Exxon Nets $9.3B Profit In First Quarter

Oil Giant Says Net Income Grew 10 Percent, But Revenue Fell Short Of Forecasts

(AP)  Exxon Mobil Corp., the world's largest publicly traded oil company, said Thursday its net income grew 10 percent in the first quarter, as higher refining, marketing and chemical profit margins overcame lower crude oil and natural gas prices from a year ago.

The earnings of $9.3 billion were the company's highest ever for the first quarter and beat Wall Street expectations, but revenue slipped and fell well short of analysts' forecasts.

Investors pushed Exxon Mobil shares to a new 52-week high of $80.49 a share in morning trading on the New York Stock Exchange. By early afternoon, the shares were up 23 cents to $80.15 a share. They've traded as low as $56.64 in the past year.

Net income for the January-March period amounted to $1.62 per share. That was up from $8.4 billion, or $1.37 per share, a year ago. Analysts polled by Thomson Financial were looking for a profit of $1.52 per share.

Revenue fell to $87.2 billion from $88.9 billion a year earlier, well below the $100 billion analysts had forecast. Like other major oil companies, Exxon Mobil was hurt by lower oil and natural gas prices to start 2007 compared with a year ago.

Last year, the Irving, Texas-based company posted the largest annual profit by a U.S. company — $39.5 billion. That result topped the previous record, also by Exxon Mobil, of $36.13 billion, set in 2005.

Last month, Exxon Mobil said it will spend some of that money on more than 20 new global projects in the next three years, investments expected to add 1 million oil-equivalent barrels a day to the company's volumes at peak production.

The company said its spending tab for capital and exploration projects in the first quarter was $4.3 billion and that its plans to spend roughly $20 billion this year on such projects were on track.

"In the first quarter, Exxon Mobil continued to actively invest, bringing additional crude oil, finished products and natural gas to market," Exxon Mobil Chairman and Chief Executive Rex Tillerson said in a statement.

Exxon Mobil was the third major oil company to report earnings in as many days. BP PLC, Europe's second-largest oil company, on Tuesday reported a 17 percent drop in first-quarter earnings on lower oil prices and declining production. On Wednesday, ConocoPhillips said its first-quarter profit rose 7.7 percent, but the result was propped up by asset sales as it also was hurt by lower commodity prices.

Exxon Mobil said earnings from its exploration and production arm — known as the upstream side of the business — were $6 billion, compared with $5.7 billion a year ago, primarily reflecting lower oil and natural gas prices and decreased demand for natural gas in Europe.

[cathaleen]

Those b a s t a r d s and gas is going to over $3.00 a gallon. This is a crime.

[dredre2k]

The seasonal rape of the american pocketbook seems to be proceeding nicely this year. I'm sure they OIL CEO's will get payraises.
This is legal highway robbery at its finest.

[draugwolf]

LMAO keep buyin those SUV's American mouthbreathers...ya get what ya vote for

[billpl-2009]

that's going to cover a lot of green's fees and bingo games for all those lucky pensioners down in Florida...LOL

[dredre2k]

draugwolf: LMAO keep buyin those SUV's American mouthbreathers...ya get what ya vote for

Actually, Bush was history's first Appointed president, thanks to the supreme court and the "questionable" vote count in the state of Florida. Most of the population (including me) did not vote Bush into power... I didn't vote Bush back into office, but many people did. Now we're seeing the energy & gas companies have their way with the American public in his second term, and yes those who voted for the Bush / Cheney ticket are responsible. Anyone ever wonder what really took place during Cheney's closed door energy policy meeting? Just take a look at the gas prices! :-P :-(

[crater7]

GAS SHORTAGE MY ARSE, AMERICANS HAVE A BRAIN SHORTAGE TO ALLOW THIS ADMINISTRATION TO CONTINUE TO SLAP US IN THE FACE. MAYBE WE WILL WAKE UP AND SLAP BACK.
This administration says no new taxes. Everytime the price of gas goes up it is the equivalent of a tax. Every thing from food, to home energy prices go up with it. Vote these crooks out of office, and if the next group dont brings these prices down, kick them out too.

[billpl-2009]

erra mocaleo... have checked your 401K lately?

...bet you don't have a problem with that part of the deal.

[sasi1-2009]

Hmmm, guess this profit wasn't enough -- now they want to go to $4.00 gas!!!!!!!!! Thieves in cahoots with the dictator.

[terrapin78]

Well, of course they want $4/gallon gas prices.

The paltry $9.3 billion Q1 profit is not enough.

They'll raise the prices until we revolt. The oil industry has been quoted as saying "The American public has accepted $3 gas". That is wrong! We pay it (or we walk), but we REJECT it.

[infidel_us]

Thank democraps and environmentalists.....taxes and absurd seasonal "blends." Oh, you can also thank them for lack of new refining capability.
Better get used to it. It's only going to go higher.

Look at the bright side.....it's cheaper than bottled water per gallon! :)

[incog-nito]

And they say Bush's war is not successful.

[nowhiteguilt]

I LOVE MY 2007 HUMMER, I'LL DRAW THE LINE WHEN GAS IS $10.00 A GALLON, HELL I MIGHT EVEN CONSIDER PURCHASING A RICE BURNER............

[heresmy2cent]

BOYCOTT EXXON AND MOBIL GAS STATIONS.

[heresmy2cent]

BOYCOTT EXXON AND MOBIL GAS STATIONS.

[jjp735i]

What a suprise and shock this was!

So we all know what comes next, people start to complain and Congress holds yet another hearing only to find the same answer, "no one is *** us".

Exxon is not the only supplier over charging us. We cannot boycott them all, we need to get to work and they know it.

Congress needs to do what they are paid for and that is to help protect the people who pay them. In case Congress forgot, it's the people of this country, not corporate America that employees them.

[walt1944-2009]

Its nice to see the rich get richer at the expense of the poor and the middle class. George Bush's oil stock portfolio must be pretty thick with all the oil stocks he has and the big dividends he's getting. Bring back the trolleys! They were clean, cheap, and didn't hurt the environment or burn gas.

[swfb]

Here's the idea:

For the rest of this year, DON'T purchase ANY gasoline from the two biggest companies (which now are one), EXXON and MOBIL. If they are not selling any gas, they will be inclined to reduce their prices. If they reduce their prices, the other companies will have to follow suit.

[sparks224]

Here%u2019s a better idea,
Don%u2019t purchase any gasoline from anybody ever again.

Drive an electric car. They can go as fast and as far as gasoline cars (see Tesla roadster).

If you are not going to do that, don%u2019t complain about getting screwed by the oil companies.

[harp1963]

Greed gone wild!

[feelfree1]

Exxon Mobil should be at the top of the list for war-profiteering companies whose assets should be siezed and liquidated, and used to create a reparations fund for their many victims.

Exxon Mobile has made tens of billions of dollars subsidized by the blood, treasure, and health of the American people, and people all around the world.

[rbforcb]

My comment on the gas situation is this, every american across the country not but gas from any station on fridays. It would be a slower impact on the large oil companies but would not hurt the average american who has already sacrificed their life style to help make Exxon and Mobil richer. we could call it dry fridays till it hurts.

[jweirick1]

Why is it that all the oil companies raise their gas prices the same amount on the same day? I do believe it is called price fixing. There is nothing wrong with makeing a profit but when the profit is driven by greed soemthing has to be done. We as comsumers have to take charge, for our elected officials will not with their hands in the pockets of big oil for campaigan money and shareholders profit they are not going to rock the boat. What happen to the truckers? In the seventies and eighties there would have been a nation wide strike. The rich get richer and the poor get poorer but why there are more of use poor and middle class then rich ceo's and shareholders and rich politicans. I think the politicans want to eliminate the middle class and just have a few very rich corportations to feed the campaigan coffers so they can feed us the BS, and a nation of poor people. One day the good old United States will be come the next third world country do to the greed of the few.

[mgpm-2009]

That's what you get when you vote in an oil man. I didn't vote for him either time. My conscience is clear, but my bank account is broke. My repub husband wants to know where our money is though. I'll send him this article. Half of our money's in Iraq and the other half is at Exxon.

[afmca]

The oil companies, just like banking, insurance, power companies, and defense contractors, have just become large criminal enterprises under Republican Congressional domination. The have no rules and absolutely no responsibility. They cannot fail and they only grow by monopolizing their industry. The fix prices and manipulate the market. If prices are about to decrease they call their friends in Iran to create another false crises. Then they all sit back and laugh at our stupidity. Their profits cannot be legitimized; but the Republicans still shower them with tax breaks and exemptions. Big oil should start chiseling out a Mount Rushmore type monument in Houston .. the first three faces would be King George, his hangman *** Cheney, and the court jester Karl Rove.

[afmca]

The censor software needs some work. I get *** for calling VP Cheney by his name .. next time I guess I will use Richard.

[jebby_one]

We hasve a Prius and get 50 mpg ...
... and if I milk it I can get 57 to 60 mpg.

the price of gas is really not a serious concern.

[heresmy2cent]

(1). BOYCOTT EXXON AND MOBIL GAS STATIONS!

(2). If possible, cut out any unnecessary car trips.

They'll get the message.

[edjohn66]

The only way to beat the oil companies is to make LONG TERM decisions. Not buying gas on Fridays won't work (but not buying from Exxon or Mobil might cause a fun little disruption....)

I traded in my Chevy s-10 (25 MPG) for a Kia Spectra (35 MPG) and moved from an apartment that was 30 minutes from work to one that was 10 minutes from work. I've been actively looking for a carpool partner (but haven't found one yet). I also pay an extra 2 cents a Kwh for renewable energy from my power company, so wind and hydro power companies get my cash instead of oil and gas (and coal) companies.

[shanev137]

People are so stupid.

They think just because they have a little tiny car that gets great mileage that gas prices won't affect them. They can't even think outside their little tiny box of a life for one minute. Gas prices affect EVERYTHING. They affect the price you pay for every commodity that needs to be transported and most services that required travel. It going to be freaken hilarious when everyone is paying $9 for a little tiny box of cereal at the grocery store, won't it. It's almost like Americans want inflation to happen.

[patb071]

We are taking a resource from our earth that isn't being reproduced. The oil companys know that we will run out, They are collecting as fast and as much as possible. If they were smart they would take that money and develope a new energy source and start profiting from that too!

[patb071]

Not getting gas on Fridays only means 1 thing. buy it on saturday where you have to burn fuel to get fuel, Thats why people buy gas on there way from work on fridays to have it for the weekend. You want to help. Stop idling at mcdonalds drive thru and learn to cook. That would also mean when you are hungary you don't drive to a fastfood restraunt, u eat at home.

[jebby_one]

" ...They think just because they have a little tiny car that gets great mileage that gas prices won't affect them. They can't even think outside their little tiny box of a life for one minute. Gas prices affect EVERYTHING..."

----------------

?? I have a pretty rich life and my Prius isn't so much a tiny car as it is a hi-tech car. Our Prius compares to our Maxima like our 40 pound flat-screen Sony TV compares to our 80 pound CRT Sony TV. They are both good cars but the Prius is by far the most technologically advanced and the most fuel efficient.

Of course we realize that the price of gas affects almost everything. but, it's not ME thinking inside my small box. The ones thinking inside their tiny boxes are the idiots who fail to see that efficient transportation can reduce the cost of their products or services and thus increase their market share or profit.

[jebby_one]

BTW ...

regarding that ...

"$9 for a little tiny box of cereal at the grocery store"

-----------

if the price of fuel doubles, the 4 cents worth of wheat or corn in that tiny box of cereal will go up to 8 cents. The end result, though will be a tripling of the end product price. But, people like me will find a way to bypass the traditional distribution process. Heck, I may even drive my Prius to the farm and offer the farmer 16 cents for that corn or wheat.

[olebd]

It's not going to get any better because China and India are slurping up more and more gas and oil each year as they grow an grow. We are indirectly fueling their increased consuption just by buying all the products and/or services produced over in their countries. Thank our greedy administration and politicians for their part in allowing our goods to be produced by them too.

[huanaco]

WELL, THE OIL COMPANIES HAVE TO BE HAPPY WITH THIS RETURNS, GOD BLESS MR. BONZO BUSH, CREATING THIS CHAOTIC TIMES WITH A WAR UNCALLED, MORE PROBLEMS WITH IRAN , BOTH COUNTRIES IMPORTANT SOURCES OF OIL HE HAS ACCOMPLISHED WHAT HIS PATRONS ASKED TO DO, INFLATE THE BARREL PRICE. WE CAN,T FORGET THAT THE BUSH FAMILY HAVE A LONG TRADITION TO SERVE THE SAUDI ARABS INTERESTS.

[afmca]

It is not so much that oil is a non-renewable resource as it is Bush's term in office that is non-renewable. Rove, Cheney, etal were hoping to create a permanent one party dictatorship where big oil could extort money for decades - now that it looks like they have less than 2 years they really have to start inflating the prices now.

[king77shaw]

for many Americans, little things like growing your own food or buying local food, heating with wood in the winter, buying hybrids, solar PV panels etc ... will all help - it's obvious why our government is against these measures, just look at these obsene EM profits - the Republican party in particular is owned by big oil and exists to represent them and not "we the people" ... the answer lies in the decentralization of power, both energy-wise and politically ... take matters into your own hands and strive for a higher level of self suffiency ... it will cost more in the short term but will ultimately achieve a higher level of security than the fascists running the show now can offer ... cancel your cable TV while you're at it ...

[thize1]

The oil companies will continue to milk the consumer until we vote out the big business politicians (i.e. Republicans). It's strange how the price of gas goes up because of the shortage of oil, the lack of refining capacity, etc. and also increases because we use less and drive more fuel efficient cars. There is no pricing based on the law of supply and demand in the oil business. The price will continue to increase regardless whether oil is available or not. Our Bill of Rights should include "We have the right to be ripped off by the oil companies!".