Major US oil and gas companies have reported record profits exceeding $130 billion over the past six months, driven by soaring fuel prices amid the ongoing Iran war. The period from April to September saw profits nearly triple compared to the same timeframe last year, when earnings were below $47 billion. The conflict, which began on February 28, disrupted oil shipments through the Strait of Hormuz, a critical global waterway, leading to significant price hikes.
Gasoline prices have surged to a national average of $4.20 per gallon, up from $2.98 before the war, while diesel prices have jumped by 72% to $6.32 per gallon. Despite some recovery in oil shipments through the Persian Gulf, these cost increases have not yet eased at the pump. ExxonMobil, Chevron, BP, Shell, and TotalEnergies collectively posted $56.3 billion in adjusted third-quarter net income, surpassing Wall Street forecasts. ExxonMobil's refining business alone earned a record $9.05 billion, nearly five times its year-earlier profit.
President Trump has criticized the oil industry for its high profits, urging companies like ExxonMobil and Chevron to reduce fuel prices for consumers. He previously called on them to return some profits to the public but recently praised the industry's financial gains during a rally. Meanwhile, analysts warn that sustained high oil prices could encourage investment in alternative energy sources, potentially reducing long-term demand for oil. Shares of ExxonMobil and Chevron have each surged roughly 52% this year, with both companies reporting stronger-than-expected quarterly earnings.
BP CEO Meg O’Neill highlighted the company's efforts to keep energy flowing despite disruptions, noting that refineries are operating near capacity to offset fuel shortages. The White House emphasized President Trump's commitment to lowering gas prices, attributing future price drops to the end of the Iran conflict. The industry's windfall has sparked debate over its impact on consumers and the broader energy market.