Exxon Mobil eyes first profit in five quarters

Photo: AP

The biggest US oil producer Exxon Mobil said it was on the verge to return to profit driven by the latest price rally and signs of restoring market demand, Reuters reported. Exxon’s positive outlook will bring the company to profits for the first time in five quarters. Higher oil and gas prices will provide a rise evaluated at some $2.7 billion. Exxon last year posted consecutive quarterly losses as falling oil prices and refining margins triggered write downs.

Exxon’s chemicals operation, its only business to eke out a profit for 2020, could get a $600 million boost over fourth quarter results on better margins. The business earned $700 million in the final quarter. Results are scheduled to be released on 30 April. Reported first-quarter earnings could hit $2.34 billion, according to Refinitiv IBES, compared with a year-earlier loss of $610 million.

The top US oil producer last year slashed project spending and reduced output as it incurred a historic loss of $22.4 billion.

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