Norwegian energy group Statoil reported a slightly smaller than expected 48 per cent jump in fourth-quarter core earnings today amid booming oil prices.
Earnings before interest and tax (EBIT) rose to €2.2 billion in October-December from €1.5 billion a year earlier.
The company said the profit improvement primarily reflects high oil and gas prices and substantial financial income and a very competitive return on capital employed of 23.5 per cent for the year.
The company kept its target of raising production by 8 per cent annually through 2007 when it should reach 1.4 million barrels of oil equivalent per day, and its 2007 target for return on average capital employed of 13 per cent.
Oil majors Shell, ExxonMobil and BP have all delivered record earnings for 2004 in recent weeks on the back of high oil prices and strong refining margins. Production of oil and gas in the fourth quarter rose to 1.20 million barrels per day from 1.21 million a year earlier.
Statoil shares closed up 2.7 per cent at 106.50 crowns on Friday after setting a new all-time peak of 107.25.