Major U.S. oil companies posted substantial gains in the latest quarter as disruptions in global oil supply pushed prices higher. ExxonMobil reported net income of $14.5 billion, more than double the amount from the same period last year, marking its highest quarterly profit since the energy crisis triggered by Russia’s invasion of Ukraine in 2022. Chevron also recorded a significant increase, with quarterly earnings reaching $12.1 billion—nearly five times their previous year’s figure.

The surge in profits comes amid the ongoing closure of the Strait of Hormuz, a critical global oil transit route. The blockade has significantly reduced the flow of crude oil and natural gas to international markets, contributing to a sharp rise in fuel prices worldwide. Analysts say this supply constriction intensified the tightening of energy markets, benefiting major producers with extensive upstream operations.

Both ExxonMobil and Chevron, as leading U.S. integrated energy companies, have capitalized on the elevated price environment. Their robust financial results reflect strong demand for oil and gas despite broader economic uncertainties, including inflationary pressures and geopolitical tensions.

Industry observers note that the extended strain on global energy supplies may sustain high levels of profitability for oil producers as long as the closure of the Strait of Hormuz persists. However, they caution that market volatility remains a risk given ongoing geopolitical developments and potential shifts in energy policies.

The performance of ExxonMobil and Chevron underscores the continued influence of external geopolitical factors on the energy sector and highlights the vulnerability of global supply chains to regional disruptions.