ExxonMobil (XOM) reported adjusted third-quarter earnings of $17.5 billion, up more than 19% from the second quarter and above the average analyst estimate of $16.6 billion. Upstream adjusted earnings fell 20% to $7.3 billion as oil prices drifted lower amid cooling Middle East tensions, while downstream adjusted earnings rose 120% to $9 billion, the first time in six years refineries out-earned oil wells. Refining margins well above the 10-year average added $4.7 billion to the energy products segment, and the company ran its U.S. Gulf Coast refineries at full capacity. The article also credits investments in advantaged assets, such as a 40% increase in distillate production at its Beaumont refinery since 2019, and $16.9 billion in structural cost savings since 2019. Exxon's 2030 plan targets $25 billion in earnings growth and $35 billion in cash flow growth at constant pricing and margins compared to 2024.
Summary written by Upside AI from the original article. Read the source for full details.
Original headline: Exxon’s Refineries Out-Earned Its Oil Wells Last Quarter For the First Time in 6 Years. Here’s What That Says About Where the Profit Is Coming From.
Read the original on Yahoo Finance ↗
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