Exxon says it will double earnings through 2027

Exxon Mobil Corp (NYSE: XOM) says it will more than double what it earned in 2019 through 2027. Its shares are still down over 1.0% at writing.

Exxon will continue to aggressively cut costs

The oil and gas behemoth is convinced that its cost-cutting initiatives and commitment to increasing production will results in a $14 billion boost to earnings and cash flow over the next four years.

Exxon will deliver another $6.0 billion worth of savings through 2027.  

The energy giant expects to spend up to $25 billion in 2024 and between $22 billion and $27 billion over the subsequent three years. These expenditures, it added, will generate 30% return on average. According to Darren Woods – the Chief Executive of Exxon Mobil Corp:

ExxonMobil is uniquely equipped to do both [conventional and clean energy] and we’re confident that both present significant opportunities for profitable growth.”

Exxon to boost its share buyback programme

Earlier this year, Exxon said it will buy Pioneer Natural resources for about $60 billion.

Once that transaction is complete which is expected in the first six months of the coming year – the multinational will boost its stock buyback programme to $20 billion, as per its press release on Wednesday.

Lastly, Exxon pledged $20 billion today to lower carbon emission projects through 2027 versus $17 billion it was previously slated to invest in them. The New York-listed firm is committed to cutting its upstream emissions in half by the end of this decade.

Exxon stock currently pays a dividend yield of 3.86%.