EXXON/Mobile have Record Earnings from Oil Prices

[Kalbi]

Originally posted by: PokerGuy

Originally posted by: Kalbi
Exxon runs on 10% Profit Margin. How is that price gouging?

Shell runs on 7% profit margin....

BP runs on 6% profit margin...

And all you Halliburton haters...their profitability rate is a measly 2.5%!!!

The profit margin in and of itself does not mean anything. You'd have to take a closer look under the hood (in the books) to do a meaningful analysis as to what's going on. That's what the federal probe intends to do.

And when the market turns against them? Then what? The federal government bails them out?

 

[Homerboy]

Exxon runs on 10% Profit Margin. How is that price gouging?

Shell runs on 7% profit margin....

BP runs on 6% profit margin...

And all you Halliburton haters...their profitability rate is a measly 2.5%!!!

You already said that.
You should have added one of your assinine posts about your long pee that you held for 2hrs. Those were great.

 

[PokerGuy]

Originally posted by: Kalbi

Originally posted by: PokerGuy

Originally posted by: Kalbi
Exxon runs on 10% Profit Margin. How is that price gouging?

Shell runs on 7% profit margin....

BP runs on 6% profit margin...

And all you Halliburton haters...their profitability rate is a measly 2.5%!!!

The profit margin in and of itself does not mean anything. You'd have to take a closer look under the hood (in the books) to do a meaningful analysis as to what's going on. That's what the federal probe intends to do.

And when the market turns against them? Then what? The federal government bails them out?

I'm not sure I follow what you're trying to say. When the market turns against what? Why would the government have to bail anyone out?

 

[Kalbi]

Originally posted by: PokerGuy

Originally posted by: Kalbi

Originally posted by: PokerGuy

Originally posted by: Kalbi
Exxon runs on 10% Profit Margin. How is that price gouging?

Shell runs on 7% profit margin....

BP runs on 6% profit margin...

And all you Halliburton haters...their profitability rate is a measly 2.5%!!!

The profit margin in and of itself does not mean anything. You'd have to take a closer look under the hood (in the books) to do a meaningful analysis as to what's going on. That's what the federal probe intends to do.

And when the market turns against them? Then what? The federal government bails them out?

I'm not sure I follow what you're trying to say. When the market turns against what? Why would the government have to bail anyone out?

What if Oil prices plunge and oil companies are taking huge losses and have to lay off ppl mayhem chaos enron airlines bankruptcy etc?

 

[Kalbi]

Originally posted by: Homerboy

Exxon runs on 10% Profit Margin. How is that price gouging?

Shell runs on 7% profit margin....

BP runs on 6% profit margin...

And all you Halliburton haters...their profitability rate is a measly 2.5%!!!

You already said that.
You should have added one of your assinine posts about your long pee that you held for 2hrs. Those were great.

gawd what if we peed out oil? that'd be so tite. just stick your manhood inside your car to fill up.

 

[PokerGuy]

Originally posted by: Kalbi

Originally posted by: PokerGuy

Originally posted by: Kalbi

Originally posted by: PokerGuy

Originally posted by: Kalbi
Exxon runs on 10% Profit Margin. How is that price gouging?

Shell runs on 7% profit margin....

BP runs on 6% profit margin...

And all you Halliburton haters...their profitability rate is a measly 2.5%!!!

The profit margin in and of itself does not mean anything. You'd have to take a closer look under the hood (in the books) to do a meaningful analysis as to what's going on. That's what the federal probe intends to do.

And when the market turns against them? Then what? The federal government bails them out?

I'm not sure I follow what you're trying to say. When the market turns against what? Why would the government have to bail anyone out?

What if Oil prices plunge and oil companies are taking huge losses and have to lay off ppl mayhem chaos enron airlines bankruptcy etc?

If the price of oil plunges, why would Exxon all of a sudden start taking "huge losses"? Oil is simply the raw material input for them, if the price of oil goes down, there is no reason they should not be able to continue making profits exactly the way they are today.

 

[Kalbi]

Originally posted by: PokerGuy

Originally posted by: Kalbi

Originally posted by: PokerGuy

Originally posted by: Kalbi

Originally posted by: PokerGuy

Originally posted by: Kalbi
Exxon runs on 10% Profit Margin. How is that price gouging?

Shell runs on 7% profit margin....

BP runs on 6% profit margin...

And all you Halliburton haters...their profitability rate is a measly 2.5%!!!

The profit margin in and of itself does not mean anything. You'd have to take a closer look under the hood (in the books) to do a meaningful analysis as to what's going on. That's what the federal probe intends to do.

And when the market turns against them? Then what? The federal government bails them out?

I'm not sure I follow what you're trying to say. When the market turns against what? Why would the government have to bail anyone out?

What if Oil prices plunge and oil companies are taking huge losses and have to lay off ppl mayhem chaos enron airlines bankruptcy etc?

If the price of oil plunges, why would Exxon all of a sudden start taking "huge losses"? Oil is simply the raw material input for them, if the price of oil goes down, there is no reason they should not be able to continue making profits exactly the way they are today.

You must be a Financial Analyst or an Economist.

 

[PokerGuy]

Originally posted by: Kalbi
You must be a Financial Analyst or an Economist.

Yes, and yes

 

[AccruedExpenditure]

It doesn't cost more money to pull oil out of the ground. This shouldn't come as a surprize to anyone.

 

[msparish]

PokerGuy, Exxon isn't just a refining company. They're actually drilling for the oil themselves. Oil is not an "input" for Exxon to refine, it is an output that then goes to their refineries.

 

[PokerGuy]

Originally posted by: msparish
PokerGuy, Exxon isn't just a refining company. They're actually drilling for the oil themselves. Oil is not an "input" for Exxon to refine, it is an output that then goes to their refineries.

Agreed, they also explore for oil and find new sources etc. As more and more of the 'easy' sources of oil dry up over the years, it should become more and more expensive to find and drill for the oil.

 

[msparish]

Originally posted by: PokerGuy

Originally posted by: msparish
PokerGuy, Exxon isn't just a refining company. They're actually drilling for the oil themselves. Oil is not an "input" for Exxon to refine, it is an output that then goes to their refineries.

Agreed, they also explore for oil and find new sources etc. As more and more of the 'easy' sources of oil dry up over the years, it should become more and more expensive to find and drill for the oil.

What I'm saying though is that oil prices increasing is not just an "input" cost increase for Exxon. Earlier you stated that as the cost of your materials rise, your profits do not increase. Oil is something Exxon produces, not a material they buy. Therefore, a good chunk of their increased profits come because oil prices have doubled over the past couple years.

 

[PokerGuy]

Originally posted by: msparish

Originally posted by: PokerGuy

Originally posted by: msparish
PokerGuy, Exxon isn't just a refining company. They're actually drilling for the oil themselves. Oil is not an "input" for Exxon to refine, it is an output that then goes to their refineries.

Agreed, they also explore for oil and find new sources etc. As more and more of the 'easy' sources of oil dry up over the years, it should become more and more expensive to find and drill for the oil.

What I'm saying though is that oil prices increasing is not just an "input" cost increase for Exxon. Earlier you stated that as the cost of your materials rise, your profits do not increase. Oil is something Exxon produces, not a material they buy. Therefore, a good chunk of their increased profits come because oil prices have doubled over the past couple years.

That's true and a valid point, but the oil they produce is not generally sold on the open market, they use it to refine and then sell the products. If that's true, then its still an input and just treated as 'cost of goods sold'. I'm not an expert on the oil industry and it's inner workings though, so that might not be a good assumption.

 

[msparish]

Originally posted by: PokerGuy

Originally posted by: msparish

Originally posted by: PokerGuy

Originally posted by: msparish
PokerGuy, Exxon isn't just a refining company. They're actually drilling for the oil themselves. Oil is not an "input" for Exxon to refine, it is an output that then goes to their refineries.

Agreed, they also explore for oil and find new sources etc. As more and more of the 'easy' sources of oil dry up over the years, it should become more and more expensive to find and drill for the oil.

What I'm saying though is that oil prices increasing is not just an "input" cost increase for Exxon. Earlier you stated that as the cost of your materials rise, your profits do not increase. Oil is something Exxon produces, not a material they buy. Therefore, a good chunk of their increased profits come because oil prices have doubled over the past couple years.

That's true and a valid point, but the oil they produce is not generally sold on the open market, they use it to refine and then sell the products. If that's true, then its still an input and just treated as 'cost of goods sold'. I'm not an expert on the oil industry and it's inner workings though, so that might not be a good assumption.

But, why "give" it to yourself for less than market value. At any rate, I was doing some reading, and although a bulk of their profit increase has come from oil, a decent percent has come from the refining process. I'm not trying to defend the oil companies here, and I think a probe into gouging is a good idea. I just won't be surprised if no wrongdoing is found. (On the other hand, it wouldn't really surprise me the other way either)

 

[kranky]

This was a hot topic on the local radio talk show this afternoon. Many people calling in demanding that something be done about the evil oil companies. The show host kept asking what they want done, and not a single person had any answer. Most just said something like "C'mon, there has to be something they can do about this greed!"

The show host said that a free market will mean gas will be available, and price controls will mean shortages (like in the 70's). What's worse? I'd rather have gas available if I need it.

 

[Kalbi]

Originally posted by: kranky
This was a hot topic on the local radio talk show this afternoon. Many people calling in demanding that something be done about the evil oil companies. The show host kept asking what they want done, and not a single person had any answer. Most just said something like "C'mon, there has to be something they can do about this greed!"

The show host said that a free market will mean gas will be available, and price controls will mean shortages (like in the 70's). What's worse? I'd rather have gas available if I need it.

Look the only way we will have $0.25 oil is if we invade all of the oil producing countries and literally just take the oil. Why we don't do this boggles my mind.