ExxonMobil (NYSE: XOM) reported on Friday fourth-quarter earnings down from a year earlier, as lower natural gas prices and weak chemical and refining margins were not enough to offset cash flow from asset sales in the quarter. Exxon’s Q4 earnings slipped by 5 percent on the year to $5.69 billion, while earnings per common share assuming dilution dropped by 6 percent to $1.33. Adjusted earnings per share came in at $0.41, lower than Wall Street expectations of $0.43.
In Q4, earnings included favorable identified items of about $3.9 billion, mainly a $3.7 billion gain from the sale of Exxon’s upstream assets in Norway. Exxon’s full-year earnings in 2019 also dropped, by 31 percent. “Our operations performed well, while short-term supply length in the downstream and chemicals businesses impacted margins and financial results,” Exxon’s chairman and chief executive officer Darren W. Woods said in a statement.
“Industry fuels margins were significantly lower than third quarter, reflecting seasonally lower demand and increased supply from reduced industry maintenance,” Exxon said, while it also flagged further weakening of chemicals margins from already depressed levels.