Shares of Chevron Corp. were sinking toward a three-year low in early trading Friday, after the oil and gas giant reported quarterly profit that dropped, but beat expectations, while production was flat and revenue fell short of forecasts.

Chevron said net income fell by just over a third to $3.5bn in the first quarter, down from $5.5bn a year earlier, and slightly below analysts’ consensus estimates. Revenues fell to $47.6bn, down from $48.7bn a year earlier, as its global production remained flat.

Chevron also reported its lowest first-quarter profits in years, with per-share adjusted profit falling to $2.18 per share on revenue of $47.61 billion. Similar to Exxon, Chevron does not adjust its reported results based on one-time events such as asset sales. Analysts predicted earnings of $2.15 per share on revenue of $48.66 billion.