Home / Business / Oil price drop pushes Total SA profit down 26 percent
In this Feb.5, 2013 file photo, the logo of the French oil giant Total SA is seen at the entrance of the company headquarters in the La Defense business district, west of Paris. The French company said Thursday Feb.11, 2016 that profit adjusted for changes in the value of inventories and one-time items dropped to $2.1 billion from $2.8 billion in the same period a year earlier.(AP Photo/Jacques Brinon, File)
In this Feb.5, 2013 file photo, the logo of the French oil giant Total SA is seen at the entrance of the company headquarters in the La Defense business district, west of Paris. The French company said Thursday July 28, 2016 its net income fell 30 percent in the second quarter to $2.09 billion due to the impact of lower oil prices.(AP Photo/Jacques Brinon, File)

Oil price drop pushes Total SA profit down 26 percent

PARIS (AP) — Total SA says its fourth quarter earnings skidded 26 percent as the collapse in oil prices hit another global energy giant.

The French company said Thursday that profit adjusted for changes in the value of inventories and one-time items dropped to $2.1 billion from $2.8 billion in the same period a year earlier.

Oil prices have been falling for over a year. Brent crude, the benchmark for international oil, hit a 12-year low of $27.10 a barrel in January.

Total has been cutting costs and investment in response. In 2016, Total will cut capital investment by $4 billion to about $19 billion, and will cuts costs by $2.4 billion after $1.5 billion savings in 2015.

Total’s production rose 9 percent to 2.35 million barrels of oil a day last year.

In related news, Global oil production cash negative at current prices.

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