Exxon Mobil's Profits Hit Record $36 Billion

Published Jan 31, 2006 12:01 AM by The Maritime Executive

Exxon Mobil's profits are the largest by any U.S. company, according to Standard & Poors, which has investors and analysts thrilled, but consumer advocates outraged.

Exxon Mobil posted a profit of $36 billion on sales of $371 billion for 2005, making it the best year ever for the company.

The Foundation for Taxpayer and Consumer Rights (FTCR) issued a statement claiming Exxon Mobil profited unfairly from hurricanes Katrina and Rita. "No oil company should be allowed to reap world record profits from one of the nation's worst natural disasters," FTRC President Jamie Court said.

Exxon Mobil took out full-page advertisements in several national newspapers in an effort to defend its profits. The ads essentially say that energy companies' profits are not out of line with other industries.

Oil and natural gas companies, on an average, earn 8.2 cents for every dollar of sales. Other industries, such as software, semiconductors, banking, and biotechnology companies, make more money on every dollar sold.

Exxon Mobil's 2005 profits are up 42 percent over 2004. However, AAA says that American drivers are paying about 25 percent more per gallon than they did in 2004.

If Exxon Mobil were a country, it would rank among the world's top 30 economies, ahead of more than 200 nations, including Saudi Arabia, Switzerland and Hong Kong.