Exxon Mobil smashed a record for the most profit ever. With hardly any debt left to pay down – and investments in new projects reined in – the cash will go to investors: rob_cyran
Neither company seems inclined to increase debt. Oil demand growth has peaked, and may start to decline soon, according toreleased on Monday. The price of the commodity, always volatile, could turn even more so, making debt more risky. Meanwhile it’s making less sense to keep buffing the balance sheet. Chevron’s net debt was around $5 billion in December and Exxon’s under $12 billion. It’s conceivable both could have more cash than debt at the end of the year if the price of oil rises.
As fossil fuels become a scarcer resource, governments that are focused on a shift from using them to greener fuels might be inclined to try to heavily tax oil giants that are booking record profit. In the United States, the application of a one-off tax seems unrealistic, even if a drum beat to pay one gets louder.
Still, returns were dismal prior to the current boom, as the sector binged to increase fossil fuel production and the market had a glut of oil and gas. Investors who have bided their time wantExxon Mobil said on Jan. 31 that it earned $12.8 billion in the fourth quarter, and $55.7 billion for 2022. That’s up from $8.9 billion in the same quarter last year, and $23 billion for 2021.
The oil company retired $7.2 billion of debt in 2022. Exxon ended the year with $29.7 billion of cash on its balance sheet, compared to $6.8 billion at the end of 2021. On Jan. 27, Chevron said it earned $35.5 billion for 2022, compared to $15.6 billion. On Jan. 25, Chevron announced a $75 billion buyback program with no set timetable.Opinions expressed are those of the author. They do not reflect the views of Reuters News, which, under the Trust Principles, is committed to integrity, independence, and freedom from bias.
Norge Siste Nytt, Norge Overskrifter
Similar News:Du kan også lese nyheter som ligner på denne som vi har samlet inn fra andre nyhetskilder.
Breakingviews - Breakingviews: Adani’s financing safety-net rests on Indian banksGautam Adani’s financing options are narrowing fast. Investors wiped $48 billion off the Indian tycoon’s listed companies in just two days last week; his flagship Adani Enterprises lost 19% of its value on Friday alone. While the nationally important ports-to-power-to-roads group should be able to manage its interest bill, the selloff blows apart Adani’s plans to tap global capital markets. That leaves it dependent on a safety net provided by Indian banks.
Les mer »
Breakingviews - Breakingviews: TikTok’s trust-me tour will need at least 50 stopsTikTok wants a fair shake. The social media company run by Chief Executive Shou Zi Chew will appear in front of a U.S. House of Representatives committee in March. But Chew, a Harvard University alumnus, will have to travel far beyond Washington to make America comfortable.
Les mer »
Breakingviews - Breakingviews: Adani re-ups India’s emerging market riskIndia is making its way onto global investors’ maps. How the country’s financial authorities tackle the $65 billion selloff at Gautam Adani’s eponymous infrastructure empire following a short-selling attack may determine how soon the country establishes itself as a reliable investment destination.
Les mer »
Exxon Vaults to Record Annual Profit of $55.7 BillionExxon Mobil posted a record annual profit of $55.7 billion, riding high oil prices to resurrect its status as one of America’s most profitable companies
Les mer »
Exxon smashes Western oil majors' earnings record with $59 billion profit By Reuters⚠️BREAKING: *EXXON SHARES SLUMP AS Q4 REVENUE LAGS WALL STREET ESTIMATES DESPITE RECORD $59 BILLION PROFIT - $XOM
Les mer »
Exxon smashes Western oil majors' earnings record with $56 billion profit for 2022Exxon Mobil Corp posted a $56 billion profit for 2022, the company said on Tuesday, taking home about $6.3 million per hour last year, and setting not only a company record but a historic high for the Western oil industry.
Les mer »