jpillian Posted October 27, 2005 Share Posted October 27, 2005 Nah -- consumers aren't getting fleeced by the oil companies :doh: ------------------------------------------------------------------- Exxon's $10B net a U.S. corporate record The oil company gains from soaring oil and gas prices, but falls short of estimates. October 27, 2005: 1:06 PM EDT http://money.cnn.com/2005/10/27/news/fortune500/exxon.reut/index.htm?cnn=yes NEW YORK (Reuters) - Exxon Mobil Corp. posted a quarterly profit of $9.9 billion Thursday, the largest in U.S. corporate history, as it raked in a bonanza from soaring oil and gas prices. Record profits for Big Oil at a time when consumers are paying sky-high prices for gasoline have brought calls for a windfall profits tax or other penalties on oil companies. The companies have been enjoying an unusually rosy environment for months. In the third quarter, oil prices and refining margins rose sharply after hurricanes Katrina and Rita ripped through the Gulf of Mexico, disrupting energy operations in the region. While Exxon's quarterly profit was up 75 percent from a year earlier, and revenue rose 32 percent to more than $100 billion, the results fell short of Wall Street forecasts due to production outages caused by the hurricanes and sharply lower profit at the company's chemicals division. "They were a bit disappointing, but this a temporary phenomenon," said Paul Kuklinski, an analyst with Boston Energy Research/Soleil Securities. "This is largely attributable to hurricane effects." Exxon (down $0.11 to $56.09, Research) shares fell slightly in midday trade. The world's largest publicly traded oil company said net income jumped to $9.92 billion, or $1.58 a share, from $5.68 billion, or 88 cents a share, a year earlier. Excluding a gain of $1.62 billion from restructuring its stake in a Dutch gas transportation business, earnings were $1.32 per share, six cents below the average forecast among analysts polled by First Call. The record earnings topped the $9 billion net profit reported Thursday by Royal Dutch Shell PLC and were well above the best quarterly performances by Citigroup Inc. (Research), the world's largest bank -- $7.2 billion -- and conglomerate General Electric Co. (Research) -- $5.6 billion -- according to Reuters Fundamentals. Expansion of capacity In addition to calls for a windfall profits tax or other penalties, lawmakers and consumer advocates have been urging oil companies to expand refining capacity and take other steps to help bring down gasoline prices. Energy Secretary Sam Bodman said Thursday that oil firms have a responsibility to boost refining capacity in times of record profits. Marathon Oil said it would do just that, announcing a $2.2 billion expansion of its Garyville, La., refinery. "We're already seeing some companies yielding to pressure," said Oppenheimer & Co. analyst Fadel Gheit. "But everybody is waiting for the big lady to sing, which is Exxon." Exxon said it did not see the point of a windfall profits tax. "Frankly, if you're trying to encourage supply growth, it seems odd to put in place disincentives," Henry Hubble, vice president of investor relations for Exxon, said on a conference call with analysts. Production falls Exxon's oil and gas production fell 4.7 percent in the third quarter from a year earlier as outages caused by Katrina and Rita, maintenance activities, and maturing fields more than offset higher production from new fields in West Africa. Excluding the impact of the hurricanes, divestments and entitlement effects, output fell 1 percent. Still, record crude oil prices -- which touched $70 a barrel in the quarter -- pushed earnings at its exploration and production unit to $5.73 billion, up $1.8 billion from a year earlier. At its refining and marketing operations, profit rose to $2.13 billion, up $727 million from a year earlier. Stronger refining margins outweighed weak marketing margins and lower petroleum product sales. Earnings at its chemicals division tumbled to $472 million, down $537 million from a year earlier, due to higher feedstock costs and lower margins. Exxon's capital expenditures jumped to $4.41 billion from $3.63 billion a year earlier. Shares of Exxon, the largest of the so-called "super-major" oil companies, were little changed at midday on the New York Stock Exchange. The shares rose more than 10 percent in the third quarter but underperformed the broader Standard & Poor's integrated oil and gas index, which climbed more than 13 percent. Link to comment Share on other sites More sharing options...
pez Posted October 27, 2005 Share Posted October 27, 2005 uggghhh sucks seein all these ****s bathing themselves in the money that we dole out... Link to comment Share on other sites More sharing options...
ntotoro Posted October 27, 2005 Share Posted October 27, 2005 A quarterly profit of almost $10B. Quarterly, as in three months. I wish I could run such a racket. Link to comment Share on other sites More sharing options...
KingGibbs Posted October 27, 2005 Share Posted October 27, 2005 Wow. That's all I can say is wow. Link to comment Share on other sites More sharing options...
Fergasun Posted October 27, 2005 Share Posted October 27, 2005 I own Exxon stock... why didn't anyone else buy stock in oil companies lately... as in the past 4 years? These are publicly traded companies, if you want to be a part of the profits... buy in! Link to comment Share on other sites More sharing options...
ntotoro Posted October 27, 2005 Share Posted October 27, 2005 I own Exxon stock... why didn't anyone else buy stock in oil companies lately... as in the past 4 years? These are publicly traded companies, if you want to be a part of the profits... buy in! I don't have any money left, as much as gas and heating oil have been costing lately. Link to comment Share on other sites More sharing options...
Thiebear Posted October 27, 2005 Share Posted October 27, 2005 At no point should it ever be said: Made Record profits in the history of the Earth. Did not meet speculation.... That is just wrong... Need to turn on Cspan and not CNN on the market floor and help us all... Link to comment Share on other sites More sharing options...
NavyDave Posted October 27, 2005 Share Posted October 27, 2005 Yeah I bought stock back in the 90's Isnt it a shame that those profits wouldn't be so high if tree huggers would allow for drilling and mining in places such as Alaska and Utah and also build refineries in other locations. Link to comment Share on other sites More sharing options...
The Evil Genius Posted October 27, 2005 Share Posted October 27, 2005 Actually ND - I would suspect that ANWAR and more refineries would have little impact on prices. What would have had an impact would have been the enforcement of higher MPG regulations on auto companies and heavy investment into alternative fuel study. Had we followed what was originally adopted in the early to mid 90's - I suspect demand would not be as high. Opinion only though - as I have no substantive data to back it up. Link to comment Share on other sites More sharing options...
The Evil Genius Posted October 27, 2005 Share Posted October 27, 2005 On a side note - I wonder if all the companies continue to report record profits - if we will see any investigations re: collusion/price fixing. Not suggesting that's what is happening...but...if there is smoke... Link to comment Share on other sites More sharing options...
Kilmer17 Posted October 27, 2005 Share Posted October 27, 2005 AWESOME!!!!! Added to the BP earnings report from earlier this week, and I've made a pretty penny this quarter. Link to comment Share on other sites More sharing options...
AJWatson3 Posted October 27, 2005 Share Posted October 27, 2005 good work George. when you re-retire we'll have a seat waiting for you on our board of directors. Link to comment Share on other sites More sharing options...
NavyDave Posted October 27, 2005 Share Posted October 27, 2005 Actually ND - I would suspect that ANWAR and more refineries would have little impact on prices.What would have had an impact would have been the enforcement of higher MPG regulations on auto companies and heavy investment into alternative fuel study. Had we followed what was originally adopted in the early to mid 90's - I suspect demand would not be as high. Opinion only though - as I have no substantive data to back it up. Opinion is wrong Anwar, off shore drilling, processing oil in shale(squeezing oil from a stone) and more refineries would significantly reduce dependence on foreign oil or paying 60 plus dollars a barrell Link to comment Share on other sites More sharing options...
The Evil Genius Posted October 27, 2005 Share Posted October 27, 2005 Based on what ND - your opinion? As an aside...the evil one - Bill Frist (j/k!) has called a hearing re: high oil prices and profits...didn't take long! http://news.yahoo.com/s/nm/20051027/pl_nm/energy_congress_republicans_dc_2;_ylt=AmkPicL9ouO.PwYQt5R_rnWAsnsA;_ylu=X3oDMTBiMW04NW9mBHNlYwMlJVRPUCUl Link to comment Share on other sites More sharing options...
Larry Posted October 27, 2005 Share Posted October 27, 2005 Based on what ND - your opinion?As an aside...the evil one - Bill Frist (j/k!) has called a hearing re: high oil prices and profits...didn't take long! http://news.yahoo.com/s/nm/20051027/pl_nm/energy_congress_republicans_dc_2;_ylt=AmkPicL9ouO.PwYQt5R_rnWAsnsA;_ylu=X3oDMTBiMW04NW9mBHNlYwMlJVRPUCUl Look, everybody! I'm a moderate! I support the Little People! Link to comment Share on other sites More sharing options...
Destino Posted October 27, 2005 Share Posted October 27, 2005 Look, everybody! I'm a moderate! I support the Little People! :laugh: :laugh: :laugh: Well said. Link to comment Share on other sites More sharing options...
Kilmer17 Posted October 27, 2005 Share Posted October 27, 2005 Damned if does, damned if he doesnt. Link to comment Share on other sites More sharing options...
SkinsHokieFan Posted October 27, 2005 Share Posted October 27, 2005 Damned if does, damned if he doesnt. You gotta love politics Link to comment Share on other sites More sharing options...
Bang Posted October 27, 2005 Share Posted October 27, 2005 You guys making excuses for this.. it's laughable. Prices go thru the roof, they get enormous tax cuts, then post record profits. Make all the excuses you want. The French did do one thing right in their history. They lined up the greedy and the exploitive and cut their damned heads off. Save the rhetoric, save the excuses, save the reasoning. It is as plain as the nose on everyone's faces we have been and continue to be fleeced. We need a big wall, a lot of blindfolds, and a bunch of bullets. 75% profit all the while crying shortages, RECORD profit... it's disgusting. I don't begrudge anyone a profit, but if you get it this way it's flat out criminal. too bad Georgy boy won't let any of his buddies ever answer for any of this.. meanwhile we keep paying thru the nose. Our cost of living increases, our ethical standards go down. Nice job, G.O.P. Some of you sit in here and applaud this, then complain for example about illegal immigrants exploiting American workers and harming their standard of living... tell me the difference? Nah,, nevermind. Don't bother. I doubt i could stomach it. ~Bang Link to comment Share on other sites More sharing options...
Kilmer17 Posted October 27, 2005 Share Posted October 27, 2005 I applaud them wholeheartedly. While morons were sinking their fortunes into Pets.com and the like, smart people played it safe and invested in energy companies. I was told I was missing the boat, but who's laughing now? Link to comment Share on other sites More sharing options...
Bang Posted October 27, 2005 Share Posted October 27, 2005 I applaud them wholeheartedly.While morons were sinking their fortunes into Pets.com and the like, smart people played it safe and invested in energy companies. I was told I was missing the boat, but who's laughing now? Hardly the point, and I doubt you'd get it anyway. ~Bang Link to comment Share on other sites More sharing options...
jpillian Posted October 27, 2005 Author Share Posted October 27, 2005 Couldn't agree with you more, Bang. This stuff has gotta stop. Windfall profits at the expense of the American people should not stand. Link to comment Share on other sites More sharing options...
Kilmer17 Posted October 27, 2005 Share Posted October 27, 2005 The point? That a free market company made record profits in a free market? shocking. Nice personal swipe though bang. I dont expect that kind of thing from you. Link to comment Share on other sites More sharing options...
Kilmer17 Posted October 27, 2005 Share Posted October 27, 2005 Should they be limited in the amount of profits they are allowed? And should the Govt subsidize the investors for their losses? Link to comment Share on other sites More sharing options...
Whiskeypeet Posted October 27, 2005 Share Posted October 27, 2005 Maybe with their extra cash they can finally settle the civil suit from the Exxon Valdez Spill. Link to comment Share on other sites More sharing options...
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