EX-99.1 2 f8k1q991.htm NEWS RELEASE  

 

 

EXHIBIT 99.1

News Release

 

Exxon Mobil Corporation

 

5959 Las Colinas Boulevard

 

Irving, TX  75039

 

972 444 1107 Telephone

 

972 444 1138 Facsimile

  

 

 

 

FOR IMMEDIATE RELEASE

 

THURSDAY, APRIL 30, 2015

 

 

 

 

 

ExxonMobil Earns $4.9 Billion in First Quarter of 2015

 

 

 

 

Balanced portfolio delivers solid results in a lower commodity price environment

 

Upstream volumes increased by more than 2 percent, benefiting from new developments

 

Strong Downstream and Chemical performance across all regions

 

 

 

 

 

 

First Quarter

 

 

 

 

 

 

2015

2014

 

%

 

Earnings Summary

 

 

 

 

 

 

(Dollars in millions, except per share data)

 

 

 

 

 

 

 

Earnings

 

4,940

9,100

 

-46

 

 

Earnings Per Common Share

 

 

 

 

 

 

 

Assuming Dilution

 

1.17

2.10

 

-44

 

 

 

 

 

 

 

 

 

 

Capital and Exploration

 

 

 

 

 

 

Expenditures

 

7,704

8,436

 

-9

 



IRVING, Texas – April 30, 2015 – Exxon Mobil Corporation today announced estimated first quarter 2015 earnings of $4.9 billion, or $1.17 per diluted share, compared with $9.1 billion a year earlier, demonstrating the value of the company’s integrated businesses in a lower commodity price environment.

 

“ExxonMobil’s balanced portfolio delivered solid financial results in the quarter,” said Rex W. Tillerson, chairman and chief executive officer. “Regardless of current market conditions, we remain focused on business fundamentals and competitive advantages that create long‑term shareholder value.”

 

During the quarter, ExxonMobil produced 4.2 million oil‑equivalent barrels per day, an increase of 97,000 barrels per day over the first quarter of 2014. Volumes were up 2.3 percent, benefiting from new developments in Papua New Guinea, Canada, Angola, Indonesia, and U.S. onshore liquids plays. Field decline and maintenance impacts were mostly offset by higher entitlement volumes.

 

Downstream and Chemical segment earnings were strong across all regions, driven by lower feedstock costs, improved demand, and the company’s competitive product and asset mix.

  

During the quarter, the corporation distributed $3.9 billion to shareholders in the form of dividends and share purchases to reduce shares outstanding.

 

 


 

 

First Quarter Highlights

 

Earnings of $4.9 billion decreased 46 percent from the first quarter of 2014.

 

Earnings per share were $1.17 assuming dilution, a decrease of 44 percent

 

Capital and exploration expenditures were $7.7 billion, down 9 percent from the first quarter of 2014, in line with plan

 

Oil‑equivalent production increased 2.3 percent from the first quarter of 2014, with liquids up 6 percent and gas down 1.6 percent.

 

Cash flow from operations and asset sales was $8.5 billion, including proceeds associated with asset sales of $484 million.

 

The corporation distributed $3.9 billion to shareholders in the first quarter of 2015, including $1 billion in share purchases to reduce shares outstanding.

 

Dividends per share of $0.69 increased 9.5 percent compared with the first quarter of 2014.

 

Production started at the Sakhalin‑1 project’s Arkutun‑Dagi field, the last of the three fields to be developed. Peak daily gross production from the field is expected to reach 90,000 barrels and will bring total daily production at Sakhalin‑1 to more than 200,000 barrels.

 

Production started at Hadrian South in the Gulf of Mexico with ExxonMobil’s deepest subsea tie-back. Daily gross production is expected to reach approximately 300 million cubic feet of gas and 3,000 barrels of liquids from two wells.

 

Oil production started ahead of schedule at the Kizomba Satellites Phase 2 project offshore Angola. This capital‑efficient project utilizes subsea tie‑backs to optimize existing Block 15 facilities, increasing current production levels without requiring additional floating production, storage and offloading vessels. The project develops approximately 190 million barrels of oil with peak production currently estimated at 70,000 gross barrels of oil per day. The project is expected to increase total daily Block 15 production to 350,000 barrels.

 

Construction of an 84 megawatt cogeneration plant is underway at the Singapore refinery, which will improve the energy efficiency of the site upon completion. The project will enable the shutdown of less efficient power generation facilities and reduce carbon dioxide emissions. This project underscores ExxonMobil’s commitment to improving energy efficiency, lowering emissions, and reducing costs.

  

Drilling resumed at Point Thomson on Alaska’s North Slope as construction continues toward bringing the initial production systems, designed to produce up to 10,000 gross barrels per day of natural gas condensate, online in 2016. The initial production will provide reservoir development insights and economic benefits to Alaskans.

 

 

- 2 - 


 

First Quarter 2015 vs. First Quarter 2014

 

Upstream earnings were $2.9 billion in the first quarter of 2015, down $4.9 billion from the first quarter of 2014. Lower liquids and gas realizations decreased earnings by $5.5 billion. Higher volumes and mix effects increased earnings by $340 million, reflecting growth from new developments. All other items, including favorable tax effects, increased earnings by $250 million.

 

On an oil-equivalent basis, production increased 2.3 percent from the first quarter of 2014. Liquids production totaled 2.3 million barrels per day, up 129,000 barrels per day, while natural gas production was 11.8 billion cubic feet per day, down 188 million cubic feet per day from 2014. Project ramp‑up and entitlement effects were partly offset by field decline and maintenance activities.

 

The U.S. Upstream operations recorded a loss of $52 million, down $1.3 billion from the first quarter of 2014. Non-U.S. Upstream earnings were $2.9 billion, down $3.6 billion from the prior year.

 

Downstream earnings were $1.7 billion, up $854 million from the first quarter of 2014. Stronger margins increased earnings by $1 billion. Volume and mix effects increased earnings by $70 million. All other items, primarily higher maintenance expense, decreased earnings by $260 million. Petroleum product sales of 5.8 million barrels per day were flat with the prior year’s first quarter.

 

Earnings from the U.S. Downstream were $567 million, down $56 million from the first quarter of 2014. Non-U.S. Downstream earnings of $1.1 billion were $910 million higher than last year.

 

Chemical earnings of $982 million were $65 million lower than the first quarter of 2014. Improved margins increased earnings by $240 million. Favorable volume mix effects increased earnings by $30 million. All other items, primarily unfavorable foreign exchange effects, decreased earnings by $340 million. First quarter prime product sales of 6.1 million metric tons were 59,000 metric tons lower than last year's first quarter.

 

Corporate and financing expenses were $564 million for the first quarter of 2015, essentially flat with the first quarter of 2014.

 

During the first quarter of 2015, Exxon Mobil Corporation purchased 20 million shares of its common stock for the treasury at a gross cost of $1.8 billion. These purchases included $1 billion to reduce the number of shares outstanding, with the balance used to acquire shares in conjunction with the company’s benefit plans and programs. Share purchases to reduce shares outstanding are currently anticipated to equal $1 billion in the second quarter of 2015. Purchases may be made in both the open market and through negotiated transactions, and may be increased, decreased or discontinued at any time without prior notice.

 

- 3 - 


 

ExxonMobil will discuss financial and operating results and other matters during a webcast at 10 a.m. Central Time on April 30, 2015. To listen to the event or access an archived replay, please visit www.exxonmobil.com

 

Cautionary Statement

Statements relating to future plans, projections, events or conditions are forward‑looking statements. Actual results, including project plans, costs, timing, and capacities; capital and exploration expenditures; resource recoveries; and share purchase levels, could differ materially due to factors including: changes in oil or gas prices or other market or economic conditions affecting the oil and gas industry, including the scope and duration of economic recessions; the outcome of exploration and development efforts; changes in law or government regulation, including tax and environmental requirements; the outcome of commercial negotiations; changes in technical or operating conditions; and other factors discussed under the heading "Factors Affecting Future Results" in the “Investors” section of our website and in Item 1A of ExxonMobil's 2014 Form 10-K. We assume no duty to update these statements as of any future date.

 

Frequently Used Terms

This press release includes cash flow from operations and asset sales, which is a non‑GAAP financial measure. Because of the regular nature of our asset management and divestment program, we believe it is useful for investors to consider proceeds associated with the sales of subsidiaries, property, plant and equipment, and sales and returns of investments together with cash provided by operating activities when evaluating cash available for investment in the business and financing activities. A reconciliation to net cash provided by operating activities is shown in Attachment II. References to quantities of oil or natural gas may include amounts that we believe will ultimately be produced, but that are not yet classified as “proved reserves” under SEC definitions. Further information on ExxonMobil's frequently used financial and operating measures and other terms is contained under the heading "Frequently Used Terms" available through the “Investors” section of our website at exxonmobil.com.

 

Reference to Earnings

References to corporate earnings mean net income attributable to ExxonMobil (U.S. GAAP) from the consolidated income statement. Unless otherwise indicated, references to earnings, Upstream, Downstream, Chemical and Corporate and Financing segment earnings, and earnings per share are ExxonMobil's share after excluding amounts attributable to noncontrolling interests.

 

The term “project” as used in this release can refer to a variety of different activities and does not necessarily have the same meaning as in any government payment transparency reports.

  

  

- 4 - 


 

 

 

Estimated Key Financial and Operating Data

 

 

 

 

 

 

 

 

 

Attachment I

Exxon Mobil Corporation

First Quarter 2015

(millions of dollars, unless noted)

 

 

 

 

 

First Quarter

 

 

 

 

 

2015

2014

 

 

Earnings / Earnings Per Share

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total revenues and other income

 

67,618

106,325

 

 

 

Total costs and other deductions

 

60,983

91,098

 

 

 

Income before income taxes

 

6,635

15,227

 

 

 

 

Income taxes

 

1,560

5,857

 

 

 

Net income including noncontrolling interests

 

5,075

9,370

 

 

 

 

Net income attributable to noncontrolling interests

 

135

270

 

 

 

Net income attributable to ExxonMobil (U.S. GAAP)

 

4,940

9,100

 

 

 

 

 

 

 

 

 

 

 

Earnings per common share (dollars)

 

1.17

2.10

 

 

 

 

 

 

 

 

 

 

 

Earnings per common share

 

 

 

 

 

 

 

- assuming dilution (dollars)

 

1.17

2.10

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other Financial Data

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Dividends on common stock

 

  

  

 

 

 

 

Total

 

2,910

2,732

 

 

 

 

Per common share (dollars)

 

0.69

0.63

 

 

 

 

 

 

 

 

 

 

 

Millions of common shares outstanding

 

 

 

 

 

 

 

At March 31

 

4,181

4,294

 

 

 

 

Average - assuming dilution

 

4,211

4,328

 

 

 

 

 

 

 

 

 

 

 

ExxonMobil share of equity at March 31

 

171,227

176,398

 

 

 

ExxonMobil share of capital employed at March 31

 

206,391

200,811

 

 

 

 

 

 

 

 

 

 

 

Income taxes

 

1,560

5,857

 

 

 

Sales-based taxes

 

5,530

7,416

 

 

 

All other taxes

 

7,274

8,857

 

 

 

 

Total taxes

 

14,364

22,130

 

 

 

 

 

 

 

 

 

 

 

ExxonMobil share of income taxes of

 

 

 

 

 

 

equity companies

 

961

1,820

 

 

 

 

 

 

 

 

- 5 - 


 

 

 

 

 

 

Attachment II

 

 

 

 

 

 

 

 

Exxon Mobil Corporation

First Quarter 2015

(millions of dollars)

 

 

 

 

 

First Quarter

 

 

 

 

 

2015

2014

 

 

Earnings (U.S. GAAP)

 

 

 

 

 

Upstream

 

 

 

 

 

 

United States

 

(52)

1,244

 

 

 

Non-U.S.

 

2,907

6,539

 

 

Downstream

 

 

 

 

 

 

United States

 

567

623

 

 

 

Non-U.S.

 

1,100

190

 

 

Chemical

 

 

 

 

 

 

United States

 

605

679

 

 

 

Non-U.S.

 

377

368

 

 

Corporate and financing

 

(564)

(543)

 

 

Net income attributable to ExxonMobil

 

4,940

9,100

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash flow from operations and asset sales (billions of dollars)

 

 

 

 

 

 

 

 

 

 

 

 

Net cash provided by operating activities

 

 

 

 

 

(U.S. GAAP)

 

8.0

15.1

 

 

Proceeds associated with asset sales

 

0.5

1.1

 

 

Cash flow from operations and asset sales

 

8.5

16.2

 

 

 

 

 

 

 

 

- 6 - 


 

 

 

 

 

 

 

Attachment III

 

 

 

 

 

 

 

 

 

Exxon Mobil Corporation

First Quarter 2015

 

 

 

 

 

 

 

First Quarter

 

 

 

 

 

 

2015

2014

 

 

Net production of crude oil, natural gas

 

 

 

 

 

liquids, bitumen and synthetic oil,

 

 

 

 

 

thousand barrels per day (kbd)

 

 

 

 

 

 

 

United States

 

472

442

 

 

 

 

Canada / South America

 

368

315

 

 

 

 

Europe

 

200

195

 

 

 

 

Africa

 

519

480

 

 

 

 

Asia

 

678

666

 

 

 

 

Australia / Oceania

 

40

50

 

 

 

 

 

Worldwide

 

2,277

2,148

 

 

 

 

 

 

 

 

 

 

 

Natural gas production available for sale,

 

 

 

 

 

million cubic feet per day (mcfd)

 

 

 

 

 

 

 

United States

 

3,220

3,412

 

 

 

 

Canada / South America

 

310

336

 

 

 

 

Europe

 

3,447

3,465

 

 

 

 

Africa

 

2

7

 

 

 

 

Asia

 

4,282

4,519

 

 

 

 

Australia / Oceania

 

567

277

 

 

 

 

 

Worldwide

 

11,828

12,016

 

 

 

 

 

 

 

 

 

 

 

Oil-equivalent production (koebd)1

 

4,248

4,151

 

 

 

 

 

 

 

 

 

 

 

1 Gas converted to oil-equivalent at 6 million cubic feet = 1 thousand barrels.

 

 

 

 

 

 

 

 

 

- 7 - 


 

 

 

 

 

 

Attachment IV

 

 

 

 

 

 

 

 

Exxon Mobil Corporation

First Quarter 2015

 

 

 

 

 

 

First Quarter  

 

 

 

 

 

2015

2014

 

 

Refinery throughput (kbd)

 

 

 

 

 

 

United States

 

1,807

1,811

 

 

 

Canada

 

393

378

 

 

 

Europe

 

1,473

1,432

 

 

 

Asia Pacific

 

681

702

 

 

 

Other

 

192

186

 

 

 

 

Worldwide

 

4,546

4,509

 

 

 

 

 

 

 

 

 

Petroleum product sales (kbd)

 

 

 

 

 

 

United States

 

2,612

2,605

 

 

 

Canada

 

492

488

 

 

 

Europe

 

1,536

1,513

 

 

 

Asia Pacific

 

748

762

 

 

 

Other

 

426

449

 

 

 

 

Worldwide

 

5,814

5,817

 

 

 

 

 

 

 

 

 

 

Gasolines, naphthas

 

2,363

2,401

 

 

 

Heating oils, kerosene, diesel

 

1,994

1,865

 

 

 

Aviation fuels

 

410

428

 

 

 

Heavy fuels

 

395

429

 

 

 

Specialty products

 

652

694

 

 

 

 

Worldwide

 

5,814

5,817

 

 

 

 

 

 

 

 

Chemical prime product sales,

 

 

 

 

 

thousand metric tons (kt)

 

 

 

 

 

 

United States

 

2,321

2,392

 

 

 

Non-U.S.

 

3,748

3,736

 

 

 

 

Worldwide

 

6,069

6,128

 

 

 

 

 

 

 

 

- 8 - 


 

 

 

 

 

 

Attachment V

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Exxon Mobil Corporation

First Quarter 2015

(millions of dollars)

 

 

 

 

 

First Quarter  

 

 

 

 

 

2015

2014

 

 

Capital and Exploration Expenditures

 

 

 

 

 

 

Upstream

 

 

 

 

 

 

 

United States

 

2,120

2,092

 

 

 

 

Non-U.S.

 

4,297

5,172

 

 

 

 

Total

 

6,417

7,264

 

 

 

Downstream

 

 

 

 

 

 

 

United States

 

295

228

 

 

 

 

Non-U.S.

 

326

312

 

 

 

 

Total

 

621

540

 

 

 

Chemical

 

 

 

 

 

 

 

United States

 

430

397

 

 

 

 

Non-U.S.

 

224

233

 

 

 

 

Total

 

654

630

 

 

 

 

 

 

 

 

 

 

 

Other

 

12

2

 

 

 

 

 

 

 

 

 

 

 

Worldwide

 

7,704

8,436

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Exploration expenses charged to income

 

 

 

 

 

included above

 

 

 

 

 

 

Consolidated affiliates

 

 

 

 

 

 

 

United States

 

37

35

 

 

 

 

Non-U.S.

 

274

280

 

 

 

Equity companies - ExxonMobil share

 

 

 

 

 

 

 

United States

 

3

1

 

 

 

 

Non-U.S.

 

8

22

 

 

 

Worldwide

 

322

338

 

 

 

 

 

 

 

 

- 9 - 


 

 

 

 

 

 

 

 

 

Attachment VI

 

 

 

 

 

 

 

 

 

 

Exxon Mobil Corporation

Earnings

 

 

 

 

 

 

$ Millions

 

$ Per Common Share1

 

 

 

 

 

 

 

 

 

 

 

2011

 

 

 

 

 

 

 

First Quarter

 

10,650

 

 

2.14

 

 

Second Quarter

 

10,680

 

 

2.19

 

 

Third Quarter

 

10,330

 

 

2.13

 

 

Fourth Quarter

 

9,400

 

 

1.97

 

 

 

 

Year

 

41,060

 

 

8.43

 

 

 

 

 

 

 

 

 

 

 

 

2012

 

 

 

 

 

 

 

First Quarter

 

9,450

 

 

2.00

 

 

Second Quarter

 

15,910

 

 

3.41

 

 

Third Quarter

 

9,570

 

 

2.09

 

 

Fourth Quarter

 

9,950

 

 

2.20

 

 

 

 

Year

 

44,880

 

 

9.70

 

 

 

 

 

 

 

 

 

 

2013

 

 

 

 

 

 

 

First Quarter

 

9,500

 

 

2.12

 

 

Second Quarter

 

6,860

 

 

1.55

 

 

Third Quarter

 

7,870

 

 

1.79

 

 

Fourth Quarter

 

8,350

 

 

1.91

 

 

 

 

Year

 

32,580

 

 

7.37

 

 

 

 

 

 

 

 

 

 

 

 

2014

 

 

 

 

 

 

 

First Quarter

 

9,100

 

 

2.10

 

 

Second Quarter

 

8,780

 

 

2.05

 

 

Third Quarter

 

8,070

 

 

1.89

 

 

Fourth Quarter

 

6,570

 

 

1.56

 

 

 

 

Year

 

32,520

 

 

7.60

 

 

 

 

 

 

 

 

 

 

 

 

2015

 

 

 

 

 

 

 

First Quarter

 

4,940

 

 

1.17

 

 

 

 

 

 

 

 

 

 

 

 

1 Computed using the average number of shares outstanding during each period.

 

 

 

 

 

 

 

 

 

 

 

- 10 -