Big oil companies are raking in their highest profits since the onset of the coronavirus pandemic, but they plan to continue spending sparingly to boost production despite higher commodity prices.

Exxon Mobil Corp. reported $4.7 billion in second quarter profit Friday, while rival Chevron Corp. reported $3.1 billion in quarterly profit.

The results represented a dramatic turnaround from a year earlier, when Exxon reported a quarterly loss of $1.1 billion and Chevron lost $8.3 billion as demand for oil and gas plummeted due to the closing of economies worldwide due to the virus.

Some of the largest European oil companies also reported strong results earlier in the week. Royal Dutch Shell PLC reported $5.5 billion in net income, while TotalEnergies SE posted $3.5 billion in profits.

The oil-and-gas industry has recovered from unprecedented losses in 2020 as economies have reopened this year, sending prices surging to their highest levels in two years. U.S. oil prices have mostly stayed above $60 per barrel since March, after briefly turning negative last April and remaining below $50 for most of 2020. Oil prices closed at nearly $74 per barrel on Thursday.

This post first appeared on wsj.com

Leave a Reply

Your email address will not be published. Required fields are marked *

You May Also Like

Russian Olympic Committee suspended by IOC for incorporating Ukrainian sports bodies

MUMBAI, India — The Russian Olympic Committee was suspended by the IOC on Thursday…

South Carolina Senate again rejects near-total abortion ban as five women filibuster

COLUMBIA, S.C. — South Carolina senators rejected a bill that would have…

SolarWinds Hack Pits Microsoft Against Dell, IBM Over How Companies Store Data

The cyberattack that compromised many U.S. government and corporate networks is fueling…

‘Living in anarchy’: Migrants wait in Mexico one week before the end of Title 42

CIUDAD JUÁREZ, Mexico — In a city long ravaged by cartel violence,…