Exxon Mobil Corporation reported a steeper-than-expected drop in quarterly profit as natural gas and crude oil prices slid from a year ago and the global recession hurt demand for fuel. Exxon, which raked in record profits last year, has seen earnings wither as crude oil prices have fallen by more than half from a year ago. On Thursday, Exxon shares fell 1.6 percent in early trading. Oil refiners have also seen margins under pressure as weakness in industrial demand for fuels like diesel has caused a buildup in stockpiles. Exxon, the world's largest publicly traded oil company, said second-quarter net income was $3.95 billion, or 81 cents per share, down from $11.68 billion, or $2.22 per share, a year earlier. Earnings excluding one-time items were $4.09 billion, or 84 cents per share. Analysts on average had expected $1.02 per share, according to Reuters Estimates. Revenue fell 46 percent to $74.46 billion. “Global economic conditions continue to impact the energy industry both in the volatility of commodity prices and reduced demand for products,” Rex Tillerson, Exxon's chief executive, said in a statement. Second-quarter production fell 3 percent from a year earlier, the Irving, Texas, company said. Analysts had been looking for production to be flat or slightly higher.
