Refining Booms: Chevron and Exxon post record quarterly profits

Diesel fuel prices have risen sharply across global markets since Ukraine and Iran began bombing refineries in Russia and the Middle East. U.S. refiners increased production to fill the supply gap, leading to a surge in profits for major oil companies.

Chevron and ExxonMobil reported their third-quarter results on Friday. Both companies posted higher earnings than analysts expected, driven primarily by their refining operations. Chevron's net income jumped nearly 200% to $9.9 billion, or $5.06 per share. This compares to $3.5 billion, or $1.82 per share, in the same period last year. ExxonMobil's profits doubled to $15.4 billion, or $3.72 per share, up from $7.5 billion, or $1.76 per share, a year ago.

Adjusted for one-time items, Chevron reported earnings of $5.28 per share. That figure beat Wall Street expectations of $4.89. The company generated $67.8 billion in revenue, exceeding the $61.6 billion projected by analysts polled by LSEG. ExxonMobil posted adjusted earnings of $4.23 per share, surpassing the expected $4.08. Its revenue reached $113.2 billion, well above the $103.1 billion estimate.

Chevron's U.S. refineries processed record amounts of crude oil at just above 1 million barrels per day. The facilities operated at 98% capacity. The company said diesel and jet fuel yields rose more than 10%. Exxon's Gulf Coast refineries ran at 100% utilization. Those facilities produced their second-highest volume of diesel on record.

Chevron's refining division saw profits surge more than 300% to $4.9 billion. That is up from $1.1 billion in the same period in 2025. Its oil and gas production generated $5.7 billion in earnings, a 70% increase from $3.3 billion a year earlier. Exxon's refining division earned about $7.2 billion in the quarter. That slightly outpaced its production business, which made about $7.1 billion.

Chevron's total output declined slightly to 3.9 million barrels per day. That is down from about 4 million barrels per day in the same period last year. The drop occurred in its international segment due to the Middle East conflict. U.S. output remained largely flat. Exxon has produced about 4.5 million barrels per day this year. That is a decline of more than 2% from nearly 4.7 million barrels per day during the first nine months of 2025.

Chevron shares rose about 2% in premarket trading. Exxon shares traded about 1.5% higher.