Exxon's second-quarter results led the sector. ExxonMobil (XOM -1.96%) is in a class of its own. The oil company recently reported its second-quarter financial results, which led the sector across most key categories. Even better days lie ahead for the oil giant The company is in an excellent position to continue delivering leading results going forward, making it a compelling oil stock to buy and hold for the long term. Drilling down into Exxon's second-quarter financial results ExxonMobil earned $7.1 bill ...

Permian Basin, New Mexico 2Q 2025 Earnings Call ExxonMobil August 1, 2025 1 Cautionary statement FORWARD-LOOKING STATEMENTS. Statements of future events, conditions, expectations, plans, future earnings power, potential addressable markets, ambitions, or results in this presentation or the subsequent discussion period are forward-looking statements. Similarly, discussions of future carbon capture, transportation, and storage, as well as lower-emission fuels, hydrogen, ammonia, lithium, direct air capture, P ...

Core Insights - ExxonMobil is the largest international oil company with a market cap of approximately $450 billion, leading in earnings, cash flow, and returns [1][2] - The company's ability to maintain its leadership is crucial for future shareholder value growth [2] Performance Metrics - In Q1, ExxonMobil produced $7.7 billion in earnings and $13 billion in cash flow from operations, outperforming all peers [4] - The company has achieved cumulative structural cost savings of $12.7 billion since 2019, with a target of $18 billion by 2030, surpassing its competitors [6] Financial Health - ExxonMobil has a net debt-to-capital ratio of 7%, significantly lower than the S&P 500 average of around 20% [7] - The company returned $9.1 billion to investors in Q1, including $4.8 billion in share repurchases, and has increased its dividend for 42 consecutive years [8] Future Growth Plans - By 2030, ExxonMobil aims for an additional $20 billion in annual earnings and $30 billion in cash flow, with a projected compound annual growth rate of 10% for earnings and 8% for cash flow [9][10] - The company plans to invest about $140 billion in capital projects, including $30 billion in lower carbon investments, expecting over 30% returns on these investments [11] Cash Generation and Shareholder Returns - ExxonMobil anticipates generating $165 billion in surplus cash from its investments, allowing for continued dividend growth and share repurchase programs of $20 billion each in the next two years [12] - The company's strategy aims to lower its breakeven level, enhancing its resilience against lower oil prices [13] Investment Potential - ExxonMobil is positioned as a strong investment opportunity with a projected 10% compound annual earnings growth and a nearly 4% dividend yield, making it attractive for lower-risk investments in the oil sector [14]