Exxon Mobil Reports Q2 Earnings with Strong Production Growth
The company’s net income dropped 23% to $7.1 billion, or $1.64 per share, compared to $9.2 billion, or $2.14 per share, during the same quarter last year. Analysts surveyed by LSEG had forecast earnings of $1.54 per share, meaning Exxon exceeded expectations despite the downturn.Revenue for the quarter reached $81.5 billion, narrowly beating analysts’ estimates of $80.77 billion.Record Output from Permian Basin and Guyana
Exxon Mobil’s oil production reached 4.6 million barrels per day (bpd) in the second quarter—the highest output for this period since Exxon and Mobil merged over 25 years ago. A major contributor to this increase was the Permian Basin, where production surged to a record 1.6 million bpd. This boost in output helped offset some of the impact of weaker global oil prices.Segment Performance: Production and Refining
The company’s production business generated $5.4 billion in profit, down 23% from $7.1 billion a year earlier due to lower crude prices. Conversely, the refining segment experienced significant gains, reporting $1.37 billion in global earnings—up 44% from $946 million in the same period last year—driven by stronger refining margins.Shareholder Returns and Cost-Cutting Initiatives
Exxon Mobil returned $9.2 billion to shareholders during the quarter, which included more than $4 billion in dividends and $5 billion in share repurchases. The company reiterated its plan to repurchase $20 billion worth of shares in 2025.On the cost-management front, Exxon has already reduced expenses by $1.4 billion this year, contributing to a total of $13.5 billion in cost savings since 2019. Looking ahead, the company aims to cut an additional $4.5 billion by the end of 2030 as part of its long-term efficiency strategy.
The company’s net income dropped 23% to $7.1 billion, or $1.64 per share, compared to $9.2 billion, or $2.14 per share, during the same quarter last year. Analysts surveyed by LSEG had forecast earnings of $1.54 per share, meaning Exxon exceeded expectations despite the downturn.Revenue for the quarter reached $81.5 billion, narrowly beating analysts’ estimates of $80.77 billion.Record Output from Permian Basin and Guyana
Exxon Mobil’s oil production reached 4.6 million barrels per day (bpd) in the second quarter—the highest output for this period since Exxon and Mobil merged over 25 years ago. A major contributor to this increase was the Permian Basin, where production surged to a record 1.6 million bpd. This boost in output helped offset some of the impact of weaker global oil prices.Segment Performance: Production and Refining
The company’s production business generated $5.4 billion in profit, down 23% from $7.1 billion a year earlier due to lower crude prices. Conversely, the refining segment experienced significant gains, reporting $1.37 billion in global earnings—up 44% from $946 million in the same period last year—driven by stronger refining margins.Shareholder Returns and Cost-Cutting Initiatives
Exxon Mobil returned $9.2 billion to shareholders during the quarter, which included more than $4 billion in dividends and $5 billion in share repurchases. The company reiterated its plan to repurchase $20 billion worth of shares in 2025.On the cost-management front, Exxon has already reduced expenses by $1.4 billion this year, contributing to a total of $13.5 billion in cost savings since 2019. Looking ahead, the company aims to cut an additional $4.5 billion by the end of 2030 as part of its long-term efficiency strategy.
