Exxon Mobil profits fall despite record oil production

Published: 2026-05-02 04:01:06 ET XOM

Published on 05/02/2026 at 04:01 am EDT

Key takeaways

The American oil giant, Exxon Mobil, has exceeded analysts’ forecasts for adjusted quarterly earnings. This is largely thanks to increased oil production in Guyana and the Permian Basin. Nevertheless, the company’s total profit has fallen to its lowest level in five years. The decline is directly linked to the ongoing conflict in the Middle East, which has caused major disruptions to Exxon’s operations.

Conflict in the Middle East

The conflict has pushed global oil prices above 100 dollars a barrel, with uneven consequences for energy companies. While some are benefiting from the higher prices, Exxon has faced a drop in production because of its large presence in the Middle East. Around 20 percent of Exxon’s total production comes from this region, leaving the company highly exposed to geopolitical instability. Rival Chevron, by contrast, relies on the Middle East for only 5 percent of its production.

Exxon Mobil’s response

Despite these challenges, Darren Woods, CEO of Exxon Mobil, reaffirmed the company’s commitment to its strategy of high-quality production. Exxon reported losses of 700 million dollars (596.9 million euros) due to undelivered cargoes caused by supply chain disruptions stemming from the conflict. Even so, the company achieved a new production record in Guyana, despite the tensions in the Middle East. (ev)

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