Exxon Mobil Corp. recorded its second consecutive quarterly loss as lower oil and gas prices sapped production gains and the decimation in global travel crimped fuel demand amid the coronavirus pandemic.
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The oil producer on Friday posted a second-quarter loss of $1.08 billion, or 26 cents a share, compared with a profit of $3.13 billion, or 73 cents a share, in the comparable quarter last year. On an adjusted base, it recorded a loss of 70 cents a share. A loss in the first quarter was its first in three decades.
Analysts polled by FactSet were expecting a loss of 41 cents a share, or 61 cents a share on an adjusted basis.
Revenue fell 53% to $32.61 billion from $69.09 billion in the year-ago period. Analysts were looking for $38.16 billion.
Downstream earnings, which represents much of the company's operations after it pumps oil out of the ground, rose to $976 million from $451 million, driven by gains outside the U.S.
Oil-equivalent production was 3.6 million barrels a day, down 7% from the year-ago period. Capital and exploration expenditures fell nearly $2 billion from the first quarter to $5.3 billion as the company moved to cut costs.
GET FOX BUSINESS ON THE GO BY CLICKING HERE "The global pandemic and oversupply conditions significantly impacted our second quarter financial results with lower prices, margins, and sales volumes," Chairman and Chief Executive Darren Woods said. "We responded decisively by reducing near-term spending and continuing work to improve efficiency by leveraging recent reorganizations." Mr. Woods said the company doesn't plan to take on additional debt. "We have increased debt to a level we feel is appropriate to provide liquidity, given market uncertainties," Mr. Woods said.