Chevron Corp. refining margins decline; 4Q profits fall 3 per cent

NEW YORK, N.Y. - Chevron says its net income slipped 3.2 per cent in the fourth quarter as its refineries struggled to pass on the higher cost of crude oil.

The San Ramon, Calif. oil giant on Friday reported net income of $5.12 billion, or $2.58 per share, in the final three months of 2011. That compares with $5.3 billion, or $2.64 per share, in the same part of 2010. Revenue increased 11.9 per cent to $60 billion.

The results fell short of Wall Street profit forecasts of $2.86 per share, according to FactSet.

For the full year, Chevron Corp. earned $26.9 billion, or $13.44 per share, compared with $19 billion, or $9.48 per share in 2010. Annual revenue increased 23.3 per cent to $253.7 billion.