ExxonMobil Corporation, the American gas and oil giant, reported a 7.3 per cent decline in its net profits during the first quarter of 2025 to reach  $7.7 billion compared to $8.2 billion in the same quarter of 2024.

Exxon Mobil attributed the drop in net profits to the significant decline in industry refining margins, weaker crude prices, lower base volumes from strategic divestments and higher expenses from growth initiatives.

“In this uncertain market, our shareholders can be confident in knowing that we are built for this. The work we have done to transform our company over the past eight years positions us to excel in any environment,” said Darren Woods, chairman and chief executive officer in a press release by the company.

Also, increased oil and gas production volumes from the  Permian and Guyana, additional structural cost savings and favorable timing effects have helped offset the decrease in net profits.

The company generated $13.0 billion in cash flow from operations during the three months.

In the press release, Woods noted that since 2019, the strategic choices Exxon Mobil made to reduce costs, grow advantaged volumes, and optimise our operations have strengthened quarterly earnings power by about $4 billion at current prices and margins.

“This year, we are starting up 10 advantaged projects that are expected to generate more than $3 billion of earnings in 2026.”