Exxon Mobil Cues Robust Q4 2022 Profit

On Wednesday, Exxon Mobil hinted a strong operational profit of around $15.40 billion in the fourth quarter of 2022.

In a security filing, the US’s largest oil producer showed a decline in its massive profits from the previous quarters. Yet, preliminary operational data confirmed 2022 as its best financial year, with approximately $58.00 billion in profits.

Besides, Exxon said its operational results from pumping energy, its largest business, withdrew by $2.30 billion from $12.40 billion in Q3 as crude costs plunged.

Also, its gasoline and diesel business made profits of $4.90 billion as prices retreated from summer peaks.

Likewise, chemical profits plummeted by $300.00 million, while motor oil profits remained at $800.00 million.

Furthermore, Exxon estimated $15.40 billion in operating profits, excluding impairments. It indicates that the annual result would succeed its all-time high of $45.00 billion hit in 2008.

As a reference, the entity posted back-to-back massive profits in the second and third quarters of 2022.

Last year, the entity benefited from high international energy costs and generated high earnings.

Analysts believed these record data might lead to new calls to levy windfall taxes in the United States.

In Europe, Exxon is legally fighting against further taxes that turn off investments.

Chevron and Exxon Trims Overseas Exposure

The United States integrated energy behemoths, Chevron and Exxon Mobil, began slashing on international projects. This decision was made to focus more on profitable assets in the US.

An analyst said that the heightened pivot to their home country could be attributed to several factors. It includes geopolitical tensions, higher profitability, windfall tax in particular nations, and increasing pressure from the government to boost output.

Recently, Exxon said over 70.00% of its upstream investments from 2023 to 2027 would be directed toward strategic developments. It would focus on the US Permian Basin, Brazil, Guyana, and international LNG projects.