal - were higher. 'ENCOURAGING EARLY SIGNS' Speaking in a call with analysts, CEO Juan Domingo Beckmann said Becle would focus on speeding U.S. growth in the second half of 2025. Becle makes some 60% of its net sales in the U.S. and Canada, and 25% in Mexico. "Encouraging early signs of recovery in key markets, alongside sustained demand for high-quality authentic brands, support a more constructive outlook ahead," Beckmann said. Speaking on the latest U.S. tariff threats, Becle's U.S. and Canada managing director, Mauricio Vergara, said trade remained stable under the existing frameworks and "to date, no significant material regulatory changes have occurred." Vergara said he still expected "near-term volatility to persist" as the industry adjusts to ongoing challenges. U.S. Commerce Secretary Howard Lutnick on Sunday signaled that the latest tariff threats should exempt goods covered by the North American free trade pact - such as tequila. Products named tequila or mezcal are protected by origin, like French Champagne, and must be made in Mexico. The on-and-off tariff threats have hit small-scale distillers hardest, as potential tariff hikes in a key market threaten long-term hiring and re-stocking plans. Agave plants take up to 10 years to harvest and higher-end, deeper-flavored aged tequilas can spend years in the barrel. Though tariff threats battered Becle's stock earlier in 2025, it ended Thursday up 0.55% from January. ($1 = 18.5733 Mexican pesos) https://www.reuters.com/world/americas/becles-stock-surges-after-worlds-top-tequila-maker-profit-jumps-2025-07-24/
2025-07-24 22:38
July 24 (Reuters) - U.S. timber company Weyerhaeuser (WY.N) , opens new tab reported a 50% drop in second-quarter profit on Thursday, hurt by continued weakness in commodity wood product pricing and softer demand across key end markets. Sales of new U.S. single-family homes fell by the most in nearly three years in May as high mortgage rates and rising economic uncertainty sapped demand, pushing the supply of unsold houses on the market to its highest level since late 2007. Sign up here. The company owns or controls about 10.5 million acres of timberlands primarily in the West, the South and the Northeast regions. The Seattle-based company's net sales fell 3% to $1.88 billion, but exceeded analysts' average estimate of $1.84 billion, according to data compiled by LSEG. Weyerhaeuser said its adjusted profit in the third quarter would be about $60 million lower than the second quarter. The company reported an adjusted profit of $87 million in the second quarter. The results come as the lumber industry braces for the impact of U.S. President Donald Trump's plans to impose 25% tariffs on imports from Canada. If imposed, total levies on Canadian lumber could reach as high as 40%, potentially driving up prices for domestic products. In March, Weyerhaeuser had said U.S. import tariffs could raise its costs for products and raw materials. The warnings were disclosed under the "risk factors" segment of the company's regulatory filing. The company also said there had been a slight pullback in lumber demand as tariff-related uncertainty weighed on homebuilder sentiment. The Seattle based company reported a profit of $87 million, or 12 cents per share in the quarter ended June 30, compared with $173 million, or 24 cents per share a year earlier. However, the firm narrowly beat analysts' expectations of a profit of 11 cents per share. Its shares were up marginally in aftermarket trading. https://www.reuters.com/markets/us/weyerhaeuser-reports-50-drop-second-quarter-profit-weak-lumber-demand-2025-07-24/
2025-07-24 22:36
RIO DE JANEIRO, July 24 (Reuters) - Brazil's oil regulator ANP approved on Thursday new rules to set the reference price for oil produced in the country, a step that could increase the collection of royalties from oil firms. The reference price serves as a basis for calculating taxes on oil sales within the country and for collecting royalties, and new rules to set it have been under discussion since 2022. Sign up here. ANP's resolution will come into effect on September 1, impacting distribution of royalties in November. Last month, the Minister of Mines and Energy, Alexandre Silveira, said the change, if approved by the end of July, should yield 1 billion reais ($181.30 million) in extra revenue to the government in 2025. The request was unpopular among oil companies but received wide support from Refina Brasil, an association for private refining firms, because the lack of an update to the rules had made it more advantageous for companies to export oil than to sell it to Brazilian refiners. ($1 = 5.5158 reais) https://www.reuters.com/business/energy/brazils-anp-updates-oil-reference-price-rule-step-that-may-raise-royalty-2025-07-24/
2025-07-24 21:22
WASHINGTON, July 24 (Reuters) - The U.S. House of Representatives Select Committee on China said on Thursday it sent subpoenas addressed to JPMorgan Chase (JPM.N) , opens new tab CEO Jamie Dimon and Bank of America (BAC.N) , opens new tab CEO Brian Moynihan over their banks' roles in underwriting the initial public offering of Chinese battery manufacturer CATL (300750.SZ) , opens new tab. The U.S. government has alleged that CATL, the world's largest electric vehicle battery maker, works with China's military. In January, Washington added CATL to a list of companies that it alleged aided Beijing's military. CATL says it was "not engaged in any military-related activities." Sign up here. The congressional panel asked the banks' executives to comply by August 8. The committee said it requested information from the banks in April. Bank of America produced 10 documents, nine of them public, while JPMorgan produced one public document, the House panel said, adding it has not received all of the requested details. "We've had constructive engagement with the committee and will continue to engage," a Bank of America spokesperson said. JPMorgan declined to comment. Earlier this year, Republican U.S. Representative John Moolenaar, who chairs the House Select Committee on China, urged the U.S. banks to pull out of underwriting the Hong Kong IPO of the Chinese firm. Washington and Beijing have had tensions for years spanning issues such as trade tariffs, technology, cybersecurity and geopolitics. https://www.reuters.com/business/finance/us-house-panel-subpoenas-jpmorgan-bank-america-ceos-over-ipo-chinas-catl-2025-07-24/
2025-07-24 21:09
ALBERTVILLE, France, July 24 (Reuters) - Friday's Stage 19 of the Tour de France has been shortened after an outbreak of contagious nodular dermatitis in cattle near the Col des Saisies forced authorities to cull livestock and restrict access to the area, race organisers said on Thursday. The 129.9-km stage from Albertville to La Plagne was due to include the ascent of the Col des Saisies, but the climb has now been scrapped to avoid the affected zone, ASO said in a statement. Sign up here. "In light of the distress experienced by the affected farmers and in order to preserve the smooth running of the race, it has been decided, in agreement with the relevant authorities, to modify the route," ASO said. The ceremonial start will take place as planned in Albertville, followed by a 7-km neutralised section before the official start an hour later than planned. Riders will rejoin the original course shortly before Beaufort, at the 52.4-km mark of the initial route. As a result, the stage will now be reduced to 95 km. The shortened stage still finishes in La Plagne and comes just two days before the Tour concludes in Paris on Sunday. https://www.reuters.com/business/healthcare-pharmaceuticals/tour-de-france-shortens-stage-19-after-cattle-disease-outbreak-forces-route-2025-07-24/
