ExxonMobil’s profits decline despite an increase in net income

In the third quarter of this year, ExxonMobil experienced a decline in profits compared to the same period last year, as stated in the earnings report released on Monday. However, the company saw a noteworthy 15% increase in net income in the last September quarter, a boost attributed to the soaring global oil prices reaching record levels.

ExxonMobil, in its earnings statement, highlighted that these substantial oil price hikes provided the opportunity for strategic acquisitions. One such acquisition was the purchase of Denbury, a company operating oil pipelines, in July for $4.9 billion.

For the third quarter of 2023, ExxonMobil’s profits totaled $9.07 billion, equivalent to $2.25 per share. This is a decrease from the profits reported in the corresponding period last year, which stood at $19.66 billion, or $4.68 per share. When accounting for specific items, the earnings were $2.27 per share.

The company’s revenues also experienced a decline, dropping to $90.76 billion compared to the profits recorded in the same period last year at $112.07 billion. Nevertheless, these figures surpassed market expectations, which had predicted revenues of $89.29 billion. This dynamic showcases ExxonMobil’s ability to navigate challenging market conditions while capitalizing on strategic opportunities.