Mobil Profit Increases 9%; Unocal, Chevron Earnings Fall

Mobil Corp. reported higher second-quarter profit Wednesday, while net income for Unocal and Chevron Corp. fell as lower oil and natural gas prices affected all energy companies.

Mobil, based in Fairfax, Va., said its net income for the three months ended June 30 increased 9% to $850 million, or $1.06 a share, from $783 million, or 98 cents a share, a year earlier.

Operating earnings, excluding one-time charges, rose 7% to $870 million, or $1.09 a share, from $814 million, or $1.02 a share.

El Segundo-based Unocal said its net income tumbled 50% to $118 million, or 48 cents a share, after a charge, compared with $238 million, or 92 cents, in the year-earlier quarter. The company was expected to earn 47 cents a share.

Unocal said income from continuing operations fell 13%, to 63 cents a share from 72 cents.

San Francisco-based Chevron said its net income declined to $823 million, or $1.26 a share, from $872 million, or $1.34 a share. The results exceeded analysts’ average estimate of $1.08 a share.

Excluding one-time items, Chevron said earnings jumped 20% to a record $837 million from $700 million a year ago.

At a Glance:

Eli Lilly Co. reported a second-quarter loss of $1.73 billion and said costs related to its acquisition of PCS Health Systems were to blame. The Indianapolis-based drug giant posted a loss of $1.73 billion, or $3.14 a share, for the quarter ended June 30, compared with a profit of $345.7 million, or 63 cents, a year ago. Lilly had previously announced that it would take a $2.4-billion write-off on PCS.

Anheuser-Busch Cos. said second-quarter earnings rose 7.9% to $381.2 million, or 76 cents a share, from $353.4 million, or 71 cents, before a gain in the year-earlier period.

Sunbeam Corp.’s second-quarter earnings soared more than eightfold as expected after Chairman Al Dunlap narrowed the company’s focus to household appliances and a few other products. Profit from continuing operations rose to $26.2 million, or 30 cents a share, from $2.8 million, or 3 cents, in the year-ago period.

Minnesota Mining & Manufacturing Co. said second-quarter earnings rose 9.7% to $418 million, or $1.01 a share, from $381 million, or 91 cents, a year ago.

DuPont Co.’s second-quarter profit rose 14% to a record, driven by strong demand for its synthetic fibers and higher oil-refining profit at its Conoco energy unit. Profit rose to $1.14 billion, or $1.01 a share, up from $1.04 billion, or 92 cents, before a charge, in the year-ago quarter.

Glendale Federal Bank said fiscal fourth-quarter earnings rose to $24.3 million, or 37 cents a share, from $18.5 million, or 22 cents, a year earlier.

HFS Inc.’s second-quarter earnings rose 54% to $120.6 million, or 69 cents a fully diluted share, from $78.2 million, or 44 cents, in the year-earlier quarter.

Norfolk Southern Corp.’s second-quarter profit dropped 5% because of expenses related to its purchase of part of Conrail. It earned $190.1 million, or $1.52 a share, compared with $199.5 million, or $1.57, a year ago. Without the Conrail expenses, Norfolk Southern would have earned $200.8 million, or $1.61 a share, for the quarter.

Fortune Brands Inc. said its second-quarter earnings rose 15% to $76.5 million, or 45 cents a share, from $66.3 million, or 38 cents, in the year-earlier period.

USX Corp. said second-quarter net income rose 39% as profit from its steel unit more than tripled, offsetting a loss from its Delhi natural gas unit and lower earnings from its Marathon oil business. The company said consolidated net income rose to $214 million from $154 million.

Duke Energy Corp.’s second-quarter profit slipped 6% before a charge to $222.6 million, or 58 cents a share, from $237.1 million, or 62 cents, in the year-earlier period.

Halliburton Co. said second-quarter profit rose 42% to $101.9 million, or 40 cents a share, from $71.8 million, or 29 cents, a year ago.

Allegheny Teledyne Inc.’s second-quarter earnings rose 17% before one-time items to $74.8 million, or 43 cents a share, from $64 million, or 36 cents, in the year-ago quarter.

United Technologies Corp. said cost-cutting at its Pratt & Whitney aircraft engine unit helped it reap strong second-quarter earnings to $304 million, or $1.17 a share, compared with $259 million, or 98 cents, for year-ago quarter.

AlliedSignal Inc.’s second-quarter earnings rose 12% to $305 million, or $1.08 a share, up from $272 million, or 96 cents, a year ago.

Quaker State Corp. said its second-quarter profit rose 23% to $8.8 million, or 25 cents per share, from $7.2 million, or 22 cents, for the same 1996 period.

Fruit of the Loom Inc.’s second-quarter earnings plunged 51% to $23.2 million, or 31 cents a share, from $47.8 million, or 63 cents, a year earlier.

Liz Claiborne said second-quarter earnings rose 28% to $28.9 million, or 41 cents a share, from $22.7 million, or 31 cents, a year earlier.

Marsh & McLennan Cos. said second-quarter earnings rose 26% to $145.0 million, or 87 cents a share, from $115.2 million, or 79 cents, a year earlier.

Providian Financial Corp. reported second-quarter net income of $45.7 million, or 48 cents per share, compared with $37.1 million, or 40 cents, in the year-ago quarter.

Chiron Corp. reported second-quarter net income of $15.7 million, or 6 cents per share, compared with $15.3 million, or 6 cents, a year ago.

Read-Rite Corp. returned to profitability in its fiscal third quarter, earning $31.2 million, or 64 cents a share, compared with a loss of $12.9 million, or 28 cents, in the year-earlier quarter.

Vans Inc. reported fiscal fourth-quarter net income of $2.7 million, or 20 cents per share, compared with $1.5 million, or 14 cents, a year ago.

Guess Inc. reported second-quarter net earnings of $8.5 million, or 20 cents per share, compared with $7.5 million, or 18 cents, a year ago.