BUZZ-Exxon reverses course as oil prices decline

Updates

Shares of US oil major Exxon Mobil XOM.N pare gains, now down ~1.6% to $107.84 in morning trade amid lower oil price environment

Oil prices also lower, with Brent crude futures LCOc1 down 0.4% and U.S. West Texas Intermediate (WTI) crude CLc1 down ~1%

Exxon beats Q4 profit estimates on higher oil and gas production

Profit per share was $1.67, beating analysts' average estimate of $1.56, according to data compiled by LSEG

However, FY24 earnings fell 13.2% to $33.46 billion on weaker refining margins

"Notably, on the chemicals front, the result was the worst since 4Q19 – further highlighting the tough environment currently in the division" - RBC Capital Markets analysts

"Continue to see the earnings drivers for XOM in the downstream remaining challenged, particularly in the Chemicals segment, while we continue to see refining margins under pressure"

XOM up ~2% YTD