Marathon Oil posted a $2.2 billion net loss for 2015 on Wednesday but still managed to beat analysts revenue expectations.
The Houston-based company reported net income of $3.04 billion in 2014.
Marathon booked a fourth quarter 2015 net loss of $793 million compared to net income of $926 million in the same quarter of 2014.
Fourth quarter adjusted income from continuing operations fell to a loss of $323 million, or a loss of $0.48 per diluted share, compared to a loss of $89 million in the fourth quarter of 2014 .
Full year adjusted income from continuing operations tumbled to a loss of $869 million from an income of $1.16 billion in 2014.
Fourth quarter adjusted net income swung to a loss of $323 million compared to a loss of $2 million in the previous year quarter.
Full year adjusted net income for 2015 fell to a loss of $869 million, down from an income of $1.72 billion in 2014.
Fourth quarter revenue came in at $1.47 billion, down from $2.49 billion in the fourth quarter of 2014, with full year 2015 revenues of $5.86 billion compared to $11.25 billion in full year 2014 revenues.
According to Marketwatch, the results mark the first time in 20 years that Marathon has posted an annual loss.
Despite the losses, Marathon still managed to beat analysts expectations that had forecast a loss of $0.48 per share on $1.22 billion in revenue, Marketwatch added.
During 2015, Marathon added proved reserves of 247 million barrels of oil equivalent through drilling activity, downspacing and improved well performance, with nearly all of those additions coming from its North America E&P operations.
Marathon’s net production averaged 432,000 net boe per day in the fourth quarter of 2015, essentially flat from third quarter levels.
Marathon confirmed that it has completed a 20 percent workforce reduction that will generate $160 million in annual net savings.
The company has set its 2016 capital program budget at $1.4 billion, a 50 percent year-over-year reduction.
The bulk of the capital program spend, about $1.15 billion, will be allocated to the activities in North America with the majority focused on the Bakken shale play, the Oklahoma Resource Basins and the Eagle Ford Basin.
“We navigated a very challenging macro environment in 2015 by staying focused on the elements of the business within our control — disciplined capital allocation, reducing costs, capturing efficiencies and portfolio management,” Marathon Oil CEO and president Lee Tillman said.