Exxon, Chevron top Q3 profit expectations as US oil output hits record high
Exxon profits down 5% yr/yr, Chevron's off 21% on weak refining
But US oil majors outrun European rivals that bet on renewables
Oil output gains set to be tested by slowing demand growth
Adds graphic, updates shares in paragraph nine
By Shariq Khan
NEW YORK, Nov 1 (Reuters) -U.S. oil producers Exxon Mobil XOM.N and Chevron CVX.N posted better-than-expected third-quarter profits on Friday, outperforming their European rivals, as record U.S. oilproduction cushioned the blow from a plunge in fuel margins.
The two focused on expanding oil and gas production as rivals BP BP.L and Shell SHEL.L spent heavily on wind, solar and renewables that have yet to pay off. Both U.S. oil firms have meanwhile benefited from acquisitions of smaller oil producers.
Still, their surging production could soon face a challenge from uncertain demand, especially in top oil importer China, and the potential for OPEC to lift production curbs as soon as next month. The group is expected to delay a plan to add 180,000 barrels per day amid concerns over weak demand and oversupply.
Exxon pumped a record 4.6 million barrels of oil equivalent per day (boepd) in the third-quarter, up more than 24% from a year-ago, as its $60 billion bet on Pioneer Natural Resources and purchase of Denbury paid dividends.
Chevron, whose $53-billion takeover of Hess HES.N has been held up, posted a 7%increase in third-quarter output to 3.36 million boepd, mostly from gains in its U.S. shale business which pumped a record 1.61 million boepd. It added a drilling rig in the Permian basin last quarter and will begin a production expansion in Kazakhstan next quarter.
Both companies reported lower year-over-year profits as weak global refining margins that hit BP and TotalEnergies TTEF.PA hard and also cuttheir oil earnings. Exxon's third-quarter profits were 5% lower than last year, while Chevron's fell 21%.
But theirdeclines were smaller than Wall Street expectations and not as steep astop European rivals. BP this week reported a 30% drop in profits from a year ago, and TotalEnergies posted a 37% decline in adjusted net income.
Exxon's $1.92 per share profit was four cents higher than Wall Street's outlook, whereas Chevron's $2.51 per share adjusted income was well ahead of analysts' average estimates of $2.42, according to LSEG data.
Chevron shares gained 3.1% to $153.41 in midday trading while Exxon was largely unchanged at $116.77.
Both pumped record amounts of oil and gas from the Permian basin, the top U.S. shale field. Exxon's output from the basin, which spans across Texas and New Mexico, hit a record 1.4 million boepd.
Exxon is not planning to take its foot off the gas.
"We see tremendous opportunities to invest in profitable growth in both our existing and new businesses," said finance chief Kathryn Mikells.
Chevron said its output in the Permian jumped by 22% to a record 950,000 boepd, helped by last year's acquisition of PDC Energy, and is on track to reach 1million boepd in the field next year.
Higher output helps Exxon, Chevron beat profit estimates https://reut.rs/4ecOeva
Reporting by Shariq Khan in New York and Arunima Kumar in Bengaluru; Editing by Marguerita Choy
免责声明: XM Group仅提供在线交易平台的执行服务和访问权限，并允许个人查看和/或使用网站或网站所提供的内容，但无意进行任何更改或扩展，也不会更改或扩展其服务和访问权限。所有访问和使用权限，将受下列条款与条例约束：(i) 条款与条例；(ii) 风险提示；以及(iii) 完整免责声明。请注意，网站所提供的所有讯息，仅限一般资讯用途。此外，XM所有在线交易平台的内容并不构成，也不能被用于任何未经授权的金融市场交易邀约和/或邀请。金融市场交易对于您的投资资本含有重大风险。
所有在线交易平台所发布的资料，仅适用于教育/资讯类用途，不包含也不应被视为用于金融、投资税或交易相关咨询和建议，或是交易价格纪录，或是任何金融商品或非应邀途径的金融相关优惠的交易邀约或邀请。
本网站上由XM和第三方供应商所提供的所有内容，包括意见、新闻、研究、分析、价格、其他资讯和第三方网站链接，皆保持不变，并作为一般市场评论所提供，而非投资性建议。所有在线交易平台所发布的资料，仅适用于教育/资讯类用途，不包含也不应被视为适用于金融、投资税或交易相关咨询和建议，或是交易价格纪录，或是任何金融商品或非应邀途径的金融相关优惠的交易邀约或邀请。请确保您已阅读并完全理解，XM非独立投资研究提示和风险提示相关资讯，更多详情请点击 这里。
