ExxonMobil reported $5.48 billion in profits during the first quarter as oil and gas prices rose steadily, more than doubling its profits compared with the same quarter last year.
But the oil giant took a huge hit as it abandoned its Russian operations due to the war in Ukraine, writing down $3.4 billion.
Including that loss, the oil giant reported profits of $1.28 per share this morning, which was well below expectations of analysts polled by Factset, who were looking for $2.23 per share.
Revenue at the company, which employs thousands in the Baton Rouge area, was $90.5 billion, which far exceeded the $59.15 billion in revenue during the same quarter a year ago.
The price of oil climbed steadily during the first quarter after Russia invaded Ukraine, sending European countries, which rely heavily on Russia for energy, and others scrambling to find alternative sources for fuel. A barrel of the U.S. benchmark crude rose from $76 to nearly $130 per barrel before ending the quarter at $100, and drivers were filling up with increasingly expensive gasoline.
Natural gas prices rose as well, climbing from $3.50 per million British thermal units to about $5.60, inflating home heating bills and electricity prices.
ExxonMobil’s production fell to 3.7 million barrels per day of oil-equivalent, down 4% from the fourth quarter of 2021 due to weather-related unscheduled downtime, planned maintenance and divestments, the company says. Production in the Permian Basin grew and the company was on track to deliver a 25% increase in production there in 2022 compared to last year.
See the full report, which includes Chevron’s first-quarter results.