Home Business Exxon Mobil experiences a $20 billion loss, fourth straight quarter within the...

Exxon Mobil experiences a $20 billion loss, fourth straight quarter within the pink

An indication is seen on the entrance of the ExxonMobil Port Allen Lubricants Plant in Port Allen, Louisiana, November 6, 2015.

Lee Celano | Reuters

Exxon Mobil mentioned Tuesday that it misplaced $20.1 billion throughout the newest quarter, its fourth straight quarter of losses because the vitality big continues to grapple with the pandemic’s impression on the trade.

Exxon mentioned it earned 3 cents per share excluding gadgets through the fourth quarter, which was forward of the 1 cent revenue analysts surveyed by Refinitiv anticipated. Income, nonetheless, got here up in need of expectations at $46.54 billion. The Road consensus was for $48.76 billion.

In the identical interval a 12 months earlier the corporate earned 41 cents per share on an adjusted foundation, on $67.17 billion in income. Throughout the third quarter of 2020 Exxon misplaced 18 cents per share on an adjusted foundation, whereas producing $46.2 billion in income.

Shares of Exxon superior about 2% throughout premarket buying and selling on Tuesday.

“The previous 12 months introduced probably the most difficult market situations ExxonMobil has ever skilled,” Darren Woods, Exxon chairman and chief government officer, mentioned in an announcement. Woods mentioned the corporate’s aggressive cost-cutting measures are anticipated to ship structural expense financial savings of $6 billion per 12 months by 2023.

“We have constructed a versatile capital program that’s strong to a variety of market eventualities and targeted on our highest-return alternatives to drive higher money movement, cowl the dividend, and improve the earnings potential of our enterprise within the close to and longer time period,” Woods added.

On Monday Exxon introduced plans to take a position $3 billion in carbon seize and different emissions-cutting know-how. The transfer is just too little too late, in keeping with some, who say Exxon ought to have prioritized investing for the longer term. Friends together with BP have additionally set net-zero targets.

Oil has steadily climbed increased over the past 12 months following the unprecedented demand loss from the coronavirus pandemic. U.S. West Texas Intermediate crude futures superior greater than 2% on Tuesday to commerce at excessive as $54.96 per barrel, the contract’s highest stage since Jan. 2020. Nonetheless, the vitality trade continues to really feel the impacts of depressed demand.

Shares of Exxon are up 9% this 12 months, and down 27% over the past 12 months.

Rival Chevron on Friday mentioned it misplaced 1 cent through the fourth quarter on an adjusted foundation, in comparison with the consensus estimate for a 7 cent revenue. Income additionally got here up in need of analysts’ expectations.

The CEOs of the 2 largest oil corporations within the U.S. reportedly held merger talks as Covid-19 roiled their operations, in keeping with a number of experiences. Exxon declined to remark, whereas a Chevron spokesperson mentioned the corporate doesn’t touch upon “market rumors or hypothesis.”

Shares of Chevron are up 2% this 12 months, and down 19% over the past 12 months.

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