Number: RL33373
Title: Oil Industry Profit Review 2005
Authors: Robert Pirog, Resources, Science, and Industry Division 
Abstract: This report analyzes the industry's profit performance in 2005. While recent profits in the oil industry are of interest to investors, analysts, and public policy specialists, among others, a longer term perspective is important in understanding the performance of the industry. For example, as recently as 2002, the financial picture in the oil industry was far different, with declining earnings in key sectors, such as refining. The oil industry historically has been cyclic, with periods of high earnings often followed by sharp declines, driven by movements in the world price of crude oil. For this reason, projections of future industry performance based on current performance are likely to be mistaken.
Pages: 8
Date: January 12, 2007