umu.sePublications
Change search
CiteExportLink to record
Permanent link

Direct link
Cite
Citation style
  • apa
  • ieee
  • modern-language-association-8th-edition
  • vancouver
  • Other style
More styles
Language
  • de-DE
  • en-GB
  • en-US
  • fi-FI
  • nn-NO
  • nn-NB
  • sv-SE
  • Other locale
More languages
Output format
  • html
  • text
  • asciidoc
  • rtf
Oil & Gas producers’ financial performance: International Oil Companies’ financial performance and Crude oil prices in the Eurozone from 2004 to 2013
Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Business Administration. Burgundy School of Business .
Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Business Administration. Burgundy School of Business .
2014 (English)Independent thesis Advanced level (degree of Master (One Year)), 10 credits / 15 HE creditsStudent thesis
Abstract [en]

This paper determines the relationship between the crude oil price and the financial performance of International Oil Companies (IOCs) of the Eurozone during the last decade (from 2004 to 2013). This study is conducted around a multiple regression model with panel data with the financial performance ratios (ROA, ROE, Profit Margin) as dependent variables and the crude oil price as independent variables. A knowledge gap is visible since the crude oil price was never used as an independent variable in relation to the financial performance ratios of IOCs. In addition, the IOCs in the Eurozone have not been studied since most studies focuses on the United States and Asia. Moreover these studies focus on stock returns rather than financial performance. The research follows a quantitative approach by assessing the relationship of the crude oil price with financial performance of IOCS during the 10-year period (from 2004 to 2013) for 11 companies from 10 countries. The purpose of the study is to determine the effect of the crude oil prices on the financial performance of oil producer companies on a 10-year period using a multiple regression model with panel data. The research question therefore is:What is the relationship between the crude oil price and the International Oil Companies’ financial performance in the Eurozone during the last ten years (2004-2013)?The empirical results show that the crude oil price has a negative relationship with the financial ratios and that the crisis had an impact during that time period on the financial performance of the IOCs. It is also noted that the debt level and the size of IOCs have a strong relationship with their financial performance. The findings on the relationship between the crude oil price and the financial performance of IOCs are opposed to the results of Dayanandan & Donker study (2011). The findings of this research paper are relevant for investors and researchers looking to assess the performance of the Oil & Gas Industry so as its determinants.

Place, publisher, year, edition, pages
2014. , 62 p.
Keyword [en]
Eurozone, Oil & Gas industry, firm performance, International Oil Companies, Crude Oil.
National Category
Business Administration
Identifiers
URN: urn:nbn:se:umu:diva-98691OAI: oai:DiVA.org:umu-98691DiVA: diva2:783646
Educational program
Master's Programme in Finance
Supervisors
Examiners
Available from: 2015-02-03 Created: 2015-01-26 Last updated: 2015-02-03Bibliographically approved

Open Access in DiVA

fulltext(1806 kB)1187 downloads
File information
File name FULLTEXT01.pdfFile size 1806 kBChecksum SHA-512
6f55d2c2a0e49515c3dfa85c0ad52b7ef7f26730f95537399f8ef75897aa8b3da69a216d990273821af409abc94cb19c625ae0740e510d8f0b6cffd874ece894
Type fulltextMimetype application/pdf

By organisation
Business Administration
Business Administration

Search outside of DiVA

GoogleGoogle Scholar
Total: 1187 downloads
The number of downloads is the sum of all downloads of full texts. It may include eg previous versions that are now no longer available

urn-nbn

Altmetric score

urn-nbn
Total: 325 hits
CiteExportLink to record
Permanent link

Direct link
Cite
Citation style
  • apa
  • ieee
  • modern-language-association-8th-edition
  • vancouver
  • Other style
More styles
Language
  • de-DE
  • en-GB
  • en-US
  • fi-FI
  • nn-NO
  • nn-NB
  • sv-SE
  • Other locale
More languages
Output format
  • html
  • text
  • asciidoc
  • rtf