Marathon Oil Beats Estimates

Marathon Oil(MRO Quote) beat Wall Street's second-quarter earnings estimates on 2% growth in profit and revenue.

The company announced that its second-quarter earnings, before extraordinary items, rose to $1.55 billion, from $1.52 billion a year ago.

On a per share basis, the company's earnings grew to $2.25, up from $2.08 in the second quarter of 2006 and higher than the $2.12 a share estimated in an analyst survey by Thomson Financial.

Marathon generated $16.26 billion in revenues during the quarter, compared with $15.96 billion during the same period last year.

Growth in its refining, marketing and transportation segment offset losses in its exploration and production and integrated gas businesses. The company made $1.25 billion from refining, marketing and transportation in the second quarter, up from $917 million last year. However, the $400 million earned from its E&P business was 39% less than it earned a year ago, and the $12 million in earnings generated by its integrated gas division last quarter was down from $17 million earned in the second quarter of 2006.

"Marathon's second quarter was marked by exceptional operating performance in our refineries, allowing the company to achieve a record refinery utilization rate of 110% and to realize record crude oil and total refinery throughputs during the quarter," CEO Clarence P. Cazalot Jr. said in a press release.