Exxon Mobil Corp, the world’s largest publicly traded oil producer, posted a lower-than-expected quarterly profit on July 27 as its production dropped and it spent heavily to upgrade several key refineries.
Shares fell 2.7% to $82 in premarket trading.
The Irving, Texas-based company posted second-quarter net income of $3.95 billion, or 92 cents per share, up from $3.35 billion, or 78 cents per share, in the year-ago quarter.
Analysts expected earnings of $1.27 per share, according to Thomson Reuters I/B/E/S.
Production fell 7% to 3.6 million barrels per day of oil equivalent.
Earnings from the company’s downstream unit, which refines crude oil into gasoline and other products, fell 47%, which CEO Darren Woods said was the primary drag on earnings in the quarter.
Exxon Mobil said the second quarter featured multiple refinery renovation projects, known as turnarounds, in France, Canada, Texas and Saudi Arabia.
Recommended Reading
Keeping it Simple: Antero Stays on Profitable Course in 1Q
2024-04-26 - Bucking trend, Antero Resources posted a slight increase in natural gas production as other companies curtailed production.
Oil and Gas Chain Reaction: E&P M&A Begets OFS Consolidation
2024-04-26 - Record-breaking E&P consolidation is rippling into oilfield services, with much more M&A on the way.
Exxon Mobil, Chevron See Profits Fall in 1Q Earnings
2024-04-26 - Chevron and Exxon Mobil are feeling the pinch of weak energy prices, particularly natural gas, and fuels margins that have cooled in the last year.
Marathon Oil Declares 1Q Dividend
2024-04-26 - Marathon Oil’s first quarter 2024 dividend is payable on June 10.
Talos Energy Expands Leadership Team After $1.29B QuarterNorth Deal
2024-04-25 - Talos Energy President and CEO Tim Duncan said the company has expanded its leadership team as the company integrates its QuarterNorth Energy acquisition.