Big Oil investors to look past earnings pain and focus on dividends

  • 📰 ChannelNewsAsia
  • ⏱ Reading Time:
  • 45 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 21%
  • Publisher: 66%

Belgique Nouvelles Nouvelles

Belgique Dernières Nouvelles,Belgique Actualités

Investors already braced for poor first-quarter earnings from major oil and gas companies next week will focus on how executives plan to save cash ...

Investors already braced for poor first-quarter earnings from major oil and gas companies next week will focus on how executives plan to save cash and whether they will cut dividends following the collapse in oil prices.

From Exxon Mobil to Royal Dutch Shell , companies have put projects on hold, slashed production in U.S. shale fields and reduced operations at refineries to deal with the double whammy of a drop in demand and a supply glut. Oilfield services providers Halliburton , Schlumberger and Baker Hughes have also already taken huge earnings hits in the first quarter.Oil company boards have historically refrained from cutting dividends during previous crises, resorting to measures such as borrowing money or offering discounted shares instead of cash.

Some investors, however, have called on them to break the dividend taboo instead, because debt levels are already high. But the results are only likely to be a prelude to a disastrous second quarter, when the full impact on fuel demand from travel restrictions on more than half of the world's population will be felt.

 

Merci pour votre commentaire. Votre commentaire sera publié après examen.
Nous avons résumé cette actualité afin que vous puissiez la lire rapidement. Si l'actualité vous intéresse, vous pouvez lire le texte intégral ici. Lire la suite:

 /  🏆 6. in BE

Belgique Dernières Nouvelles, Belgique Actualités

Similar News:Vous pouvez également lire des articles d'actualité similaires à celui-ci que nous avons collectés auprès d'autres sources d'information.

Bankruptcy looms over US energy industry, from oil fields to pipelinesU.S. shale producers, refiners and pipeline companies are scrambling for cash and face likely restructuring as they struggle under heavy debt ...
La source: ChannelNewsAsia - 🏆 6. / 66 Lire la suite »