ExxonMobil Posts $14.5B Q2 Profit, Raises Quarterly Dividend to $1.03

ExxonMobil (XOM) reported Q2 2026 results before the bell on July 31. Net income came in at $14.5 billion, or $3.48 per share, with adjusted net income of $14.7 billion, or $3.52 per share.^[ExxonMobil] Heading into the print, the Zacks consensus called for EPS of $3.87 on revenue of $95.8 billion.^{[TradingView]} As of the August 3 close (U.S. markets were closed for a holiday, so no live trading), XOM sat at $155.06, down 0.24% (-$0.38) from the prior close of $155.44. The session saw an open of $153.455, a high of $155.91, and a low of $152.65. With markets shut, quotes held at the last close with no pre-market or intraday movement.

Upstream Output Hits Two-Decade High, Permian Sets Record

Upstream production reached its highest level in more than two decades (excluding Middle East disruptions), with Permian Basin output setting an all-time record — consistent with the plan to deliver 9% compound annual growth through 2030.^[ExxonMobil] Chairman and CEO Darren Woods said in the release: "The second quarter was full of disruptions, but defined by execution. Markets provided support, but our results reflect the strength of the portfolio and operating model we've built over many years."^[ExxonMobil] The company also disclosed that the fifth Guyana FPSO has set sail, on track to start up in Q4 2026 and add 250,000 barrels per day of capacity.^[ExxonMobil]

Refining Squeezed by High Oil Prices, Energy Products Adds ~$2B–$2.4B Sequentially

In its 8-K filing ahead of earnings, the company said Q2 upstream earnings were expected to rise $3.5B–$3.9B sequentially on higher liquids prices.^{[TradingView]} Stronger margins in the Energy Products segment were seen adding $2.0B–$2.4B quarter over quarter.^{[TradingView]} However, TradingView, citing Zacks analysis, noted that high oil prices are hurting the refining business as input costs have climbed; and with most earnings coming from upstream, the company is highly exposed to commodity price swings.^{[TradingView]} Per EIA data, average WTI spot prices at Cushing, Oklahoma were $100.32, $102.13, and $84.81 per barrel in April, May, and June of this year, versus $63.54, $62.17, and $68.17 in the same months of 2025.^{[TradingView]} Zacks argued that the constructive oil price backdrop from the Iran war helped the company's E&P business in Q2, similar to BP and Chevron (CVX).^{[TradingView]}

Cash Flow and Shareholder Returns: $23.6B Operating Cash Flow, $5.1B Buybacks

Q2 operating cash flow was $23.6 billion, with free cash flow of $17.2 billion.^[ExxonMobil] Industry-leading shareholder distributions totaled $9.4 billion, comprising $4.3 billion in dividends and $5.1 billion in share repurchases.^[ExxonMobil] The company declared a Q3 dividend of $1.03 per share, payable September 10, 2026, with a record date of August 17, 2026.^[ExxonMobil] Year to date, the company has invested $13 billion in cash capex, including $13 billion in new property, plant, and equipment investments to grow advantaged assets and high-value products.^[ExxonMobil] Cumulative structural cost savings now stand at $16.3 billion.^[ExxonMobil]

Stock Up 37.2% in a Year, Valuation Above Industry Average

TradingView, citing Zacks data, shows XOM shares up 37.2% over the past year, outpacing the industry's 35.6% gain; BP rose 28.4% and Chevron 21% over the same period.^{[TradingView]} That said, Zacks sees the stock as relatively pricey: the trailing 12-month EV/EBITDA stands at 10.23x, versus the industry average of 6.71x; BP and Chevron trade at 3.15x and 9.85x, respectively.^{[TradingView]} Simply Wall St data pegs XOM's market cap at roughly $634.3 billion, with scores of 4/6 for valuation, 1/6 for future growth, 2/6 for past performance, 5/6 for financial health, and 4/6 for dividends.^{[Simply Wall St]} The platform also notes XOM trades 26.7% below its fair value estimate, with earnings expected to grow 9.62% annually — though the 2.63% dividend yield isn't fully covered by free cash flow.^{[Simply Wall St]}

Analyst Views: Seeking Alpha Author Calls It "The Perfect Energy Bet," Zacks Model Sees No Beat

A Seeking Alpha article titled "ExxonMobil: The Perfect Energy Bet To Sleep Well (Earnings Review)" was written by an author who discloses a long position in XOM.^{[Seeking Alpha]} The piece is an update to the author's Q1 earnings preview published in late April.^{[Seeking Alpha]} Another Seeking Alpha article is titled "Exxon Mobil Continues To Lead Over Chevron."^{[Seeking Alpha]} By contrast, Zacks' model did not predict an earnings beat heading into the print, with an Earnings ESP of -2.40% and a Zacks Rank of 3 (Hold).^{[TradingView]} Zacks data also shows XOM has beaten earnings consensus in each of the last four quarters, with an average surprise of 6.04%.^{[TradingView]}

Permian and Guyana: Lightweight Proppant Tech Lifts Well Recovery to 20%

TradingView, citing Zacks' investment thesis, highlights ExxonMobil's massive footprint in the Permian Basin — America's most prolific oil and gas region — and offshore Guyana.^{[TradingView]} In the Permian, the company's lightweight proppant technology can boost per-well recovery rates by up to 20%.^{[TradingView]} Per Dallas Fed data, the shut-in price for existing wells in the Midland sub-basin is $42 per barrel and $34 in the Delaware sub-basin; with WTI above $80, prices sit well above shut-in levels, making continued production rational.^{[TradingView]} The release also notes a final investment decision was made on the 120KTA Proxxima blending expansion in Louisiana.^[ExxonMobil] CEO Woods said: "ExxonMobil was not built for one market, one quarter, or one set of conditions. It was built to lead as markets evolve — converting advantages into stronger performance and superior long-term shareholder returns."^[ExxonMobil]

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