ExxonMobil Q2 chems segment earnings drop 48% to $756m

01 August 2013 14:47  [Source: ICIS news]

HOUSTON (ICIS)--ExxonMobil’s second-quarter chemical segment earnings fell by 48% year on year to $756m (€567m), from $1.45bn in the same period a year ago when a $630m gain from restructuring in Japan boosted the segment’s results, the US-based energy and chemicals major said on Thursday.

ExxonMobil added that lower margins for specialties reduced chemical earnings by $100m, compared with the same period a year ago, while other items, including higher operating expenses, decreased earnings by $80m.

Meanwhile, volume and mix effects increased second-quarter chemical earnings by $120m.

ExxonMobil’s second-quarter “prime product sales” in the chemical segment were 5.83m tonnes, down by 141,000 tonnes from the same quarter in 2012.

ExxonMobil added that its Singapore production complex began producing ethylene from a second world-scale steam cracker, more than doubling steam-cracking capacity at the site and significantly increasing specialties capacity.

ExxonMobil’s overall second-quarter earnings fell 57% year on year to $6.86bn, from $15.9bn in the 2012 second quarter which included a $7.5bn net gain related to divestments and tax items.

Excluding the prior-year gain, ExxonMobil’s second-quarter earnings were down 19% year on year. Weaker refining margins and volumes associated with planned refinery turnaround and maintenance activities negatively impacted downstream earnings, the company said.

ExxonMobil's second-quarter revenues were $106.5bn, down from $127.4bn in the 2012 second quarter.

($1 = €0.75)

By: Stefan Baumgarten
+1 713 525 2653

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