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Chevron sees ROC topping 10%, adjusted free cash flow doubling by 2024

|About: Chevron Corporation (CVX)|By: , SA News Editor

Chevron (NYSE:CVX) says it plans to return $75B-$80B in cash to shareholders over the next five years "through disciplined capital spending, improved cost efficiency and continued cash flow growth."

Chevron also expects 9% compound annual growth in adjusted operating cash flow per share through 2024 while forecasting annual capital spending of $19B-$22B over the period, which should result in the doubling of adjusted free cash flow per share by 2024.

"We remain focused on a returns-driven approach to capital allocation, investing in lower-risk projects that should drive solid earnings and cash flow growth. As a result, we expect return on capital to exceed 10% by 2024 at flat $60 Brent nominal prices, an improvement of over 300 basis points," CFO Pierre Breber tells the company's annual Security Analyst Meeting.

CVX +0.9% pre-market.