ExxonMobil's profit slumps 66% to US$3.95b
Posted: 30 July 2009 2313 hrs
NEW YORK: ExxonMobil said on Thursday its second-quarter profit slid 66 percent from a year ago to 3.95 billion dollars, reflecting a tumble in energy prices from last year's record highs.
The net earnings also were impacted by special charges linked to damages paid for the 1989 Exxon Valdez oil spill that despoiled the Alaskan coast.
Excluding special items, the profit amounted to 81 cents a share, below analyst forecasts for a profit of 1.02 dollars per share.
Revenues also fell sharply from a year ago, sliding 46 percent to 74.45 billion dollars, but were better than Wall Street forecasts of 71.29 billion.
"Global economic conditions continue to impact the energy industry both in the volatility of commodity prices and reduced demand for products," said chairman Rex Tillerson.
"In spite of these challenges, ExxonMobil achieved solid results. We continued our capital investment program at near record levels while returning over 16 billion dollars to our shareholders during the first half of the year."
ExxonMobil, which is the largest US energy firm and one of the world's biggest corporations, had posted record profits in 2008 amid surging crude prices.
But its latest performance was similar to those of other oil giants - British-based BP suffered a 53 percent drop in earnings and Royal Dutch Shell saw 67 percent dive.
US-based ConocoPhillips saw its quarter profit slump to 1.3 billion dollars from 5.44 billion a year earlier.
A major factor in the drop is crude oil prices, which surged to records around 147 dollars a barrel a year ago but tumbled sharply since then. Crude has rebounded from lows this year and have been in a range of around 60 to 70 dollars a barrel in recent weeks.
Demand was another factor. ExxonMobil said its oil equivalent production was down 3.0 percent from a year ago.
On the upstream or exploration side, the Texas-based firm earned a quarterly profit of 3.81 billion dollars, down 60 percent from a year earlier.
On the downstream, or refining and marketing side, the company earned 512 million dollars, which was down 67 percent from a year earlier.
In chemicals, operating profits fell by nearly half to 687 million dollars.
ExxonMobil set aside 290 million dollars for a punitive damage award related to the Valdez oil spill along with 140 million dollars in interest. - AFP/de
Posted: 30 July 2009 2313 hrs
NEW YORK: ExxonMobil said on Thursday its second-quarter profit slid 66 percent from a year ago to 3.95 billion dollars, reflecting a tumble in energy prices from last year's record highs.
The net earnings also were impacted by special charges linked to damages paid for the 1989 Exxon Valdez oil spill that despoiled the Alaskan coast.
Excluding special items, the profit amounted to 81 cents a share, below analyst forecasts for a profit of 1.02 dollars per share.
Revenues also fell sharply from a year ago, sliding 46 percent to 74.45 billion dollars, but were better than Wall Street forecasts of 71.29 billion.
"Global economic conditions continue to impact the energy industry both in the volatility of commodity prices and reduced demand for products," said chairman Rex Tillerson.
"In spite of these challenges, ExxonMobil achieved solid results. We continued our capital investment program at near record levels while returning over 16 billion dollars to our shareholders during the first half of the year."
ExxonMobil, which is the largest US energy firm and one of the world's biggest corporations, had posted record profits in 2008 amid surging crude prices.
But its latest performance was similar to those of other oil giants - British-based BP suffered a 53 percent drop in earnings and Royal Dutch Shell saw 67 percent dive.
US-based ConocoPhillips saw its quarter profit slump to 1.3 billion dollars from 5.44 billion a year earlier.
A major factor in the drop is crude oil prices, which surged to records around 147 dollars a barrel a year ago but tumbled sharply since then. Crude has rebounded from lows this year and have been in a range of around 60 to 70 dollars a barrel in recent weeks.
Demand was another factor. ExxonMobil said its oil equivalent production was down 3.0 percent from a year ago.
On the upstream or exploration side, the Texas-based firm earned a quarterly profit of 3.81 billion dollars, down 60 percent from a year earlier.
On the downstream, or refining and marketing side, the company earned 512 million dollars, which was down 67 percent from a year earlier.
In chemicals, operating profits fell by nearly half to 687 million dollars.
ExxonMobil set aside 290 million dollars for a punitive damage award related to the Valdez oil spill along with 140 million dollars in interest. - AFP/de
