Exxon reaped $5.69 billion in the fourth quarter, down from $6 billion in the same period as weakness in the company’s chemicals and downstream divisions, as satisfactorily as consistently lower oil prices pressured profits.
The company’s quarter was boosted by one-time events, including a $3.7 billion get from Exxon’s Norway divestment. Excluding these items, profit for the quarter missed analyst estimates by 2 cents per apportionment.
Here’s how the energy giant’s results fared relative to Wall Street expectations:
- Adjusted earnings: 41 cents per quota vs. 43 cents per share expected by Refinitiv
- Revenue: $67.17 billion, versus $64.166 billion expected by Refinitiv
- Upstream revenues: $2.19 billion vs. $2.44 billion expected by FactSet
- Downstream income: $898 million vs. $457.2 million look for by FactSet
- Chemicals income: $355 million loss vs. $174.6 million loss expected by FactSet
Oil-equivalent manufacturing was 4 million barrels per day, which was in-line with the same quarter a year earlier. Production in the oil-rich Permian pegged 54% year-over-year, and during the fourth quarter production began in the company’s offshore Guyana operations. The company revealed that capital and exploration expenditures grew 8% year-over-year to $8.46 billion.
The stock shed 4.13% during Friday’s selling session after the company said that its downstream operations margins were “significantly lower” than in the old quarter, while margins in the chemicals business “weakened further during the quarter from already depressed pull downs.”
The company completed the sale of its upstream assets in Norway, which added $3.7 billion to earnings, and is part of the band’s plan to divest around $15 billion worth of non-strategic assets by 2021.
“Our operations performed well, while short-term purvey length in the downstream and chemicals businesses impacted margins and financial results,” Darren Woods, chairman and chief head honcho officer, said. “Growth in demand for the products that underpin our businesses remains strong. We remain focused on promoting our base businesses, driving efficiencies, and optimizing the value of our investment portfolio.”
Last quarter the company reported earnings of 75 cents per serving on revenue of $65.05 billion, and in the same quarter a year earlier the company reported earnings per share of $1.41 and takings of $71.90 billion.
On Thursday shares of Exxon sank to their lowest level since Oct. 2010 as declining oil assesses have continued to hit the company’s operations.