Exxon and Mobil Profit on Higher Crude and Gas Prices

Exxon Corp. and Mobil Corp. reported stronger third-quarter profits Friday as the companies benefited from a surge in crude oil and natural gas prices. The companies also acknowledged that results from their refining and marketing operations were weak.

Natural gas prices have moved dramatically higher in the past year as concerns about supply were compounded when Hurricane Andrew damaged oil and gas rigs in the Gulf of Mexico and forecasts predicted a colder winter.

Exxon’s earnings rose just 1.8%, mostly because foreign exploration and production earnings fell as the result of a one-time charge this year and an extraordinary gain in the previous quarter.

The world’s largest oil company earned $1.135 billion, or 90 cents a share, on revenue of $30.64 billion in the third quarter. In the same period last year, the company had a profit of $1.115 billion, or 88 cents a share, on revenues of $27.52 billion.

Earnings from exploration and production rose 1.3% as a $130-million increase in domestic results was nearly offset by the drop in foreign earnings. The foreign exploration and production earnings fell because of a special charge in 1992 and a one-time gain that inflated the 1991 figure.

Because of a $181-million gain from the sale of some foreign assets this year, refining and marketing earnings rose 19.5% to $490 million. If not for the special credit, the profit would have dropped almost 25%.