Exxon Mobil (XOM) Q1 2014 earnings summary

Executive summary

• Q1 earnings were $9.1B, down $400M, or 4%, YoY; diluted EPS was $2.10, down 1%.

• Stronger Upstream earnings partly offset weaker Downstream and Chemical results and higher corporate and financing expenses. Cash flow from operations and asset sales was $16.2B.

Financial highlights

• Revenue and other income was $106.8B versus $108.4B YoY; net income was $9.1B versus $9.5B.

• Operating cash flow was $15.1B, including $1.1B of asset-sale proceeds in the $16.2B cash flow from operations and asset sales total.

• Capital and exploration expenditures were $8.4B, down 28% YoY, mainly reflecting the absence of the $3.1B Celtic Exploration acquisition.

• Dividends totaled $2.7B, or $0.63 per share, up 11% YoY; the quarterly dividend was raised 9.5% to $0.69 per share.

Outlook and guidance

• FY production outlook remained ~4.0M oil-equivalent barrels/day, flat YoY excluding Abu Dhabi; liquids were expected to rise 2% and gas to fall 2%.

• FY capital spending outlook remained ~$40B; Q1 spending was seasonally lower and expected to ramp through the year, especially in H2.

• Corporate and financing expense guidance remained $500M–$700M per quarter; 2014 production outlook excluded Kashagan volumes.

• Q2 share purchases to reduce shares outstanding were anticipated at $3B.