Shares of the world’s largest publicly traded oil and gas company, Exxon Mobil, rose more than 3% on Monday to touch the $76 mark. Exxon’s latest quarterly earnings report revealed that the company reported a forecast-beating performance in the fourth quarter.
Quarterly profit excluding the impacts of U.S. tax changes rose to $6.41 billion, registering a 72% increase from the same period a year ago.
However, quarterly profit including the tax impacts fell by 28% compared to the same quarter a year ago to $6 billion. Nevertheless, the equivalent earnings per share of $1.41 beat forecasts of $1.08 per share.
But revenue couldn’t match forecasts and came-in at $71.89 billion, although the company showed a small increase in fossil fuel production. Oil production for the quarter increased 4% to hit four million barrels of oil equivalent, driven by growth from the Permian Basin, the top U.S. shale field underlying western Texas and south-eastern New Mexico.
The company has also released information about its plans to restructure upstream business by consolidating operations across three companies that could double up the cash flow earnings by 2025. Profits from the upstream business, excluding the tax impacts, rose ~47 percent to clock $3.7 billion in the fourth-quarter.
Finally, Exxon announced its decision to expand its Beaumont, Texas, refinery to process an outpouring of production from shale fields in the Permian Basin. The build-out will make the Beaumont facility the second largest in the United States after Saudi Aramco's Motiva refinery in Port Arthur, Texas.