Number: RL34437
Title: Oil Industry Profit Review 2007
Authors: Robert Pirog, Resources, Science, and Industry Division 
Abstract: This report analyzes the industry's profit performance in 2007. While recent profit levels in the oil industry are of interest to policy makers, investors, and analysts, among others, the financial results of 2007 should be put in a longer term perspective to understand 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 unlikely to be reliable.
Pages: 8
Date: April 4, 2008