Chevron reports 43 per cent jump in Q2 profits
30 Jul 2011
America's second-largest oil company Chevron Corp announced a 43-per cent jump in quarterly profit on Friday, in line with hefty profits reported by other global oil majors.
Chevron reported earnings of $7.73 billion for the second-quarter. Its first-half profits now add up to $13.94 billion, surpassing its previous record of $11.14 billion (in the first-half of 2008), indicating that 2011 could turn out to be its most profitable year.
"We have strong momentum entering the second-half of the year, and we remain well-positioned to deliver long-term growth," George Kirkland, executive vice president, Chevron, told analysts.
A day earlier, Exxon Mobil Corp had announced a 41 per cent increase in second-quarter profits, which had jumped to $10.68 billion. Royal Dutch Shell had also announced a near doubling of profits to $8.66 billion for the three-month period ending June 30.
But analysts fear that rising profits in the oil industry would once again focus attention on tax breaks that the industry enjoys, stoking debate for an end to such concessions. US President Barack Obama and congressional Democrats want to bring an end to the tax breaks to the oil industry.
Patricia Yarrington, Chevron's chief financial officer, however, points out that the company contributes significantly to the US economy, employing about 25,000 people. It also plans to invest $7 billion in the US this year.
