Exxon Mobil Corp. warned Thursday of steep losses in its refining and oil-and-gas manufacturing companies through the second quarter, signaling that the corporate is more likely to report a second straight quarterly loss later this month.
Exxon XOM 1.04% mentioned in a regulatory submitting that decrease oil and gasoline costs are poised to pull down its manufacturing earnings by an estimated $2.5 billion to $3.1 billion in contrast with the primary quarter, when that unit of the corporate reported $536 million in earnings.
Exxon expects that tighter margins on turning oil into fuels equivalent to gasoline and diesel and better prices related to shifting crude round North America will cut back refining earnings by some $800 million to $1.2 billion from the prior quarter. The corporate posted a $611 million first-quarter loss in its refining enterprise.
Oil-and-gas firms are feeling persevering with stress because the coronavirus pandemic leads tens of millions of individuals to keep away from flying and driving, crimping world-wide demand for fossil fuels.