ExxonMobil’s profit surged in the first quarter, even after Russia hurt $3.4 billion 2022-04-29 06:42:43

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A view of the ExxonMobil refinery in Baton Rouge, Louisiana, May 15, 2021.

Kathleen Flynn | Reuters

shares ExxonMobil It fell Friday after the company earned $3.4 billion after tax related to the Sakhalin 1 operation in Russia.

Exxon made $5.5 billion during the first quarter, up from $2.7 billion in the same period during 2021. However, results slipped from $8.87 billion during the fourth quarter of 2021.

Revenues amounted to 90.5 billion dollars during the last period. Analysts polled by Refinitiv expected the company to generate $92.73 billion in revenue. During the same quarter of 2021, Exxon’s revenue was $59.1 billion.

“Earnings increased slightly, as the strong margin improvement and underlying growth were offset by the effects of weather and timing,” CEO Darren Woods said in a statement. “The absence of these temporary effects in March provides strong positive momentum for the second quarter,” he added.

Exxon’s results come amid rising oil and gas prices. Crude oil jumped to its highest level since 2008 following the Russian invasion of Ukraine, which raised supply concerns. US Oil was trading as high as $130.50 a barrel. Prices witnessed a decline, but remained above $100 a barrel, which boosted the operations of energy companies.

Exxon’s first-quarter capital and exploration expenditures totaled $4.9 billion during the period, with oil equivalent production down 4% quarter-on-quarter to 3.7 million barrels per day.

“Cash in the first quarter was up $4.3 billion compared to the fourth quarter of 2021 as strong cash flow from operations increased funded capital investment, additional debt reduction, and shareholder dividends in the quarter. Free cash flow in the quarter was approximately $11 billion. .The company said in a statement.

Exxon repurchased $2.1 billion worth of stock during the period, and said it would increase its share buyback program. The oil giant now expects to buy back $30 billion through 2023.

Exxon shares were down 2% during pre-market trading.

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