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Exxon and Chevron Profits Surge as Iran War Pushes Oil Prices Higher

U.S. crude averaged $92.45 per barrel in the second quarter, a 27% increase over the first three months of 2026.

Chevron Barrow Island Visit October 2021
Chevron Barrow Island Visit October 2021      Chevron Corporation    U.S. Consulate General Perth / Wikimedia Commons (Public domain)
By Free News Press Editorial Team
Published July 31, 2026 at 2:01 PM PDT

Chevron's net income soared to $12 billion in the second quarter of 2026, a nearly 400% increase compared to $2.5 billion in the same period last year. Exxon posted profits of $14.5 billion, more than doubling from about $7.1 billion in the second quarter of 2025. Both companies pointed to rising oil prices driven by the ongoing Iran war as the primary driver of their results, according to a report by CNBC.

Chevron's adjusted earnings came in at $6.06 per share, 50 cents higher than Wall Street's estimates. Exxon's adjusted earnings of $3.52 per share missed analyst estimates by 8 cents.

Chevron CEO Mike Wirth told CNBC's Becky Quick that the company was performing at a high level. "We're kind of firing on all cylinders, which is good, because the world needs it," Wirth said. He also described a worsening situation in the Middle East, noting that the threat to oil supplies has expanded beyond the Strait of Hormuz. Iran's Houthi allies in Yemen have expanded the conflict to the Red Sea, which has become a crucial alternative route for Saudi Arabia's oil exports. "The situation is under stress and I'm afraid it's going to continue to do so," Wirth said. "We're running out of time. Every day that goes by, the situation gets more difficult."

Exxon CEO Darren Woods explained why his company's earnings missed expectations. The miss came from refining, where the disruption in global crude and products markets made forecasting difficult. "We have so much disruption," Woods told CNBC's Squawk Box. "It was particularly difficult, particularly for our refining business. The ability to predict what prices we're going to do on that business was difficult. That's where the miss came from."

Despite the earnings miss, Exxon's revenue came in at $116 billion, well above the $97.8 billion analysts had expected. Chevron's revenue reached $70 billion against an expectation of $62 billion.

U.S. crude oil futures averaged $92.45 per barrel from April through June, a 27% increase over the first quarter. Chevron's U.S. production hit an all-time high of about 2 million barrels per day as exports surged due to the Middle East supply disruption. Worldwide production stood at 4 million barrels per day, a 20% increase over 3.4 million barrels per day in the same quarter last year.

Exxon's upstream production hit its highest level in more than 20 years, excluding disruptions in the Middle East. Output in the Permian Basin in Texas and New Mexico hit a record. Worldwide production came in at 4.5 million barrels per day.

Chevron's refining segment saw profits jump to $4.9 billion, a 500% increase over $737 million in the second quarter of 2025, as gasoline and diesel prices soared due to the Middle East disruption. Exxon's refining business posted earnings of $5.5 billion in the second quarter, a big turnaround from a loss of $1.3 billion in the same period a year earlier.

Chevron shares were slightly higher in premarket trading on Friday, while Exxon shares were down about 1%.

A broken Chevron sign rests in the grasslands of Vado, New Mexico.
A broken Chevron sign rests in the grasslands of …      Chevron Corporation    TimSweeneyACES / Wikimedia Commons (CC BY-SA 4.0)