Exxon Mobil Q2 profit more than doubles to $14.5 billion as higher energy prices boost earnings

Exxon Mobil on Friday reported a 105% year-on-year (YoY) jump in second-quarter net profit to $14.53 billion, while revenue climbed 42% to $116.02 billion. The strong performance came as elevated crude oil prices, driven by the conflict between the US and Iran, boosted earnings for major oil producers.

Higher oil prices enabled companies such as Exxon to realise stronger selling prices, significantly lifting profitability during the quarter.

Benchmark US oil prices surged from around $68 to $115 per barrel during the quarter, driven by global supply-and-demand dynamics and buying interest from traders, refiners, and other market participants.

Operationally, Exxon reported its highest upstream production in more than two decades, excluding disruptions in the Middle East, according to the company's earnings report.

The company also said it achieved record production in the Permian Basin and record second-quarter diesel output. In Guyana, its fifth floating production, storage, and offloading (FPSO) vessel set sail as scheduled, with production expected to commence in the fourth quarter of 2026, adding 250,000 barrels of production capacity per day.

Commenting on the results, Darren Woods, chairman and chief executive officer of Exxon Mobil, said, "The second quarter was shaped by disruption but defined by execution. Markets were supportive, but our performance reflected the strength of the portfolio and operating model we have built over many years."

He added that the company leveraged its integrated global portfolio to optimise operations amid changing market conditions.

“As conditions changed, we moved products where they were needed, optimised assets, and supported customers. We delivered strong earnings and cash flow, continued investing in advantaged opportunities, returned cash to shareholders, and strengthened the balance sheet. Importantly, we remain committed to further growing advantaged production to help meet the world's need for reliable energy,” Woods said.

The board also declared a dividend of $1.03 per share, payable on 10 September 2026, to shareholders on record as of 17 August 2026.

Looking ahead, Exxon said it has invested $13 billion in capital expenditure so far in 2026, primarily towards expanding advantaged assets and high-value product offerings. The company also said it reached a final investment decision on the 120 KTA Proxxima™ blending expansion project in Louisiana, as it continues to strengthen its long-term growth pipeline.

July rally helps stock recover most recent losses

The company's shares have staged a strong comeback in July, rebounding nearly 15% so far and recouping most of their recent losses.

The stock had ended each of the previous three months in the red, declining a cumulative 19%. However, the correction followed a prolonged bull run between June 2025 and March 2026.

During that period, the stock rallied from $102 to $169, delivering a robust 67% return. It also touched an all-time high of $176. Although the stock is currently trading below its record peak, it remains up about 30% so far in 2026, building on an 11% gain recorded in 2025.

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