ExxonMobil’s profits rebounded in the third quarter on strengthening oil and natural gas prices as the petroleum giant announced a new share repurchase programme, according to results released on Friday.
The US oil company reported profits of S$6.8 billion, compared with a loss of US$680 million over the same period last year amid weak demand during a more severe period of the Covid-19 pandemic.
Third-quarter results reflected soaring natural gas prices, improving refining margins and supply shortages that pushed oil to a three-year high during the quarter. Crude prices have continued to climb to a near seven-year high.
All the company’s three business delivered higher returns within the backdrop of a recovering global economy, chief executive Darren Woods said in prepared remarks.
“These factors contributed to significant free cash flow during the quarter, which enabled us to further reduce debt and more than cover the dividend,” Woods said.
Its strong cash flow outlook will allow the company next year to resume share buybacks under a plan to spend up to US$10 billion on repurchases through 2023AFP.
