US-based energy giant and LNG player ExxonMobil said Tuesday its earnings dropped 40 percent in the fourth quarter of 2016 as compared to the year before.
ExxonMobil’s earnings came in at $1.68 billion, or $0.41 per share, as compared to $2.78 billion, or $0.67 per share, in last year’s fourth quarter.
The Irving-based company earned $7.8 billion for the full year of 2016 as compared to $16.2 billion in the year before.
The earnings were adjusted for asset impairment costs of about $2 billion mainly related to dry gas operations with undeveloped acreage in the Rocky Mountains region of the U.S., ExxonMobil said.
The company said revenue for the fourth quarter rose to $61.02 billion from $59.81 billion last year. Full-year 2016 revenue dropped to $226.1 billion from $268.9 billion the year before.
“Financial results for the year were negatively impacted by the prolonged downturn in commodity prices and the impairment charge,” Darren W. Woods , chairman and chief executive officer said in the statement.
Production also drops
On an oil-equivalent basis, production was down 3 percent to 127,000 barrels per day in the fourth quarter when compared with the same quarter in 2015.
Natural gas production was 10.4 billion cubic feet per day, down 179 million cubic feet per day from 2015 as higher project volumes were more than offset by field decline and lower entitlements, ExxonMobil said.
For the full-year of 2016, production was at 4.12 million barrels per day, down from 4.25 million barrels per day in the year before.