Operating losses in Q2 will be reported by Exxon Mobil Corp’s oil and gas producing and refining businesses.
Oil prices are down 35 percent since January as the COVID-19 pandemic slashed demand and a global glut forced widespread production cuts. Rivals BP Plc and Royal Dutch Shell have disclosed massive spending cuts and writedowns due to the price drop.
According to estimates from Refinitiv IBES, Exxon faces a loss for the quarter of $2.3 billion or 57 cents per share. Shell outlined an up to $22 billion charge and BP an up to $17.5 billion writedown on the oil demand and price drops.
Compared with Q1 on weaker margins and logistics differentials, refining results will fall by between $800 million and $1.l billion. Exxon last quarter cut output by up to 400,000 bpd and capital spending by 30 percent, much of it in its shale business. Shares have fallen about 38 percent this year.
