Exxon, Chevron, Shell Report Record Profits on High Energy Prices

Exxon Mobil Corp., Chevron Corp. and Shell PLC, the three largest Western oil companies, banked a record $46 billion in collective profits in the second quarter, fueled by the highest energy prices in over a decade and lucrative oil-refining margins.

Exxon, the largest U.S. oil company, said Friday its second-quarter profit rose to $17.9 billion, its highest ever and nearly four times as much as the same period a year ago, citing rising oil and fuel production, higher energy prices and cost cuts. Rival Chevron also posted a record profit Friday of $11.6 billion, up from $3.1 billion in the same period last year.

The historic profits come as companies reap the benefits of record fuel-making margins following the shutdown of 3 million barrels a day of global refining capacity since the onset of the pandemic in 2020. Exxon Chief Executive Darren Woods said while refining margins have moderated recently, it’s a situation that could take years to fix until additional capacity comes online.

“Demand recovers, and we don’t have the capacity to meet that, which has led to record, record refining margins,” Mr. Woods said. “This will be a few-year price environment.”