EXXON MOBIL CORP - Quarter Report: 2025 June (Form 10-Q)

Signature

PART I. FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS


CONDENSED CONSOLIDATED STATEMENT OF INCOME

(millions of dollars, unless noted)

Three Months Ended
June 30,

Six Months Ended
June 30,

2025

2024

2025

2024

Revenues and other income

Sales and other operating revenue

Income from equity affiliates

Other income

Total revenues and other income

Costs and other deductions

Crude oil and product purchases

Production and manufacturing expenses

Selling, general and administrative expenses

Depreciation and depletion (includes impairments)

Exploration expenses, including dry holes (1)

Non-service pension and postretirement benefit expense

Interest expense

Other taxes and duties

Total costs and other deductions

Income (loss) before income taxes

Income tax expense (benefit)

Net income (loss) including noncontrolling interests

Net income (loss) attributable to noncontrolling interests

Net income (loss) attributable to ExxonMobil

Earnings (loss) per common share (dollars)

Earnings (loss) per common share - assuming dilution (dollars)

(1) Includes $ million related to the write-off of exploratory well costs in 2025 that were previously capitalized for greater than one year at December 31, 2024.

The information in the Notes to Condensed Consolidated Financial Statements is an integral part of these statements.

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CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME


(millions of dollars)	Three Months Ended June 30,		Six Months Ended June 30,
	2025	2024	2025	2024
Net income (loss) including noncontrolling interests

Other comprehensive income (net of income taxes)
Foreign exchange translation adjustment		()		()

Postretirement benefits reserves adjustment (excluding amortization)	()		()	()
Amortization and settlement of postretirement benefits reserves adjustment included in net periodic benefit costs
Total other comprehensive income (loss)		()		()
Comprehensive income (loss) including noncontrolling interests
Comprehensive income (loss) attributable to noncontrolling interests
Comprehensive income (loss) attributable to ExxonMobil

The information in the Notes to Condensed Consolidated Financial Statements is an integral part of these statements.

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CONDENSED CONSOLIDATED BALANCE SHEET


(millions of dollars, unless noted)	June 30, 2025	December 31, 2024

ASSETS
Current assets
Cash and cash equivalents
Cash and cash equivalents – restricted
Notes and accounts receivable – net
Inventories
Crude oil, products and merchandise
Materials and supplies
Other current assets
Total current assets
Investments, advances and long-term receivables
Property, plant and equipment – net
Other assets, including intangibles – net
Total Assets

LIABILITIES
Current liabilities
Notes and loans payable
Accounts payable and accrued liabilities
Income taxes payable
Total current liabilities
Long-term debt
Postretirement benefits reserves
Deferred income tax liabilities
Long-term obligations to equity companies
Other long-term obligations
Total Liabilities

Commitments and contingencies (Note 3)

EQUITY
Common stock without par value ( million shares authorized, million shares issued)
Earnings reinvested
Accumulated other comprehensive income	()	()
Common stock held in treasury ( million shares at June 30, 2025 and million shares at December 31, 2024)	()	()
ExxonMobil share of equity
Noncontrolling interests
Total Equity
Total Liabilities and Equity

The information in the Notes to Condensed Consolidated Financial Statements is an integral part of these statements.

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CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS


(millions of dollars)	Six Months Ended June 30,
	2025	2024

CASH FLOWS FROM OPERATING ACTIVITIES
Net income (loss) including noncontrolling interests
Depreciation and depletion (includes impairments)
Changes in operational working capital, excluding cash and debt	()	()
All other items – net		()
Net cash provided by operating activities

CASH FLOWS FROM INVESTING ACTIVITIES
Additions to property, plant and equipment	()	()
Proceeds from asset sales and returns of investments
Additional investments and advances	()	()
Other investing activities including collection of advances
Cash acquired from mergers and acquisitions
Net cash used in investing activities	()	()

CASH FLOWS FROM FINANCING ACTIVITIES
Additions to long-term debt
Reductions in long-term debt	()	()
Additions to short-term debt
Reductions in short-term debt	()	()
Additions/(reductions) in debt with three months or less maturity		()
Contingent consideration payments	()	()
Cash dividends to ExxonMobil shareholders	()	()
Cash dividends to noncontrolling interests	()	()
Changes in noncontrolling interests	()
Inflows from noncontrolling interests for major projects
Common stock acquired	()	()
Net cash used in financing activities	()	()

Effects of exchange rate changes on cash		()
Increase/(decrease) in cash and cash equivalents (including restricted)	()	()
Cash and cash equivalents at beginning of period (including restricted)
Cash and cash equivalents at end of period (including restricted)

SUPPLEMENTAL DISCLOSURES
Income taxes paid
Cash interest paid
Included in cash flows from operating activities
Capitalized, included in cash flows from investing activities
Total cash interest paid

Noncash right of use assets recorded in exchange for lease liabilities
Operating leases
Finance leases



The information in the Notes to Condensed Consolidated Financial Statements is an integral part of these statements.

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CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

ExxonMobil Share of Equity

(millions of dollars, unless noted)

Common Stock

Earnings Reinvested

Accumulated Other Comprehensive Income

Common Stock Held in Treasury

ExxonMobil Share of Equity

Non-controlling Interests

Total Equity

Balance as of March 31, 2024

()

Amortization of stock-based awards

—

Other

()

—

()

Net income (loss) for the period

—

Dividends - common shares

—

()

—

()

Other comprehensive income (loss)

—

()

—

()

Share repurchases, at cost

—

()

—

()

Issued for acquisitions

—

Dispositions

—

Balance as of June 30, 2024

()

Balance as of March 31, 2025

()

Amortization of stock-based awards

—

Other

()

—

()

Net income (loss) for the period

—

Dividends - common shares

—

()

—

()

Other comprehensive income (loss)

—

Share repurchases, at cost

—

()

—

()

Dispositions

—

Balance as of June 30, 2025

()

Three Months Ended June 30, 2025

Three Months Ended June 30, 2024

Common Stock Share Activity

(millions of shares)

Issued

Held in Treasury

Outstanding

Issued

Held in Treasury

Outstanding

Balance as of March 31

()

Share repurchases, at cost

—

()

—

()

Issued for acquisitions

—

Dispositions

—

Balance as of June 30

()

The information in the Notes to Condensed Consolidated Financial Statements is an integral part of these statements.

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CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

ExxonMobil Share of Equity

(millions of dollars, unless noted)

Common Stock

Earnings Reinvested

Accumulated Other Comprehensive Income

Common Stock Held
in Treasury

ExxonMobil Share of Equity

Non-controlling Interests

Total
Equity

Balance as of December 31, 2023

()

Amortization of stock-based awards

—

Other

()

—

()

Net income (loss) for the period

—

Dividends - common shares

—

()

—

()

Other comprehensive income (loss)

—

()

—

()

Share repurchases, at cost

—

()

—

()

Issued for acquisitions

—

Dispositions

—

Balance as of June 30, 2024

()

Balance as of December 31, 2024

()

Amortization of stock-based awards

—

Other

()

—

()

Net income (loss) for the period

—

Dividends - common shares

—

()

—

()

Other comprehensive income (loss)

—

Share repurchases, at cost

—

()

—

()

Dispositions

—

Balance as of June 30, 2025

()

Six Months Ended June 30, 2025

Six Months Ended June 30, 2024

Common Stock Share Activity

(millions of shares)

Issued

Held in Treasury

Outstanding

Issued

Held in Treasury

Outstanding

Balance as of December 31

()

Share repurchases, at cost

—

()

—

()

Issued for acquisitions

—

Dispositions

—

Balance as of June 30

()

The information in the Notes to Condensed Consolidated Financial Statements is an integral part of these statements.

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% Convertible Senior Notes due May 2025 (1)

% Senior Notes due January 2026

% Senior Notes due March 2026

% Senior Notes due January 2028

% Senior Notes due February 2028

% Senior Notes due August 2030

% Senior Notes due January 2031

(1) In June 2024, the Corporation redeemed in full all of the Convertible Senior Notes assumed from Pioneer for an amount consistent with the acquisition date fair value.

Net income (loss) attributable to ExxonMobil

The following table presents unaudited pro forma information for the Corporation as if the merger with Pioneer had occurred at the beginning of January 1, 2023:


Unaudited (millions of dollars)	Three Months Ended June 30, 2024	Six Months Ended June 30, 2024
Sales and other operating revenues
Net income (loss) attributable to ExxonMobil

The historical financial information was adjusted to give effect to the pro forma events that were directly attributable to the merger and factually supportable. The unaudited pro forma consolidated results are not necessarily indicative of what the consolidated results of operations actually would have been had the merger been completed on January 1, 2023. In addition, the unaudited pro forma consolidated results reflect pro forma adjustments primarily related to conforming Pioneer's accounting policies to ExxonMobil, additional depreciation expense related to the fair value adjustment of the acquired property, plant and equipment, our capital structure, Pioneer's transaction-related costs, and applicable income tax impacts of the pro forma adjustments.

Our transaction costs to effect the acquisition were immaterial.

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State and local governments and other entities in various jurisdictions across the United States and its territories have filed a number of legal proceedings against several oil and gas companies, including ExxonMobil, requesting unprecedented legal and equitable relief for various alleged injuries purportedly connected to climate change. These lawsuits assert a variety of novel, untested claims under statutory and common law. Additional such lawsuits may be filed. We believe the legal and factual theories set forth in these proceedings are meritless and represent an inappropriate attempt to use the court system to usurp the proper role of policymakers in addressing the societal challenges of climate change.

Local governments in Louisiana have filed unprecedented legal proceedings against a number of oil and gas companies, including ExxonMobil, requesting compensation for the restoration of coastal marsh erosion in the state. We believe the factual and legal theories set forth in these proceedings are meritless.

While the outcome of any litigation can be unpredictable, we believe the likelihood is remote that the ultimate outcomes of these lawsuits will have a material adverse effect on the Corporation’s operations, financial condition, or financial statements taken as a whole. We will continue to defend vigorously against these claims.

Other Contingencies

The Corporation and certain of its consolidated subsidiaries were contingently liable at June 30, 2025, for guarantees relating to notes, loans and performance under contracts. Where guarantees for environmental remediation and other similar matters do not include a stated cap, the amounts reflect management’s estimate of the maximum potential exposure. Where it is not possible to make a reasonable estimation of the maximum potential amount of future payments, future performance is expected to be either immaterial or have only a remote chance of occurrence.

Other Total

(1) ExxonMobil share.

Additionally, the Corporation and its affiliates have numerous long-term sales and purchase commitments in their various business activities, all of which are expected to be fulfilled with no adverse consequences material to the Corporation’s operations or financial condition.

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) ()

Current period change excluding amounts reclassified from accumulated other comprehensive income (1)

()()()Amounts reclassified from accumulated other comprehensive income Total change in accumulated other comprehensive income()()()Balance as of June 30, 2024() ()Balance as of December 31, 2024() ()

Current period change excluding amounts reclassified from accumulated other comprehensive income (1)

() Amounts reclassified from accumulated other comprehensive income Total change in accumulated other comprehensive income () Balance as of June 30, 2025() ()

(1) Cumulative Foreign Exchange Translation Adjustment includes net investment hedge gain/(loss) net of taxes of $() million and $ million in 2025 and 2024, respectively.

)()()()

()Postretirement benefits reserves adjustment (excluding amortization) () ()Amortization and settlement of postretirement benefits reserves adjustment included in net periodic benefit costs ()()()Total ()

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Weighted-average number of common shares outstanding (millions of shares) (1)

Earnings (loss) per common share (dollars) (2)

Dividends paid per common share (dollars)

(1) Includes restricted shares not vested.

(2) Earnings (loss) per common share and earnings (loss) per common share – assuming dilution are the same in each period shown.

Interest cost Expected return on plan assets()()()()Amortization of actuarial loss/(gain) Amortization of prior service cost()()()()Net pension enhancement and curtailment/settlement cost Net benefit cost Pension Benefits - Non-U.S.Service cost Interest cost Expected return on plan assets()()()()Amortization of actuarial loss/(gain) Amortization of prior service cost Net benefit cost Other Postretirement BenefitsService cost Interest cost Expected return on plan assets()()()()Amortization of actuarial loss/(gain)()()()()Amortization of prior service cost()()()()Net benefit cost

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— ()()—

Advances to/receivables from equity companies (2)(6)

— — —

Other long-term financial assets (3)

— — — Liabilities

Derivative liabilities (4)

— ()()—

Long-term debt (5)

— — —

Long-term obligations to equity companies (6)

— — — — ()

Other long-term financial liabilities (7)

— — — —

December 31, 2024

Fair Value

(millions of dollars)

Level 1

Level 2

Level 3

Total Gross Assets
& Liabilities

Effect of
Counterparty Netting

Effect of
Collateral
Netting

Difference in Carrying Value and Fair Value

Net
Carrying
Value

Assets

Derivative assets (1)

—

()

—

Advances to/receivables from equity companies (2)(6)

—

Other long-term financial assets (3)

—

Liabilities

Derivative liabilities (4)

—

()

—

Long-term debt (5)

—

Long-term obligations to equity companies (6)

—

()

Other long-term financial liabilities (7)

—


(1) Included in the Balance Sheet lines: Notes and accounts receivable - net and Other assets, including intangibles - net.
(2) Included in the Balance Sheet line: Investments, advances and long-term receivables.
(3) Included in the Balance Sheet lines: Investments, advances and long-term receivables and Other assets, including intangibles - net.
(4) Included in the Balance Sheet lines: Accounts payable and accrued liabilities and Other long-term obligations.
(5) Excluding finance lease obligations.
(6) Advances to/receivables from equity companies and long-term obligations to equity companies are mainly designated as hierarchy level 3 inputs. The fair value is calculated by discounting the remaining obligations by a rate consistent with the credit quality and industry of the equity company.
(7) Included in the Balance Sheet line: Other long-term obligations. Includes contingent consideration related to a prior year acquisition where fair value is based on expected drilling activities and discount rates.

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million and $ million of collateral under master netting arrangements not offset against the derivatives on the Condensed Consolidated Balance Sheet, primarily related to initial margin requirements.

As of June 30, 2025, the Corporation has designated $ billion of its Euro-denominated debt and related accrued interest as a net investment hedge of its European business. The net investment hedge is deemed to be perfectly effective.

The Corporation had undrawn short-term committed lines of credit of $ billion and undrawn long-term committed lines of credit of $ billion as of the end of second quarter 2025.

Derivative Instruments

The Corporation’s size, strong capital structure, geographic diversity, and the complementary nature of its business segments reduce the Corporation’s enterprise-wide risk from changes in commodity prices, currency rates and interest rates. In addition, the Corporation uses commodity-based contracts, including derivatives, to manage commodity price risk and to generate returns from trading. Commodity contracts held for trading purposes are presented in the Condensed Consolidated Statement of Income on a net basis in the line “Sales and other operating revenue" and in the Consolidated Statement of Cash Flows in “Cash Flows from Operating Activities”. The Corporation’s commodity derivatives are not accounted for under hedge accounting. At times, the Corporation also enters into currency and interest rate derivatives, none of which are material to the Corporation’s financial position as of June 30, 2025 and December 31, 2024, or results of operations for the periods ended June 30, 2025 and 2024.

The Corporation operates a program to hedge certain of its fixed-rate debt instruments against changes in fair value due to changes in the designated benchmark interest rate. This program utilizes fair value hedge accounting. The derivative (hedging) instruments are fixed-for-floating interest rate swaps, with settlement dates that correspond to the interest payments associated with the fixed-rate debt (hedged item). Changes in the fair values of the hedging instruments are perfectly offset by changes in the fair values of the hedged items; the effects of these changes in fair values are recorded in "Interest expense" in the Consolidated Statement of Income. This program was not material to the Consolidated Financial Statements as of the end of second quarter 2025.

Credit risk associated with the Corporation’s derivative position is mitigated by several factors, including the use of derivative clearing exchanges and the quality of and financial limits placed on derivative counterparties. The Corporation maintains a system of controls that includes the authorization, reporting, and monitoring of derivative activity.

Petroleum products (barrels)()()Natural gas (MMBTUs)()() () ()Crude oil and product purchases () ()Total () ()

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Income from equity affiliates () Intersegment revenue Other income Segment revenues and other income Costs and other itemsCrude oil and product purchases

Operating expenses, excl. depreciation and depletion (1)

Depreciation and depletion (includes impairments) Interest expense () Other taxes and duties Total costs and other deductions

Segment income (loss) before income taxes

Income tax expense (benefit) Segment net income (loss) incl. noncontrolling interests Net income (loss) attributable to noncontrolling interests Segment income (loss)

Reconciliation of consolidated revenues

Segment revenues and other income

Other revenues (2)

Elimination of intersegment revenues()Total consolidated revenues and other income Reconciliation of income (loss) attributable to ExxonMobilTotal segment income (loss) Corporate and Financing income (loss)()Net income (loss) attributable to ExxonMobil (millions of dollars)UpstreamEnergy ProductsChemical ProductsSpecialty ProductsSegment TotalU.S.Non-U.S.U.S.Non-U.S.U.S.Non-U.S.U.S.Non-U.S.Three Months Ended June 30, 2025

Additions to property, plant and equipment (3)

As of June 30, 2025Investments in equity companies Total assets Reconciliation to Corporate TotalSegment TotalCorporate and FinancingCorporate TotalThree Months Ended June 30, 2025

Additions to property, plant and equipment (3)

As of June 30, 2025Investments in equity companies () Total assets

(1) Operating expenses, excl. depreciation and depletion includes the following GAAP line items, as reflected on the Income Statement: Production and manufacturing expenses; Selling, general and administrative expenses; Exploration expenses, including dry holes; and Non-service pension and postretirement benefit expense.

(2) Primarily Corporate and Financing Interest revenue of $ million.

(3) Includes non-cash additions.

Due to rounding, numbers presented may not add up precisely to the totals indicated.

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Income from equity affiliates () () Intersegment revenue Other income () Segment revenues and other income Costs and other itemsCrude oil and product purchases

Operating expenses, excl. depreciation and depletion (1)

Depreciation and depletion (includes impairments) Interest expense Other taxes and duties Total costs and other deductions Segment income (loss) before income taxes Income tax expense (benefit) Segment net income (loss) incl. noncontrolling interests Net income (loss) attributable to noncontrolling interests Segment income (loss)

Reconciliation of consolidated revenues

Segment revenues and other income

Other revenues (2)

Additions to property, plant and equipment (3)

As of December 31, 2024Investments in equity companies Total assets Reconciliation to Corporate TotalSegment TotalCorporate and FinancingCorporate TotalThree Months Ended June 30, 2024

Additions to property, plant and equipment (3)

As of December 31, 2024Investments in equity companies () Total assets

(2) Primarily Corporate and Financing Interest revenue of $ million.

(3) Includes non-cash additions.

Due to rounding, numbers presented may not add up precisely to the totals indicated.

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Income from equity affiliates () Intersegment revenue Other income() Segment revenues and other income Costs and other itemsCrude oil and product purchases

Operating expenses, excl. depreciation and depletion (1)

Depreciation and depletion (includes impairments) Interest expense () Other taxes and duties Total costs and other deductions

Segment income (loss) before income taxes

Income tax expense (benefit) () Segment net income (loss) incl. noncontrolling interests Net income (loss) attributable to noncontrolling interests Segment income (loss)

Reconciliation of consolidated revenues

Segment revenues and other income

Other revenues (2)

Additions to property, plant and equipment (3)

As of June 30, 2025Investments in equity companies Total assets Reconciliation to Corporate TotalSegment TotalCorporate and FinancingCorporate TotalSix Months Ended June 30, 2025

Additions to property, plant and equipment (3)

As of June 30, 2025Investments in equity companies () Total assets

(2) Primarily Corporate and Financing Interest revenue of $ million.

(3) Includes non-cash additions.

Due to rounding, numbers presented may not add up precisely to the totals indicated.

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Income from equity affiliates() () () Intersegment revenue Other income Segment revenues and other income Costs and other itemsCrude oil and product purchases

Operating expenses, excl. depreciation and depletion (1)

Other revenues (2)

Additions to property, plant and equipment (3)

As of December 31, 2024Investments in equity companies Total assets Reconciliation to Corporate TotalSegment TotalCorporate and FinancingCorporate TotalSix Months Ended June 30, 2024

Additions to property, plant and equipment (3)

As of December 31, 2024Investments in equity companies () Total assets

(2) Primarily Corporate and Financing Interest revenue of $ million.

(3) Includes non-cash additions.

Due to rounding, numbers presented may not add up precisely to the totals indicated.

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Revenue outside the scope of ASC 606 Total

Non-U.S. Total

Significant Non-U.S. revenue sources include: (1)

Canada

(1) Revenue is determined by primary country of operations. Excludes certain sales and other operating revenues in non-U.S. operations where attribution to a specific country is not practicable.

billion and net after-tax earnings of approximately $ billion from its divestment activities. This included the sale of select conventional assets in Texas and New Mexico, Mobil Argentina S.A., as well as other smaller divestments.

In 2024, the Corporation realized proceeds of approximately $ billion and recognized net after-tax earnings of approximately $ billion from its divestment activities. This included the sale of the Santa Ynez Unit and associated facilities in California, Mobil Producing Nigeria Unlimited, ExxonMobil Exploration Argentina, the Fos-sur-Mer Refinery (France), the Adriatic LNG terminal (Italy), and certain conventional and unconventional assets in the United States, as well as other smaller divestments.

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ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

Overview

During the second quarter of 2025, the price of crude oil decreased slightly relative to first quarter 2025, remaining near the middle of the 10-year historical range (2010-2019) supported by strong demand which helped to offset increased OPEC supply. Natural gas prices remained above the 10-year range on strong global demand. Global industry refining margins improved in the second quarter, moving back to the middle of the 10-year historical range driven by strong seasonal demand. Chemical margins remained at bottom of cycle, well below the 10-year range, with continued industry oversupply.

During 2025, the U.S. announced a variety of trade-related actions, including the imposition of tariffs on imports from several countries. In response, many countries announced their own retaliatory tariffs. Certain tariffs were paused for a period of time but have not been withdrawn, while others have been revised. The global trade environment continues to be volatile. The likelihood of the U.S. or its trading partners resuming tariffs, imposing new or revised reciprocal tariffs, export restrictions, or other forms of trade-related sanctions is highly uncertain. Despite the current uncertainty as to what effects these actions will ultimately have on the Corporation, our suppliers and our customers, as well as on the overall macroeconomic environment, we do not anticipate any material near-term financial impacts.

Selected Earnings Driver Definitions

The earnings drivers provide additional visibility into our business results. The Corporation evaluates these drivers periodically to determine if any enhancements may provide helpful insights to the market. Listed below are descriptions of the earnings drivers:

Advantaged Volume Growth. Represents earnings impacts from change in volume/mix from advantaged assets, advantaged projects, and high-value products.

•Advantaged Assets (Advantaged growth projects). Includes Permian, Guyana, and LNG.

•Advantaged Projects. Includes capital projects and programs of work that contribute to Energy, Chemical, and/or Specialty Products segments that drive integration of segments/businesses, increase yield of higher value products, or deliver higher than average returns.

•High-Value Products. Includes performance products and lower-emission fuels. Performance products (performance chemicals, performance lubricants) refers to products that provide differentiated performance for multiple applications through enhanced properties versus commodity alternatives and bring significant additional value to customers and end-users. Lower-emission fuels refers to fuels with lower life cycle emissions than conventional transportation fuels for gasoline, diesel and jet transport.

Base Volume. Represents all volume/mix drivers not included in Advantaged Volume Growth defined above.

Structural Cost Savings. Represents after-tax earnings effects of Structural Cost Savings as defined on page 23, including cash operating expenses related to divestments.

Expenses. Represents all expenses otherwise not included in other earnings drivers.

Timing Effects. Represents timing effects that are primarily related to unsettled derivatives (mark-to-market) and other earnings impacts driven by timing differences between the settlement of derivatives and their offsetting physical commodity realizations (due to LIFO inventory accounting).

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Earnings (loss) excluding Identified Items (Non-GAAP)

Earnings (loss) excluding Identified Items are earnings (loss) excluding individually significant non-operational events with, typically, an absolute corporate total earnings impact of at least $250 million in a given quarter. The earnings (loss) impact of an Identified Item for an individual segment may be less than $250 million when the item impacts several segments or several periods. Earnings (loss) excluding Identified Items does include non-operational earnings events or impacts that are generally below the $250 million threshold utilized for Identified Items. Management uses these figures to improve comparability of the underlying business across multiple periods by isolating and removing significant non-operational events from business results. The Corporation believes this view provides investors increased transparency into business results and trends, and provides investors with a view of the business as seen through the eyes of management. Earnings (loss) excluding Identified Items is not meant to be viewed in isolation or as a substitute for net income (loss) attributable to ExxonMobil as prepared in accordance with U.S. GAAP.


Three Months Ended June 30, 2025	Upstream		Energy Products		Chemical Products		Specialty Products		Corporate and Financing	Total
(millions of dollars)	U.S.	Non-U.S.	U.S.	Non-U.S.	U.S.	Non-U.S.	U.S.	Non-U.S.
Earnings (loss) (U.S. GAAP)	1,212	4,190	825	541	255	38	291	489	(759)	7,082
Identified Items







Total Identified Items	—	—	—	—	—	—	—	—	—	—
Earnings (loss) excluding Identified Items (Non-GAAP)	1,212	4,190	825	541	255	38	291	489	(759)	7,082

Three Months Ended June 30, 2024	Upstream		Energy Products		Chemical Products		Specialty Products		Corporate and Financing	Total
(millions of dollars)	U.S.	Non-U.S.	U.S.	Non-U.S.	U.S.	Non-U.S.	U.S.	Non-U.S.
Earnings (loss) (U.S. GAAP)	2,430	4,644	450	496	526	253	447	304	(310)	9,240
Identified Items







Total Identified Items	—	—	—	—	—	—	—	—	—	—
Earnings (loss) excluding Identified Items (Non-GAAP)	2,430	4,644	450	496	526	253	447	304	(310)	9,240

Six Months Ended June 30, 2025	Upstream		Energy Products		Chemical Products		Specialty Products		Corporate and Financing	Total
(millions of dollars)	U.S.	Non-U.S.	U.S.	Non-U.S.	U.S.	Non-U.S.	U.S.	Non-U.S.
Earnings (loss) (U.S. GAAP)	3,082	9,076	1,122	1,071	510	56	613	822	(1,557)	14,795
Identified Items







Total Identified Items	—	—	—	—	—	—	—	—	—	—
Earnings (loss) excluding Identified Items (Non-GAAP)	3,082	9,076	1,122	1,071	510	56	613	822	(1,557)	14,795

Six Months Ended June 30, 2024	Upstream		Energy Products		Chemical Products		Specialty Products		Corporate and Financing	Total
(millions of dollars)	U.S.	Non-U.S.	U.S.	Non-U.S.	U.S.	Non-U.S.	U.S.	Non-U.S.
Earnings (loss) (U.S. GAAP)	3,484	9,250	1,286	1,036	1,030	534	851	661	(672)	17,460
Identified Items







Total Identified Items	—	—	—	—	—	—	—	—	—	—
Earnings (loss) excluding Identified Items (Non-GAAP)	3,484	9,250	1,286	1,036	1,030	534	851	661	(672)	17,460

References in this discussion to Corporate earnings (loss) mean net income (loss) attributable to ExxonMobil (U.S. GAAP) from the Condensed Consolidated Statement of Income. Unless otherwise indicated, references to earnings (loss); Upstream, Energy Products, Chemical Products, Specialty Products, and Corporate and Financing earnings (loss); and earnings (loss) per share are ExxonMobil's share after excluding amounts attributable to noncontrolling interests.

Due to rounding, numbers presented may not add up precisely to the totals indicated.

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Structural Cost Savings (Non-GAAP)

Structural Cost Savings describes decreases in cash opex excluding energy and production taxes as a result of operational efficiencies, workforce reductions, divestment-related reductions, and other cost-savings measures that are expected to be sustainable compared to 2019 levels. Relative to 2019, estimated cumulative Structural Cost Savings totaled $13.5 billion, which included an additional $1.4 billion in the first six months of 2025. The total change between periods in expenses below will reflect both Structural Cost Savings and other changes in spend, including market factors, such as inflation and foreign exchange impacts, as well as changes in activity levels and costs associated with new operations, mergers and acquisitions, new business venture development, and early-stage projects. Structural Cost Savings from new operations, mergers and acquisitions, and new business venture developments are included in the cumulative Structural Cost Savings. Estimates of cumulative annual structural savings may be revised depending on whether cost reductions realized in prior periods are determined to be sustainable compared to 2019 levels. Structural Cost Savings are stewarded internally to support management's oversight of spending over time. This measure is useful for investors to understand the Corporation's efforts to optimize spending through disciplined expense management.


Dollars in billions (unless otherwise noted)	Twelve Months Ended December 31,		Six Months Ended June 30,
	2019	2024	2024	2025
Components of Operating Costs
From ExxonMobil’s Consolidated Statement of Income (U.S. GAAP)
Production and manufacturing expenses	36.8	39.6	18.9	20.2
Selling, general and administrative expenses	11.4	10.0	5.1	5.1
Depreciation and depletion (includes impairments)	19.0	23.4	10.6	11.8
Exploration expenses, including dry holes	1.3	0.8	0.3	0.3
Non-service pension and postretirement benefit expense	1.2	0.1	0.1	0.2
Subtotal	69.7	74.0	34.9	37.6
ExxonMobil’s share of equity company expenses (Non-GAAP)	9.1	9.6	4.7	5.2
Total Adjusted Operating Costs (Non-GAAP)	78.8	83.6	39.6	42.8

Total Adjusted Operating Costs (Non-GAAP)	78.8	83.6	39.6	42.8
Less:
Depreciation and depletion (includes impairments)	19.0	23.4	10.6	11.8
Non-service pension and postretirement benefit expense	1.2	0.1	0.1	0.2
Other adjustments (includes equity company depreciation and depletion)	3.6	3.7	1.7	2.4
Total Cash Operating Expenses (Cash Opex) (Non-GAAP)	55.0	56.4	27.2	28.4

Energy and production taxes (Non-GAAP)	11.0	13.9	6.8	7.6
Total Cash Operating Expenses (Cash Opex) excluding Energy and Production Taxes (Non-GAAP)	44.0	42.5	20.4	20.8

		Change vs 2019		Change vs 2024	Estimated Cumulative vs 2019
Total Cash Operating Expenses (Cash Opex) excluding Energy and Production Taxes (Non-GAAP)		-1.5		+0.4

Market		+4.0		+0.3
Activity / Other		+6.6		+1.5
Structural Cost Savings		-12.1		-1.4	-13.5

Due to rounding, numbers presented may not add up precisely to the totals indicated.

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REVIEW OF SECOND QUARTER 2025 RESULTS

ExxonMobil’s second quarter 2025 earnings were $7.1 billion, compared to $9.2 billion a year earlier. The decrease in earnings was mainly driven by weaker crude prices, lower chemical realizations, and higher expenses from growth initiatives; partly offset by increased volumes from advantaged Upstream investments in the Permian and Structural Cost Savings. Cash capital expenditures were $6.3 billion, down $0.2 billion from second quarter 2024.

Earnings for the first six months of 2025 were $14.8 billion, compared to $17.5 billion a year earlier. Cash capital expenditures were $12.3 billion, up $0.5 billion from the first six months of 2024. The Corporation distributed $8.6 billion in dividends to shareholders and repurchased $9.8 billion of common stock.

UPSTREAM


Upstream Financial Results

(millions of dollars)	Three Months Ended June 30,		Six Months Ended June 30,
	2025	2024	2025	2024
Earnings (loss) (U.S. GAAP)
United States	1,212	2,430	3,082	3,484
Non-U.S.	4,190	4,644	9,076	9,250
Total	5,402	7,074	12,158	12,734

Identified Items (1)
United States	—	—	—	—
Non-U.S.	—	—	—	—
Total	—	—	—	—

Earnings (loss) excluding Identified Items (1) (Non-GAAP)
United States	1,212	2,430	3,082	3,484
Non-U.S.	4,190	4,644	9,076	9,250
Total	5,402	7,074	12,158	12,734

(1) Refer to page 22 for definition of Identified Items and earnings (loss) excluding Identified Items.

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Upstream Second Quarter Earnings Driver Analysis

(millions of dollars)

Price – Price impacts decreased earnings by $2,020 million, mainly driven by lower liquids realizations.

Advantaged Volume Growth – Volumes from advantaged assets increased earnings by $160 million, mainly driven by Permian growth, including the Pioneer acquisition.

Base Volume – Decreased earnings by $110 million as a result of divestments.

Structural Cost Savings – Increased earnings by $310 million.

Expenses – Decreased earnings by $250 million from higher depreciation.

Other – Increased earnings by $100 million, driven by favorable foreign exchange and tax items, partially offset by lower divestment gains.

Timing Effects – Increased earnings by $140 million, mainly from favorable derivatives mark-to-market impacts.

Upstream Year-to-Date Earnings Driver Analysis

(millions of dollars)

Price – Price impacts decreased earnings by $2,480 million, driven by lower liquids realizations.

Advantaged Volume Growth – Volumes from advantaged assets increased earnings by $1,080 million, driven by the Permian and Guyana.

Base Volume – Divestments of non-strategic assets decreased earnings by $300 million, partially offset by the Tengiz expansion.

Structural Cost Savings – Increased earnings by $620 million.

Expenses – Decreased earnings by $420 million, primarily from higher depreciation.

Other – Increased earnings by $500 million, driven by favorable foreign exchange and tax items.

Timing Effects – Increased earnings by $420 million from favorable derivatives mark-to-market impacts.

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Upstream Operational Results

	Three Months Ended June 30,		Six Months Ended June 30,
	2025	2024	2025	2024
Net production of crude oil, natural gas liquids, bitumen and synthetic oil (thousands of barrels daily)
United States	1,494	1,261	1,456	1,038
Canada/Other Americas	797	760	779	767
Europe	3	4	4	4
Africa	139	215	138	220
Asia	801	714	799	712
Australia/Oceania	25	30	25	30
Worldwide	3,259	2,984	3,201	2,771

Net natural gas production available for sale (millions of cubic feet daily)
United States	3,313	2,900	3,290	2,570
Canada/Other Americas	24	114	33	104
Europe	312	331	321	354
Africa	106	167	112	158
Asia	3,206	3,486	3,331	3,380
Australia/Oceania	1,258	1,245	1,257	1,236
Worldwide	8,219	8,243	8,344	7,802


Oil-equivalent production (1) (thousands of oil-equivalent barrels daily)	4,630	4,358	4,591	4,071

(1) Natural gas is converted to an oil-equivalent basis at six million cubic feet per one thousand barrels.

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Upstream Additional Information

(thousands of barrels daily)	Three Months Ended June 30,	Six Months Ended June 30,
Volumes reconciliation (Oil-equivalent production) (1)
2024	4,358	4,071
Entitlements - Net Interest	(40)	(27)
Entitlements - Price / Spend / Other	27	29
Government Mandates	—	(2)
Divestments	(161)	(144)
Growth / Other	446	664
2025	4,630	4,591

(1) Natural gas is converted to an oil-equivalent basis at six million cubic feet per one thousand barrels.
Due to rounding, numbers presented may not add up precisely to the totals indicated.

2Q 2025

versus

2Q 2024

2Q 2025 production of 4.6 million oil-equivalent barrels per day increased 272 thousand oil-equivalent barrels per day from 2Q 2024, driven by the Pioneer acquisition.

YTD 2025

versus

YTD 2024

4.6 million oil-equivalent barrels per day in 2025 increased 520 thousand oil-equivalent barrels per day from 2024, driven by Permian production.

Listed below are descriptions of ExxonMobil’s volumes reconciliation drivers which are provided to facilitate understanding of the terms.

Entitlements - Net Interest are changes to ExxonMobil’s share of production volumes caused by non-operational changes to volume-determining drivers. These drivers consist of net interest changes specified in Production Sharing Contracts (PSCs), which typically occur when cumulative investment returns or production volumes achieve defined thresholds, changes in equity upon achieving pay-out in partner investment carry situations, equity redeterminations as specified in venture agreements, or as a result of the termination or expiry of a concession. Once a net interest change has occurred, it typically will not be reversed by subsequent events, such as lower crude oil prices.

Entitlements - Price / Spend / Other are changes to ExxonMobil’s share of production volumes resulting from temporary changes to non-operational volume-determining drivers. These drivers include changes in oil and gas prices or spending levels from one period to another. According to the terms of contractual arrangements or government royalty regimes, price or spending variability can increase or decrease royalty burdens and/or volumes attributable to ExxonMobil. For example, at higher prices, fewer barrels are required for ExxonMobil to recover its costs. These effects generally vary from period to period with field spending patterns or market prices for oil and natural gas. Such drivers can also include other temporary changes in net interest as dictated by specific provisions in production agreements.

Government Mandates are changes to ExxonMobil's sustainable production levels as a result of production limits or sanctions imposed by governments.

Divestments are reductions in ExxonMobil’s production arising from commercial arrangements to fully or partially reduce equity in a field or asset in exchange for financial or other economic consideration.

Growth and Other comprise all other operational and non-operational drivers not covered by the above definitions that may affect volumes attributable to ExxonMobil. Such drivers include, but are not limited to, production enhancements from project and work program activities, acquisitions including additions from asset exchanges, downtime, market demand, natural field decline, and any fiscal or commercial terms that do not affect entitlements.

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ENERGY PRODUCTS


Energy Products Financial Results

(millions of dollars)	Three Months Ended June 30,		Six Months Ended June 30,
	2025	2024	2025	2024
Earnings (loss) (U.S. GAAP)
United States	825	450	1,122	1,286
Non-U.S.	541	496	1,071	1,036
Total	1,366	946	2,193	2,322

Identified Items (1)
United States	—	—	—	—
Non-U.S.	—	—	—	—
Total	—	—	—	—

Earnings (loss) excluding Identified Items (1) (Non-GAAP)
United States	825	450	1,122	1,286
Non-U.S.	541	496	1,071	1,036
Total	1,366	946	2,193	2,322

(1) Refer to page 22 for definition of Identified Items and earnings (loss) excluding Identified Items.

(3) Purchases were made under terms intended to qualify for exemption under Rules 10b-18 and 10b5-1.

(4) The Corporation continued its share repurchase program, originally initiated in 2022. In its 2024 Corporate Plan Update released December 11, 2024, the Corporation stated that it expects to continue its share repurchase program with a $20 billion repurchase pace per year through 2026, assuming reasonable market conditions.

During the second quarter, the Corporation did not issue or sell any unregistered equity securities.

ITEM 5. OTHER INFORMATION

During the three months ended June 30, 2025, a “Rule 10b5-1 trading arrangement” or “non-Rule 10b5-1 trading arrangement,” as each term is defined in Item 408(a) of Regulation S-K.

ITEM 6. EXHIBITS

INDEX TO EXHIBITS


Exhibit						Description

31.1*						Certification (pursuant to Securities Exchange Act Rule 13a-14(a)) by Chief Executive Officer.
31.2*						Certification (pursuant to Securities Exchange Act Rule 13a-14(a)) by Chief Financial Officer.
31.3*						Certification (pursuant to Securities Exchange Act Rule 13a-14(a)) by Principal Accounting Officer.
32.1**						Section 1350 Certification (pursuant to Sarbanes-Oxley Section 906) by Chief Executive Officer.
32.2**						Section 1350 Certification (pursuant to Sarbanes-Oxley Section 906) by Chief Financial Officer.
32.3**						Section 1350 Certification (pursuant to Sarbanes-Oxley Section 906) by Principal Accounting Officer.
101*						Interactive Data Files (formatted as Inline XBRL).
104*						Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101).

* Filed herewith.
** Furnished herewith.

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.


	EXXON MOBIL CORPORATION
Date: August 4, 2025	By:	/s/ LEN M. FOX
		Len M. Fox
		Vice President, Controller and Tax (Principal Accounting Officer)

EXXON MOBIL CORP - Quarter Report: 2025 June (Form 10-Q)

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