Exxon, Chevron Hit by Low Crude Prices

Low crude prices and weak refining margins weighed on third-quarter profits at US oil giants ExxonMobil and Chevron in reports Friday, but earnings rose compared with the prior two quarters.

The results were the latest sign of pain for the industry in the wake of a two-year slump in oil prices, with ExxonMobil notching a 37.5% decline in profits to $2.7 billion and Chevron disclosing a 36.8% fall to $1.3 billion, AFP reported.

At the same time, the third-quarter marked progress over the first half of 2016, especially at Chevron, which had reported losses in the two previous reporting periods.

Revenues at Exxon fell 12.9% to $58.7 billion and 12.2% at Chevron to $30.1 billion. At Chevron, both upstream and downstream businesses showed steep declines. Chevron does not have a separate chemicals business. Petroleum company profits have been under pressure since crude oil prices began retreating in 2014.