Texas Core Pretax Earnings surged to $239.0 bil in 2010 for its 107 largest Big Companies, up 43%, or $71.6 bil higher than 2009. These 107 Big Companies I have defined as those registering profits or losses of roughly $200 mil or more in either 2010 or in 2009. The 107 Big Companies also include some large Oil and Gas Partnerships.
My definition of Core Pretax Earnings here excludes large Asset Impairment Charges, large Gains or Losses on Asset Dispositions, large non-recurring Litigation Charges, large Acquired In Process R&D Charges, and other large non-recurring Credits and Charges.
Even though they are foreign-owned Corps, I have included both BP and Royal Dutch Shell in the below list, since they both have huge Houston, TX operations, generate a significant portion of their worldwide profits and worldwide revenues in the US, and also have a significant portion of their worldwide sales made to US customers.
BP registered a Pretax Loss of $4.8 bil in 2010. However, embedded in this loss were $40.9 bil of Charges due to the Gulf of Mexico Oil Spill. Thus, its Core Pretax Income in 2010 was a massive $36.1 bil, up a very healthy 44% over 2010.
Royal Dutch Shell generated Pretax Income of $35.4 bil in 2010, up a substantial 68% over 2009.
But leading the Big Oil pack was Exxon Mobil, whose 2010 Pretax Earnings were $53.0 bil, up a very healthy 52% over 2009.
The fourth Big Oil company that makes up what I call the Texas 4 Big Oil That Rule was ConocoPhillips. It registered Pretax Income in 2010 of $19.8 bil, up a massive 106% over 2009. Its Core Pretax Income was $15.7 bil, up a lower, but still very substantial, 58% over 2009.
There were another 53 (no, that's not a misprint) Big Oil and Gas Corps, whose total Core Pretax Earnings in 2010 of $49.9 bil, were up 33% over 2009.
There were 50 Texas Big Companies outside the Big Oil and Gas Sector, which registered Total Core Pretax Income in 2010 of $49.0 bil, up a more moderate, but still very healthy, 26% over 2009.
The really positive 2010 profit improvers in the Texas Non-Big Oil and Gas Sectors were Technology, Airlines and Financial. The one very troubled Sector in Texas was its Utilities, which registered, for the most part, substantial profit declines in 2010.
Below here are how Texas' 107 largest publicly-held Corps did as was disclosed in either their most recent annual Fiscal Year Ended (FYE) 2010 earnings releases or in their most recent SEC annual report filings. And let me also break these Earnings down a bit by Major Industry Sector.
Texas 107 Largest Publicly-Held Corps Most Recent Annual Pretax Earnings (PTI)
.................................................................................Increase.......
........................................FYE.....PTI(L).....PTI(L)...(Decrease).....
Texas Big Corp................2010.....2010......2009.....Amount.....%..
.......................................................(millions of dollars)..............
Texas Big Oil 4 That Rule
Exxon Mobil.....................Dec…..52,959....34,777....18,182...52%
BP(1)................................Dec…..36,110.....25,124....10,986...44%
Royal Dutch Shell.............Dec…..35,344....21,020....14,324....68%
ConocoPhillips(2).............Dec…..15,727.....9,957......5,770...58%
Total TX Big Oil 4 That Rule.......140,140...90,878...49,262...54%
Texas Other 53 Big Oil & Gas
Apache(3).........................Dec…..5,206......3,144......2,062.....66%
Marathon Oil(4)................Dec…...4,916......3,236......1,680.....52%
Schlumberger(5)...............Dec…..3,886......3,934.........(48)....(1)%
Halliburton.......................Dec…..2,655......1,682.........973.....58%
National Oilwell Varco......Dec…..2,397......2,208.........189......9%
Transocean(6)...................Dec….2,054......4,258....(2,204).(52)%
Anadarko Petroleum(7)....Dec…..1,857.......(650).....2,507..386%
El Paso(8)..........................Dec…..1,527.......1,250.......277.....22%
Spectra Energy..................Dec…..1,506......1,271.........235.....18%
Valero Energy(9)...............Dec…..1,498.......(94).......1,592..1694%
Enterprise Prods Prtnrs.....Dec…..1,410......1,166.........244......21%
Kinder Morg Egy Prtnrs.....Dec…..1,362......1,340..........22........2%
Diamond Offshore.............Dec…..1,336......1,868........(532)..(28)%
Baker Hughes....................Dec…..1,282.........611.........671....110%
Noble Energy(10).............Dec…..1,175.........340.........835....246%
Southwestern Energy(11)..Dec…....995.........856.........139......16%
EOG Resources(12)...........Dec…....927.........643.........284......44%
Noble Corp.......................Dec…....917.......2,016....(1,099)...(55)%
Newfield Exploration(13).Dec…....829.........459.........370......81%
Pioneer Natural Resorcs...Dec…....788.......(247).....1,035.....419%
Cameron Intl....................Dec…....733.........643..........90......14%
Ultra Petroleum(14).........Dec…....723.........241.........482....200%
EXCO Resources...............Dec…....674.......(506)......1,180....233%
Ensco Intl........................Dec…....645.........935........(290)...(31)%
El Paso Ppln Prtnrs...........Dec…....608.........518..........90......17%
FMC Technologies............Dec…....538.........518..........20........4%
Plains All American Ppln..Dec…....513.........586........(73)....(12)%
Enbridge Enrgy Ptnrs(15).Dec…....465.........401..........64......16%
Petrohawk Energy(16)......Dec…....390..........63.........327....519%
Rowan Companies............Dec…....379.........501.......(122)...(24)%
Denbury Resources(17)...Dec…....377.......(122).........499....409%
Energy Transfr Equity LP.Dec…....352.........707.......(355)...(50)%
Southern Union...............Dec…....350.........251...........99......39%
Nabor Industries(18).......Dec…....343.........169.........174....103%
Atmos Energy..................Sep…....335.........291..........44.......15%
Weatherford Intl(19)........Dec…....323.........283..........40......14%
Atwood Oceanics..............Sep…....320.........296..........24........8%
Concho Resources............Dec…....306........(33).........339..1027%
Oceaneering Intl...............Dec…....305.........290..........15........5%
Boardwalk Ppln Prtnrs......Dec…....290.........163.........127.....78%
Quicksilver Resorcs(20)...Dec…....273.........245..........28......11%
Plains Explor&Prod(21)....Dec…....263.........130.........133....102%
Pride Intl..........................Dec…....252.........412........(160)..(39)%
NuStar Energy LP.............Dec…....251.........235...........16.......7%
Oil States Intl(22).............Dec…....241.........201...........40.....20%
Core Labs NV...................Dec…....209.........171...........38.....22%
Buckeye Partners(23).......Dec…....201.........202..........(1).......0%
Cabot Oil & Gas.................Dec…....198.........223.........(25)...(11)%
Holly Corp........................Dec…....192..........44..........148....336%
Patterson UTI Energy.......Dec…....191........(52)..........243....467%
Kirby Corp.......................Dec…....190.........206.........(16)....(8)%
Helix Energy Sol(24)........Dec…......17.........306........(289)..(94)%
Linn Energy.....................Dec…...(110).......(300)........190....63%
Total Other 53 Big
......Oil & Gas Corps…................49,860.....37,509....12,351....33%
Total 57 Big Oil&Gas Corps....190,000....128,387...61,613....48%
Texas Non-Oil&Gas 50 Big Corps
AT&T...............................Dec…18,238......18,518......(280).....(2)%
Texas Instruments...........Dec…..4,551.......2,017.....2,534....126%
Burlington No Santa Fe....Dec…..3,988........2,641.....1,347......51%
Dell................................Jan 11..3,350.......2,024......1,326.....66%
Kimberly Clark................Dec…..2,550.......2,576.........(26).....(1)%
Sysco..............................Jun…..1,850........1,771.........79.......4%
Waste Management.........Dec…..1,631........1,473........158......11%
USAA(25)....................Dec(25)..1,336.......1,421........(85).....(6)%
Dr Pepper Snapple(26).....Dec…....921..........868.........53.........6%
Torchmark.......................Dec…....779.........577........202......35%
Southwest Airlines...........Dec…....745..........164........581.....354%
CenterPoint Energy..........Dec…....705..........548........157......29%
Cooper Industries(27)......Dec…....665..........483........182.......38%
GameStop......................Jan 10.....589..........634........(45)....(7)%
KBR..................................Dec…....586..........532.........54......10%
JC Penney......................Jan 11.....581..........403........178......44%
Fluor................................Dec…....560........1,137......(577)..(51)%
Celanese...........................Dec…....538..........251........287....114%
Flowserve.........................Dec…....530..........585........(55)...(9)%
BMC Software(28).............Mar…....504..........414.........90.....22%
HCC Insurance..................Dec…....490..........519........(29)....(6)%
METROPCS Comm(29).......Dec…....456..........264........192......73%
Whole Foods Market..........Sep…....412..........251........161......64%
Kinetic Concepts................Dec…....356.........334.........22.......7%
General Motor Fincl(30)....Jun…....353.........(48)........401....835%
Continental Airlines...........Dec…....343........(439)......782....178%
Westlake Chemical.............Dec…....343...........79........264....334%
RadioShack........................Dec…....336..........329..........7.......2%
Comerica...........................Dec…....315.........(115)......430....374%
Alliance Data Systems........Dec…....311..........263.........48.....18%
McDermott Intl..................Dec…....304.........270.........34.....13%
Rent A Center.....................Dec…....275.........270..........5........2%
Cullen Frost Bankers...........Dec…....266.........233.........33......14%
Quanta Services..................Dec…....246.........234.........12........5%
Sally Beauty.......................Sep…....228..........165.........63......38%
Service Corp Intl................Dec…....219..........199.........20......10%
Dresser-Rand.....................Dec…....216..........312........(96)...(31)%
Tenet Healthcare(31).........Dec…....215..........108........107.....99%
American Natl Insur..........Dec…....203.........(10).......213..2130%
Intl Bancshares..................Dec…....201..........221........(20)....(9)%
Dean Foods........................Dec…....151..........380......(229)..(60)%
DR Horton..........................Sep…....100........(557).......657...118%
GenOn Energy(32)..............Dec….....(5)..........727....(732).(101)%
Zale....................................Jul…...(125)........(219)........94.....43%
Energy Future Hldngs(33)..Dec…..(137).........688.....(825).(120)%
Calpine(34)........................Dec…...(139).........201.....(340).(169)%
Dynegy(35)........................Dec…...(284)........(384)......100....26%
AMR...................................Dec…...(506).....(1,752)...1,246...71%
Freescale Semi(36).............Dec…...(661)......(1,449)......788....54%
Clear Channel Comms(37)..Dec…...(683)......(1,136)......453....40%
Total 50 Non-Oil&Gas Big Corps..48,996.....38,975...10,021...26%
Total Texas 107 Big Corps........238,996..167,362...71,634...43%
(1) BP 2010 PTI excludes $40.9 bil Gulf of Mexico Oil Spill Charge.
(2) ConocoPhillips PTI in both years exclude both large Gains on Asset Dispositions and large Asset Impairment Charges.
(3) Apache 2009 PTI excluded large Asset Impairment Charge.
(4) Marathon Oil 2010 PTI excludes large Gain of Asset Dispositions, large Asset Impairment Charges and large Loss on Debt Extinguishment. Its 2009 PTI excludes large Gain on Asset Dispositions.
(5) Schlumberger 2010 PTI excludes large Gain on Remeasurement of an Investment.
(6) Transocean PTI in both years exclude large Impairment Charges. Its 2010 PTI also excludes large Gain on Asset Dispositions.
(7) Anadarko Petroleum both years PTI excludes large Asset Impairment Charges. Its 2009 PTI also excludes large Credit Reversal of Accrual in Dispute.
(8) El Paso 2010 PTI excludes large Loss on Debt Extinguishment. Its 2009 PTI excludes huge Asset Impairment Charges.
(9) Valero Energy 2009 PTI excludes large Asset Impairment Charges.
(10) Noble Energy both years PTI exclude large Asset Impairment Charges.
(11) Southwestern Energy 2009 PTI excludes large Asset Impairment Charges.
(12) EOG Resources both years PTI exclude both large Asset Impairment Charges and large Gains on Asset Dispositions.
(13) Newfield Exploration 2009 PTI excludes large Asset Impairment Charges.
(14) Ultra Petroleum 2009 PTI excludes large Asset Impairment Charges.
(15) Enbridge Energy Partners 2010 PTI excludes large Oil Spill Charges.
(16) Petrohawk Energy 2009 PTI excludes large Asset Impairment Charges.
(17) Denbury Resources 2010 PTI excludes large Gain on Asset Sales.
(18) Nabor Industries both years PTI exclude large Asset Impairment Charges.
(19) Weatherford Intl 2010 PTI excludes both Bond Tender Premium Charge and Venezuelan Bolivar Devaluation Charge.
(20) Quicksilver Resources both years PTI exclude Asset Impairment Charges. Its 2010 PTI also excludes large Gain on Asset sale.
(21) Plains Exploration and Production 2010 PTI excludes Asset Impairment Charges. Its 2009 PTI excludes Legal Recovery Gain.
(22) Oil States Intl 2009 PTI excludes Asset Impairment Charge.
(23) Buckeye Partners 2009 PTI excludes Asset Impairment Charge.
(24) Helix Energy Solutions both years PTI exclude Asset Impairment Charges. Its 2009 PTI also excludes Gain on Investment.
(25) USAA is a mutual company. The above numbers are its Net Income for the 6 months ended June 30th.
(26) Dr Pepper Snapple 2010 PTI excludes Loss on Debt Extinguishment.
(27) Cooper Industries 2010 PTI excludes Loss on Sale of Assets.
(28) BMC Software 2009 PTI excludes Acquired In Process R&D Charges.
(29) METROPCS Communications 2010 PTI excludes Loss on Debt Extinguishment.
(30) General Motor Financial 2009 PTI excludes Gain on Debt Extinguishment.
(31) Tenet Healthcare 2010 PTI excludes Loss on Debt Extinguishment. Its 2009 PTI excludes Gain on Debt Extinguishment.
(32) GenOn Energy both years PTI exclude Asset Impairment Charges. Its 2010 PTI also excludes large Gain on Bargain Purchase.
(33) Energy Future Holdings 2010 PTI excludes both a huge Goodwill Impairment Charge and also a large Gain on Debt Extinguishment. Its 2009 PTI excludes a Gain on Debt Extinguishment.
(34) Calpine both years PTI exclude Debt Extinguishment Charges.
(35) Dynegy both years PTI exclude Asset Impairment Charges.
(36) Freescale Semiconductor 2010 PTI excludes large Loss on Debt Extinguishment. Its 2009 PTI excludes both a huge Gain on Debt Extinguishment and a Reorganization Charge.
(37) Clear Channel Communications both years PTI exclude Gains on Debt Extinguishment. Its 2009 PTI also excludes huge Asset Impairment Charges.
With Oil Prices leaping so far in 2011, I think you are going to see a second straight year of explosive earnings growth for Big Oil and Gas Corps, unless the US government fairly and effectively deals with this massive problem.
I hear so many people blame the high US Unemployment Rate, the high US underemployment Rate, the much lower Median Income, the substantially reduced Middle Class, the financially pressured small businesses, and the growing US Deficit all on Wall Street.
Wall Street did play a key role, as did Multinational Corps in their shifting of income and jobs overseas, and as did the US and State Governments in their not being fiscally responsible.
But by far the major cause was US Big Oil, which in the entire 2000 decade, generated year after year of Windfall Profits, and was given massive US Federal Income Tax Breaks for doing just that.
Big Oil has done, and continues to do, devastating structural damage to the US economy. And Big Oil supporters in the US Congress, and particularly in the US House, look the other way while all of this devastation is occurring to the country's economy.
US citizens are getting angry and are sick and tired of the US House, just flat out stuck in a quagmire, continuing to work on what they want to work on, instead of working on solving the critical problems that the US citizens want them to work on.....which is clearly US job creation and making the country energy independent.
These Windfall Profits of Big Oil were generated on the backs of US citizens, on the backs of all US domestic businesses, and also to the detriment of all US government entities....Federal, State and Local.
The country will not be fixed economically until this massive transfer of wealth from everyone else in the US to Big Oil is effectively dealt with by the US government. The key is not just talking about wise energy initiatives, but actually and massively implementing them.
The above research, where I found 107 Texas Big Corps, which had 2010 total earnings growth of 43%, was performed through the end of March 2011. Since then, in April and May 2011, I extended this research, and I found 6 additional Texas Big Corps, which in total had a superb 122% earnings growth in 2010, and are shown here below.
..........................................2010.......2009.........Increase
...........................................Core........Core........(Decrease)
.......State..........................PTI(L)......PTI(L).....Amount.....%
..............................................(millions of dollars)....
Late Big Corp Additions
Texas (6)
Alcon(1)............................2,527.........2,313............214......9%
LyondellBasell NV(2)........1,512........(1,322)........2,834...214%
Energy Trnsfr Prtnrs LP(3)..686............804..........(118)...(15)%
Fossil Inc............................384............220...........164.....75%
Chicago Bridge & Iron(4).....292............295............(3)......(1)%
Kirby..................................190............206...........(16).....(8)%
Total 6 TX Late Additions..5,591........2,516.......3,075....122%
(1) Alcon is a Swiss Company, but with a Texas external CPA firm.
(2) LyondellBasell Industries NV is a Netherlands Corp, but has a Houston, TX external CPA firm.
(3) Energy Transfer Partners LP 2010 PTI excludes asset impairment charge.
(4) Chicago Bridge & Iron NV is a Netherlands Corp, but has a Houston, TX external CPA firm.
