U.S. Oil Companies Earned Over $130 Billion During Iran War

U.S. oil and gas companies earned more than $130 billion in profits during the six months to September as the war with Iran drove up global energy prices, benefiting producers and refiners while households faced higher fuel costs.

The estimate, based on the financial performance of more than 50 large U.S. oil and gas companies, covers April through September and excludes earnings from March, when the conflict began, and October. The companies collectively earned less than $47 billion during the same period in 2025, when lower oil prices and the early impact of U.S. President Donald Trump’s trade war weighed on the industry.

The windfall highlights how geopolitical conflicts can benefit energy companies even as consumers bear the cost of supply disruptions. Americans had spent an additional $147 billion on gasoline and diesel since the United States and Israel began striking Iran on Feb. 28, according to an analysis by Brown University’s Climate Solutions Lab. That translates to more than $1,100 per household.

U.S. refiners have been among the biggest beneficiaries as attacks damaged fuel-processing facilities in the Middle East and Russia, reducing available capacity and pushing refining margins higher. Companies with operational refineries have been able to capture greater profits as global fuel supplies tightened.

U.S. oil producers have also benefited from higher crude prices without facing the operational risks and costs associated with producing in conflict zones. However, their earnings generally remain below levels recorded in 2022, when Russia’s invasion of Ukraine triggered a surge in oil and natural gas prices. U.S. crude averaged about $90 a barrel from April through September this year, compared with roughly $100 during the same period in 2022.

Exxon Mobil and Chevron, the country’s largest oil companies, reported their strongest third-quarter earnings in years on Friday, supported by their refining operations. Exxon’s third-quarter profit more than doubled, while Chevron’s nearly tripled.

“We certainly acknowledge that the higher fuel prices put pressure on families and businesses,” Neil Hansen, Exxon’s chief financial officer, said in an interview. “But this is one of those situations and type of business where you can’t invest your way out of these conditions overnight. The decisions that matter today were made years ago.”

Chevron Chief Financial Officer Eimear Bonner said the company was retaining the additional cash generated by higher prices to strengthen its balance sheet.

“The cash is going on the balance sheet,” Bonner said. “That’s an asset that obviously we lean on in hard times and we strengthen in times when we see higher prices.”

The New York Times analysis covered more than 50 U.S. oil and gas companies, using reported financial results and analyst estimates compiled by financial data provider FactSet where quarterly results were not yet available. It excluded pipeline operators and oilfield service providers, whose businesses have been less directly affected by the global supply shock.

Many companies are using the additional cash to reduce debt and strengthen their balance sheets rather than significantly increasing production or expanding refining capacity.

“We’re not going to change our approach to capital investments just because we have a lot of cash,” Homer Bhullar, chief financial officer of Valero Energy, told analysts last week. The refiner’s third-quarter profit increased more than sixfold.

“Over time, all the excess cash we’re accumulating will ultimately be directed toward our owners,” Bhullar said, referring to the company’s shareholders. Such distributions typically take the form of higher dividends and share buybacks.

U.S. refiners have also benefited from relatively lower transportation costs because much of the crude they process arrives through domestic pipelines, insulating them from soaring international shipping costs. Refiners convert crude oil into products including gasoline and diesel, linking upstream producers with consumers.

The earnings surge has extended beyond the United States. Shell reported third-quarter profit of $12.06 billion, more than double its earnings a year earlier, partly reflecting stronger refining margins. French energy company TotalEnergies also more than doubled its quarterly profit to $8.26 billion.

United Refining, a privately held fuel producer in western Pennsylvania, is considering using its additional earnings to reduce debt or purchase a corporate aircraft, Chief Executive John Catsimatidis said.

“I am serious,” Catsimatidis said in an interview. “You know why? I’m 78 years old. If I don’t buy a new airplane now, when am I going to buy it? When I’m dead?”

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