HOUSTON: Exxon Mobil Corp said earnings took a hit from lower crude prices and narrowing refining margins during the final three months of 2024.
Oil prices lowered earnings at Exxon’s production division by about US$700 million while refining margins reduced profit by a further US$500 million compared with the third quarter, Exxon said in a statement on Tuesday. Natural gas prices provided a lift of about US$200 million while chemical margins shrank.
Exxon’s guidance doesn’t take into account operational performance or changes in production levels but is a sign that the fourth quarter was a tough one for Big Oil. Investors are concerned about the Chinese economy amid ample global crude supplies.
Exxon indicated it will report a US$400 million gain from fourth-quarter asset sales, along with charges of the same amount.