Oil Companies Report Record Profits, Biden Urges Them to Lower Prices

A number of oil companies released earnings reports this past week, revealing large profits in the wake of high gasoline prices. ExxonMobil, the largest oil company in America, recorded a record profit for the second straight quarter with $19.7 billion net income and $112.07 billion quarterly revenue. The earnings reports have drawn scorn from President Biden, who criticized oil companies for spending billions of dollars of profits on stock buybacks instead of lowering prices at the pump.

Key Quotes: A post from the President’s Twitter account read, “giving profits to shareholders is not the same as bringing prices down for American families.” Earlier this month, the President called for oil companies to use profits to lower prices, with CNBC (Center Bias) quoting him saying, “invest in America for the American people. Bring down the price you charge at the pump, to reflect what you pay for the product. You’ll still make a significant profit, your shareholders will do very well, and the American people will catch a break they deserve and get a fair price at the pump as well.”

For Context: Russia’s invasion of Ukraine caused turbulence in the global energy market. With many Western nations no longer importing Russian oil, a supply decrease allows remaining market players to raise prices.

How the Media Covered it: CNN Business noted the companies did not themselves reference that profits were record-breaking, attributing the decision to “consumer outrage over high gas prices.”