ExxonMobil and Chevron Report Record Profits Amid US-Iran War

Major oil companies reported massive profit surges in the second quarter of 2026, driven by a six-month military conflict between the United States and Iran. The fighting effectively shuttered the Strait of Hormuz, blocking one-fifth of the world's oil and gas shipments and driving Brent crude prices from $70 to a peak of $126 per barrel. These disruptions caused global fuel shortages, resulting in rationing in Australia and government office closures in Nepal and Sri Lanka.

ExxonMobil Inc. reported second-quarter adjusted earnings of approximately $14.5 billion to $14.7 billion, more than doubling its profit from the previous year. Chevron Corporation reported adjusted earnings of $12.1 billion, its highest quarterly profit in at least six years. Both companies benefited from record refining margins for diesel, jet fuel, and gasoline as global refining capacity decreased. Other firms, including Shell, also reported significant profit increases.

The corporate windfalls sparked political backlash in the U.S. President Donald Trump accused the industry of price gouging and directed the Department of Justice to investigate retail gasoline prices. Meanwhile, Senator Sheldon Whitehouse and Representative Ro Khanna introduced legislation to impose a windfall profits tax on major producers to redistribute funds to consumers, who faced gas prices exceeding $4 per gallon. Darren Woods, CEO of ExxonMobil, condemned the proposed taxes as short-sighted and noted that similar measures in Europe previously led the company to cancel investments.