Exxon earnings rise on chemicals and lower taxes despite drop in production, revenue

Exxon says earnings rose slightly in the first quarter as profits from chemicals production surged enough to offset declining production of oil and gas. Lower taxes also helped.

Exxon reported Thursday that net income totalled $9.5 billion in the quarter, or $2.12 per share, on revenue of $108.8 billion. During last year’s quarter, Exxon earned $9.45 billion, or $2 per share, on revenue of $124.1 billion.

Analysts expected Exxon to earn $2.05 per share, on average.

Exxon Mobil Corp., based in Irving, Texas, produced 3.5 per cent less oil and gas in the quarter. But chemical profits rose 62 per cent and the company’s corporate and financing expenses fell sharply, which Exxon attributes to “favourable tax impacts.”

Exxon shares fell 32 cents to $89.11 in premarket trading.