Exxon Mobil profit tops $10 billion on crude oil price surge

[TomCADem]

Source: Washington Post

Exxon Mobil, the world’s largest company by market value, said net income exceeded $10 billion for a third consecutive quarter as rallying crude prices more than made up for the biggest production decline in three years.

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Third-quarter profit rose to $10.33 billion, or $2.13 a share, from $7.35 billion, or $1.44, a year earlier, the Irving, Tex.-based company said today in a Business Wire statement. The per-share result was in line with the average estimate of 19 analysts in a Bloomberg survey. Sales rose 32 percent to $125 billion.

“These guys keep pushing the oil out and selling it like it’s going out of style,” Douglas Ober, who manages $1.6 billion at Adams Express Co. and Petroleum & Resources Corp. in Baltimore.

* * *
Exxon’s 41 percent profit increase was the second-largest among major international oil companies that have announced third-quarter results. Only Royal Dutch Shell, the world’s third-largest energy company by market value, boasted a larger jump, by doubling net income to $7 billion.


Read more: http://www.washingtonpost.com/business/economy/exxon-mobil-profit-tops-10-billion-on-crude-oil-price-surge/2011/10/27/gIQAkQkQNM_story.html

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President Obama and Democrats have been pushing for the repeal of tax breaks to oil companies who are making record breaking profits. Nonetheless, Republicans continue to oppose such taxes. The corporate media neglects any mention of the tax debate when discussing Exxon's profits. Instead, the corporate media repeatedly allows Republicans to repeat their talking points about the need to cut taxes further for the rich, er job creators, even though the rich are continuing to grow richer.

Indeed, the corporate media is so effective, that the American people will continue to give Republicans a free pass while blaming Democrats for the deficit even though that deficit is fed in large part by Republican supported tax breaks to companies that do not need them.

[Scuba]

1. How much of that is taxpayer dollars?

[meow2u3]

2. Exxon-Mobil DROVE up the price of oil

No wonder they're sucking in money hand over fist! They arranged the deal on the commodities trading floor.

[earcandle]

3. yeah, what is the federal budget cut of this profit? How much does our treasury get of it?

Better be 35% or we will strike against the use of oil. 

[TomCADem]

4. Yeah, I Bet Our Imaginary 53 Percent Guy Is Concerned About Over Taxing Exxon

Yet, expect the corporate media to try to ignore or impugn the thousands of OWS protestors while giving face time to any imaginary astroturf guy who will say that they are speaking on behalf of the corporate friendly "53 percent."

[melm00se]

11. that is reported on a company's income statement

http://finance.yahoo.com/q/is?s=XOM

under the line item entitled: Income Tax Expense

please note that this does include income taxes for other countries that collect them as well.

you can dig into the full financial statements of the company to see what they paid in US taxes if you are so motivated.

[defendandprotect]

5. kr

[truthisfreedom]

6. I have news for you oil people. It's going out of style.

Electricity is the future.

[obxhead]

8. They don't care.

They are already invested in every other tech. They just want to milk the oil tech as much as possible until it dies.

[gtar100]

7. They have gotten far too comfortable with this sort of profit margin.

Their greed pollutes our air, poisons our water, destroys our lands, and blocks us from making progress toward adopting other energy sources. They deserve no less than their own extinction since that is what they recklessly bring upon us all.

[melm00se]

10. there is a difference between

profit margin and profits (although they are interconnected)

XOM's profits were:

quarter ending Jun 30, 2011 $10.8B
quarter ending Mar 31, 2011 $10.7B
quarter ending Dec 31, 2010 $9.25B
quarter ending Sep 30, 2010 $7.35B

their profit margin is their net profits divided by revenue:

quarter ending Jun 30, 2011 $10.8B/$125.5B = 8.6%
quarter ending Mar 31, 2011 $10.7B/$114B = 9.3%
quarter ending Dec 31, 2010 $9.25B/$105.2B = 8.8%
quarter ending Sep 30, 2010 $7.35B/$95.3B = 7.7%

so for every $1 that XOM spends, they make (as of their last earnings report) $0.08.

let's compare that to AAPL.

their last quarter, their revenues were $28.5B and their net income (profit) was $7.3B or 25.6% profit margin

if you just looked at the profits of each company you would say that XOM is a "better" company than AAPL but if you look at the return of each $ invested, AAPL is better.

[sarcasmo]

9. Tax profits and save our infrastructure with that tax.