The U.S.-based international oil giants ExxonMobil and Chevron are hit hard by low oil prices, as the two companies have reported massive losses in the second quarter of the year.
Texas-based ExxonMobil, one of the largest companies in the world by revenue and market capitalization, announced Friday that its estimated estimated earnings in the second quarter of 2015 fell by 52 percent to $4.2 billion, from $8.8 billion same period a year earlier.
For the first half of 2015, the company's earnings fell 49 percent to $9.1 billion, from $17.9 billion in the first half of last year.
Main reason behind the fall in earnings is the slump in oil prices, which declined 55 percent in the last 12 months.
'Our quarterly results reflect the disparate impacts of the current commodity price environment,' Rex W. Tillerson, chairman and chief executive officer of ExxonMobil, explained in an official statement.
Meanwhile, multinational Chevron Corporation reported humongous losses in earnings Friday.
The California-based oil giant's earnings fell by 90 percent to $571 million for second quarter of 2015, compared to $5.7 billion in the second quarter a year ago.
For the first half of the year, the company's earnings fell 70 percent to $3.1 billion, from $10.2 billion in the first half of 2014.
'Second quarter financial results were weak, reflecting a crude price decline of nearly 50 percent from a year ago,' said John Watson, chairman and CEO of Chevron in an official statement.
By Ovunc Kutlu
Anadolu Agency
ovunc.kutlu@aa.com.tr