Exxon Mobil Corporation Announces Estimated First Quarter 2012 Results

26.04.2012  |  Business Wire

Exxon Mobil Corporation (NYSE:XOM):

EXXONMOBIL'S CHAIRMAN REX W. TILLERSON COMMENTED:

'First quarter results reflect our ongoing focus on developing and
delivering energy needed to support job creation and economic growth.Despite continuing economic uncertainty, we are progressing our
robust investment plans to meet the energy demands of the future.

'Capital and exploration expenditures were $8.8 billion as we
continue with plans to invest about $37 billion per year over the next
five years.

'We continued to generate strong cash flow from operations and asset
sales with $21.8 billion in the quarter.

'First quarter earnings of $9.5 billion were down 11% from the first
quarter of 2011.

'Oil-equivalent production was down over 5% from 2011.Excluding
the impact of higher prices on entitlement volumes, OPEC quota effects
and divestments, production was down 1%.

'The Corporation distributed more than $7 billion to shareholders in
the first quarter through dividends and share purchases to reduce shares
outstanding.?

FIRST QUARTER HIGHLIGHTS

• 
  Earnings of $9,450 million, which included gains from asset sales of
  about $400 million, decreased 11% or $1,200 million from the first
  quarter of 2011.
  
• 
  Earnings per share (assuming dilution) were $2.00, a decrease of 7%.
  
• 
  Capital and exploration expenditures were $8.8 billion, up 13% from
  the first quarter of 2011.
  
• 
  Oil-equivalent production decreased over 5% from the first quarter of
  2011. Excluding the impact of higher prices on entitlement volumes,
  OPEC quota effects and divestments, production was down 1%.
  
• 
  Cash flow from operations and asset sales was $21.8 billion, including
  proceeds associated with asset sales of $2.5 ?billion.
  
• 
  Share purchases to reduce shares outstanding were $5 billion.
  
• 
  Dividends per share of $0.47 increased 7% compared to the first
  quarter of 2011.
  
• 
  ExxonMobil and Rosneft announced the signing of agreements to progress
  a long-term Strategic Cooperation Agreement to jointly explore for and
  develop oil and natural gas in Russia, and to share technology and
  expertise. Additionally, Rosneft will take equity in exploration and
  development projects in the United States and Canada.
  
• 
  In Romania, ExxonMobil′s affiliate drilled a successful deepwater new
  play test on the Neptun block in the Black Sea with the Deepwater
  Champion drillship and has additional 3D seismic data acquisition
  planned to support future drilling opportunities on the block.
  
• 
  ExxonMobil participated in a successful exploration well offshore
  Tanzania which discovered approximately 5 trillion cubic feet of
  recoverable gas in a high quality reservoir. A second exploration well
  is planned to test another prospect on the block.
  

First Quarter 2012 vs. First Quarter 2011

Upstream earnings were $7,802 ?million, down $873 million from the first
quarter of 2011. Higher liquids and natural gas realizations increased
earnings by $980 million. Lower sales volumes decreased earnings by $850
million. All other items, primarily higher operating expenses and the
absence of gains on asset sales, decreased earnings by $1.0 ?billion.

On an oil-equivalent basis, production decreased over 5% from the first
quarter of 2011. Excluding the impact of higher prices on entitlement
volumes, OPEC quota effects and divestments, production was down 1%.

Liquids production totaled 2,214 ?kbd (thousands of barrels per day),
down 185 kbd from the first quarter of 2011. Excluding the impact of
higher prices on entitlement volumes, OPEC quota effects and
divestments, liquids production was down less than 1%, as field decline
was mostly offset by ramp-up of Angola and Iraq projects, and lower
downtime.

First quarter natural gas production was 14,036 ?mcfd (millions of cubic
feet per day), down 489 mcfd from 2011, mainly due to field decline and
divestments.

Earnings from U.S. Upstream operations were $1,010 ?million, $269 ?million
lower than the first quarter of 2011. Non-U.S. Upstream earnings were
$6,792 million, down $604 ?million from the prior year.

Downstream earnings of $1,586 ?million were up $487 ?million from the
first quarter of 2011. Lower margins decreased earnings $40 million.
Volume and mix effects increased earnings by $210 million, while all
other items, mainly gains on asset sales, increased earnings by
$320 ?million. Petroleum product sales of 6,316 ?kbd were 49 ?kbd higher
than last year's first quarter.

Earnings from the U.S. Downstream were $603 ?million, down $91 ?million
from the first quarter of 2011. Non-U.S. Downstream earnings of
$983 ?million were $578 ?million higher than last year.

Chemical earnings of $701 ?million were $815 ?million lower than the first
quarter of 2011. Weaker margins decreased earnings by $520 million.
Other items, including higher planned maintenance and the absence of
favorable tax items, decreased earnings by $300 million. First quarter
prime product sales of 6,337 ?kt (thousands of metric tons) were 15 ?kt
higher than last year's first quarter.

Corporate and financing expenses were $639 ?million, consistent with the
prior year.

During the first quarter of 2012, Exxon Mobil Corporation purchased 66
million shares of its common stock for the treasury at a gross cost of
$5.7 billion. These purchases included $5 ?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 $5 ?billion in the second quarter of 2012. 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.

Estimates of key financial and operating data follow.

ExxonMobil will discuss financial and operating results and other
matters on a webcast at 10 a.m. Central time on April 26, 2012.To
listen to the event live or in archive, go to our website at 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 2011 Form 10-K.We
assume no duty to update these statements as of any future date.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.

Frequently used terms

Consistent with previous practice, this press release includes both
earnings excluding special items and earnings per share excluding
special items.Both are non-GAAP financial measures and are
included to help facilitate comparisons of base business performance
across periods.Reconciliation to net income attributable to
ExxonMobil is shown in Attachment II.The release also includes
cash flow from operations and asset sales.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.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 total corporate earnings mean net income attributable
to ExxonMobil (U.S. GAAP) from the income statement.Unless
otherwise indicated, references to earnings, special items, earnings
excluding special items, Upstream, Downstream, Chemical and Corporate
and Financing segment earnings, and earnings per share are ExxonMobil's
share after excluding amounts attributable to noncontrolling interests.

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