Nov 2 (Reuters) - Exxon Mobil Corp on Fridayreported a quarterly profit that topped analysts' estimate onhigher prices received for its oil and natural gas but itsproduction volumes fell on a year-over-year basis.
The company's third-quarter net income rose 57 percent to$6.24 billion, or $1.46 a share, compared with $3.97 billion, or93 cents per share a year ago. Analysts had forecast a $1.23 ashare profit, according to data from I/B/E/S on Refinitiv.
With crude up 44 percent in the quarter over a year-earlier,results at Exxon and other major oil companies are returning tolevels not seen in four years. Royal Dutch Shellposted income of $5.6 billion on Thursday and BP Plc thisweek reported profit of $3.8 billion.
Exxon's shares rose more than 1 percent to $81.61 in morningtrading but are down more than 4 percent year-to-date on loweroil and gas production. Including the latest period, its oil andgas output has dropped in nine of the last 10 quarters.
"It's a modestly positive report," said Brian Youngberg, anequity analyst at Edward Jones. "They had such a weak first halfof the year, the bar was lower and they jumped over it."
Results benefited in part from a $360-million tax benefitthat added about 7 cents a share to earnings, said Youngberg.
Oil production fell 3 percent to 3.8 million barrels of oilequivalent and natural gas output dropped 4 percent, the companysaid.
Its liquids output in the Permian Basin of West Texas andNew Mexico rose 57 percent over a year ago as the companybrought on 66 wells in the nation's largest oilfield, SeniorVice President Jack Williams said during a conference call.
Earnings from the company's downstream unit, which refinescrude oil into gasoline and other products, rose 72 percent to$1.64 billion, benefiting from fewer maintenance disruptionsduring the quarter and from growing supplies of discounted shaleoil from West Texas and crude from Western Canada.
Exxon officials said the company continues to prioritizeinvesting cash into new production projects and to shareholderdividends rather than share buybacks. Investors have beenpushing the company to resume repurchases which were halted in2016 except to offset the dilution the stock issues toemployees.
(Reporting by Gary McWilliamsEditing by Nick Zieminski)
BP (BP.)
