Exxon Mobil: History and Financial Anaylis
Robin Osborne
Robin Osborne
ExxonMobil Corporation
Historical and Finacial Anaylsis
ExxonMobil Corporation
Historical and Finacial Anaylsis
Background
Industry
The Energy Sector is made up of a wide array of companies that in 2010 accounted for 12% of Standard and Poor’s’ Composite 1500 index market value. Half of that value was represented by Integrated Oil and Gas Companies (IOC) (S&P, 2011). An Integrated Oil Company is defined as “a business entity that engages in the exploration, production, refinement and distribution of oil and gas (Investopedia, 2011).
The world market designates IOCs based on their ownership. Private or state held companies are not traded on the open market and are difficult to use for comparison to other publicly traded companies because they do not disclose financial information. Publicly traded companies are grouped together as “Major Integrated Oil and Gas.”
ExxonMobil Corporation
ExxonMobil Corporation has developed over 140 years of creation, diversification, and conjuncture to become “the world’s largest publicly traded international oil and gas company” (ExxonMobil, 2011). The company has roots as a regional marketer of kerosene and has grown to explore, produce, transport, and market oil and gas in over 200 countries and territories worldwide (ExxonMobil Corporation, 2011). This mix of work for an integrated oil company breaks down into three business units: downstream, upstream, and chemical. Growth in market capitalization, rising oil costs, and smart business sense have allowed ExxonMobil to produce record profits through expanded upstream exploration and efficient downstream technologies (2010 Summary Annual Report, 2011). Analysts forecast for 2011, Exxon will generate $10 Billion in profit (Newcomb, 2011).
History
In 1859, the United States drillers hit oil. Colonel Edwin Drake and Uncle Billy Smith drilled the first successful oil well in Titusville, Pennsylvania (ExxonMobil Corporation,
Robin Osborne
ExxonMobil Corporation
Historical and Finacial Anaylsis
ExxonMobil Corporation
Historical and Finacial Anaylsis
Background
Industry
The Energy Sector is made up of a wide array of companies that in 2010 accounted for 12% of Standard and Poor’s’ Composite 1500 index market value. Half of that value was represented by Integrated Oil and Gas Companies (IOC) (S&P, 2011). An Integrated Oil Company is defined as “a business entity that engages in the exploration, production, refinement and distribution of oil and gas (Investopedia, 2011).
The world market designates IOCs based on their ownership. Private or state held companies are not traded on the open market and are difficult to use for comparison to other publicly traded companies because they do not disclose financial information. Publicly traded companies are grouped together as “Major Integrated Oil and Gas.”
ExxonMobil Corporation
ExxonMobil Corporation has developed over 140 years of creation, diversification, and conjuncture to become “the world’s largest publicly traded international oil and gas company” (ExxonMobil, 2011). The company has roots as a regional marketer of kerosene and has grown to explore, produce, transport, and market oil and gas in over 200 countries and territories worldwide (ExxonMobil Corporation, 2011). This mix of work for an integrated oil company breaks down into three business units: downstream, upstream, and chemical. Growth in market capitalization, rising oil costs, and smart business sense have allowed ExxonMobil to produce record profits through expanded upstream exploration and efficient downstream technologies (2010 Summary Annual Report, 2011). Analysts forecast for 2011, Exxon will generate $10 Billion in profit (Newcomb, 2011).
History
In 1859, the United States drillers hit oil. Colonel Edwin Drake and Uncle Billy Smith drilled the first successful oil well in Titusville, Pennsylvania (ExxonMobil Corporation,
Cited: (Continued) Newcomb, A (2011, April 24) Ordonez, I. (2011, November 9). ExxonMobil Exec: US Shale Boom Will Spread Across The Globe. The Wallstreet Journal. Retrieved November 13, 2011, from http://online.wsj.com/article/BT-CO-20111108-711800.html PFC Energy 50 (2010)