Saturday, July 29, 2006

Chevron profited $4.35 Billion in quarter.

I hardly ever follow financial news, so these numbers shock me. Chevron profited $4.35 billion in second quarter earnings, as reported on USAToday.com, which it turns out was actually a let down on Wall Street.

"Chevron (CVX) said Friday its second-quarter earnings soared to a new high, but that wasn't enough to satisfy investors whose expectations have been raised by the oil industry's recent run of eye-popping profit. The company's shares tumbled 3.5%. "

"The company said it earned $4.35 billion, or $1.97 a share, for the three months ended in June. That compared with net income of $3.68 billion, or $1.76 a share, at the same time last year. "

"It marks the company's largest three-month profit in its 127-year history, eclipsing earnings of $4.14 billion registered in last year's final quarter after energy prices spiked in the aftermath of hurricanes Katrina and Rita. "

I guess I just don't see it. That seems like an absurd amount of money to stick in the coffers at the expense of consumers. Good for the investors maybe, but I still just don't see it. We are talking BILLIONS not MILLIONS. The goal is to make money, but my goodness, this seems like an unreasonable amount to make in three months. I still think consumers are being raped at the gas pump, and I have hard time seeing it any other way.

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