Exxon Sets Record Profit Despite Recession
The most profitable publicly traded company in the world announced that they had hauled in $45.2 billion in profits during 2008, despite a monumental decrease during the fourth quarter of the year.
“ExxonMobil’s full year 2008 earnings excluding special items were a record $44,060 million, up 8% from 2007. Earnings per share excluding special items were up 16% reflecting the benefit of the share purchase program. Net income of $45,220 million in 2008 was also a record, up 11% from 2007,” Exxon Mobil’s Chairman Rex W. Tillerson said in a company press release. “Net income included an after-tax special gain of $1,620 million from the sale of a natural gas transportation business in Germany and after-tax special charges of $460 million related to the Valdez litigation.”
The company surpassed its own profit record set in 2007 of $40.6 billion.
“These results reflect the strength of our business model,” David Rosenthal, Exxon’s vice president for investor relations, said during a conference call.
Net income at Exxon Mobil fell 33 percent during the fourth quarter of 2008, but the energy giant was still able to rake in a profit of $7.82 billion, or $1.55 per share – beating out analyst estimates.
As the global economic downturn has slowed manufacturer production, oil producers have scaled back production as crude oil stockpiles have continued to grow.
Exxon pumped about 2.47 million barrels of oil a day during the fourth quarter of 2008.
ExxonMobil announced it will invest more than $1 billion in three refineries in the U.S. and Europe to increase the supply of cleaner burning diesel by about six million gallons per day. The increased diesel production at these three sites will be equivalent to the diesel produced from about four average-sized refineries and underscores the company’s ongoing commitment to meet the growing needs of the marketplace while providing cleaner burning fuels to consumers, the company said in its earning report.