Exxon Mobil Corp posted its third straight quarterly loss on Friday and detailed deeper spending cuts to come, as the oil major reels from the COVID-19 impact on energy demand and prices.
The largest US oil producer plans to cut its capital spending for 2021 to between $16 billion to $19 billion, down from a planned $23 billion this year.
Its net loss was $680 million, or 15 cents per share in the third quarter, compared with a profit of $3.17 billion or 75 cents per share, a year earlier.
The company expects to exceed capital and cash expenses reduction targets for 2020 and forecast further cuts in 2021.
Earlier this week, the U.S. oil producer said it would cut its workforce by about 15% and kept its fourth-quarter dividend flat at 87 cents a share, signaling 2020 will be the first year since 1982 that it has not raised its shareholder payout.
The largest U.S. oil producer by volume was caught off guard by the sharp decline in energy prices and demand this year. U.S. prices are off 39% since the start of the year and globally demand has shrunk because of the COVID-19 pandemic.