Oil majors report second quarter 2025 results amid market volatility
The world's largest oil companies have reported their second quarter 2025 financial results, demonstrating varied operational performance across different market segments and geographical regions as commodity prices remained volatile throughout the period.
ExxonMobil delivered robust first-quarter earnings of $7.7 billion alongside exceptional cash flow from operations of $13.0 billion. The company returned $9.1 billion to shareholders through $4.3 billion in dividends and $4.8 billion in share repurchases, maintaining its commitment to an annual $20 billion share-repurchase programme through 2026.
"In this uncertain market, our shareholders can be confident in knowing that we're built for this," said Darren Woods, Chairman and CEO. "The work we've done to transform our company over the past eight years positions us to excel in any environment." Woods highlighted that since 2019, strategic choices to reduce costs, grow advantaged volumes, and optimise operations have strengthened quarterly earnings power by about $4 billion at current prices and margins.
The company achieved $12.7 billion in cumulative structural cost savings versus 2019, with an additional $0.6 billion delivered during the quarter. ExxonMobil expects to deliver $18 billion of cumulative savings through 2030. The corporation also announced ten advantaged projects starting up in 2025 that are expected to generate more than $3 billion of earnings in 2026.
Shell reported adjusted earnings of $4.3 billion for the second quarter, supported by robust cash flow from operations of $11.9 billion despite what the company described as a "less favourable macro environment." The company announced its 15th consecutive quarter of substantial share buybacks, commencing another $3.5 billion programme.
"Shell generated robust cash flows reflecting strong operational performance in a less favourable macro environment," Wael Sawan, CEO stated in its results announcement. Shell achieved $0.8 billion in structural cost reductions during the first half, contributing to cumulative savings of $3.9 billion since 2022 against a target of $5-7 billion by end of 2028. The company celebrated a significant milestone by shipping its first cargo from LNG Canada, strengthening its leading LNG position and supporting ambitions to achieve LNG sales growth of 4-5% annually to 2030.
Shell also enhanced its deep-water portfolio with the start-up of Mero-4 in Brazil and announced increased interests in Gato do Mato in Brazil and Bonga in Nigeria. The company maintained its 2025 cash capital expenditure outlook at $20-22 billion, with total shareholder distributions over the last four quarters representing 46% of cash flow from operations.
TotalEnergies generated $3.6 billion in adjusted net income and $6.6 billion in cash flow from operations during the quarter. The company demonstrated operational resilience through production growth, which helped offset commodity price pressures.
"TotalEnergies delivered robust financial results in the second quarter: cash flow only decreased by 5% to $6.6 billion despite a 10% decrease in oil price, notably thanks to accretive hydrocarbon production growth," said CEO Patrick Pouyanné. The company posted hydrocarbon production of 2.53 million barrels of oil equivalent per day, representing an increase of more than 3% year-on-year, benefiting from the start-up of the Ballymore field in the United States and Mero-4 in Brazil.
The results reflect the oil majors' continued adaptation to volatile commodity markets, with Brent crude prices averaging $67.9 per barrel during the second quarter compared to $85.0 per barrel in the same period last year. Industry-wide capital expenditure remained disciplined across all three companies, balancing growth investments against shareholder return commitments whilst maintaining strong balance sheets and operational flexibility.
