Big oil companies continue to post banner profits as fighting in Iran
drives prices higher
[August 05, 2026] NEW
YORK (AP) — Big oil companies continue to book massive profits as
fighting in Iran disrupts energy markets and sends oil and gasoline
prices sharply higher.
Six of Europe’s largest oil companies posted combined first-quarter
profits of $22 billion, more than 40% higher than last year. Profits at
BP, based in London, more than doubled to $3.9 billion in the second
quarter, the company said Tuesday.
And Saudi Aramco reported a 44% year-on-year increase in second-quarter
net profit that reached $32.69 billion, driven by higher crude oil,
refined products and chemicals prices.
The supercharged performances from big oil in Europe and the Middle East
follow reports of enormous profits from the largest U.S. oil drillers
last week.
As the conflict has dragged on, high oil prices have driven up the cost
of gasoline, jet fuel and diesel, which has led to higher shipping
costs. In the West, filling up the car or buying a plane ticket is
costing consumers more. But the situation in parts of Asia are more dire
because the region depends more heavily on fuel exported through the
Strait of Hormuz. Fuel supplies have run low in some countries, leading
to rationing and sporadic closures of schools and government offices.
Despite oil prices falling to their lowest level in three weeks Tuesday,
big U.S. energy companies drew the ire of President Donald Trump, who
criticized them this week for their outsized profits.
Trump said he’s not happy with Chevron and Exxon Mobil, though energy
prices skyrocketed only after the U.S. and Israel attacked Iran in late
February, and the Strait of Hormuz was effectively closed off to tanker
traffic.
About 20% of the world’s oil typically flows through the strait.
“They made too much money, too much money,” Trump said Monday. “They
ought to give some of that back to the public, and they better cut the
retail price.”
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A truck enters the Exxon Mobil Baytown Olefins Plant, Wednesday,
April 29, 2026, in Baytown, Texas. (AP Photo/Ashley Landis, File)
 Exxon Mobil on Friday reported that
its second quarter profits doubled to $14.5 billion, boosted by
record diesel production. The oil giant, based in Spring, Texas,
brought in $116 billion in revenue, up 42%.
Chevron, based in Houston, nearly quadrupled its profits to $12
billion and revenue jumped 56% to more than $70 billion.
On Tuesday, the price of U.S. crude oil fell 5.4%, or $4.36, to
$75.98 per barrel. The sharp decline followed comments by Treasury
Secretary Scott Bessent, who told CNBC that the U.S. and Iran “may
have a deal today or tomorrow to open the Strait.”
Oil prices for U.S. crude are down from around $92 a barrel in late
July, but still more than 13% higher than when the conflict with
Iran started.
Brent crude, the international standard, fell 4.9% to $83.87 per
barrel.
A resolution to the Iran conflict, which has lasted more than five
months, could give oil shippers the ability to send vessels out of
the Persian Gulf, where tankers of oil and other products have been
trapped during the fighting.
Shares of major oil companies are up by around 20% to 30% this year,
easily outpacing the 13% gains on the S&P 500.
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