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ExxonMobil — 3Q26 Prepared Remarks (company IR deck)
ExxonMobil (XOM) · 14 slides · Filed Oct 30, 2026
Every slide of this earnings presentation, with the text as published. Open the original deck ↗ · All XOM deck slides
Slide 1 — PREPARED REMARKS
PREPARED REMARKS 1 Welcome to ExxonMobil’s third-quarter 2026 earnings presentation. This quarter’s presentation and prerecorded remarks are available on the Investors section of our website. They are meant to accompany the third-quarter earnings release, which is posted in the same location. This document provides some new financial and other perspectives on ExxonMobil.
Slide 2 — PREPARED REMARKS
PREPARED REMARKS 2 During today’s presentation, we’ll make forward-looking comments, including discussions of our long-term plans, which are subject to risks and uncertainties. Please read our cautionary statement on slide 2. You can find more information on the risks and uncertainties that apply to any forward-looking statements in our SEC filings on our website. Note that we also provided supplemental information at the end of our earnings slides, which are also posted on the website.
Slide 3 — PREPARED REMARKS
PREPARED REMARKS 3 We delivered GAAP earnings of $15.4 billion and adjusted earnings of $17.5 billion in the third quarter. Cash flow from operations was $25.7 billion. Cash capex was $7.0 billion, in line with our full-year investment priorities. Our third quarter results underscore our competitive advantages and highlight the benefits of a strategy firmly grounded in long-term fundamentals and focused on growing shareholder value across commodity price cycles and through market disruptions. This was particularly evident this quarter in our Energy Products segment where decades of investment, optimization capabilities, and operational excellence yielded industry-leading results and maximized the supply of products that society needs. Energy Products achieved record global fuels utilization, excluding Middle East impacts, record diesel yields, and record North American diesel volumes in the first nine months of this year. These achievements came at a critical time for global supply. Our global refining footprint and optimization capabilities enabled us to supply more diesel to the world, helping meet customer demand as markets tightened.
Slide 4 — PREPARED REMARKS
PREPARED REMARKS 4 Operational excellence extended to Chemical Products where year-to-date reliability hit record levels, underpinned by strong North American utilization. Growth in the Permian and Guyana this year has helped offset disruptions in the Middle East. Permian production remained just above 1.8 million oil-equivalent barrels per day, in line with our 2026 guidance, with technology improving both recovery and capital efficiency. We also reached cumulative production milestones across three assets: one billion barrels at Guyana, one billion barrels at Kearl, and 100 million tons at PNG LNG. These milestones demonstrate our ability to develop and operate large, complex projects across different markets, supported by technical and operating capabilities. Progress in our portfolio included increasing our working interest and assuming operatorship of Papua LNG, increasing our working interest in Rovuma LNG, starting carbon capture and storage operations for Nucor, and receiving regulatory approval for our Rose carbon storage project. We have lowered net debt by nearly $11 billion year to date, further strengthening our leading financial position, supporting an unmatched capacity to invest in an advantaged portfolio and reward our shareholders, regardless of market conditions and through economic cycles We returned $9.4 billion to shareholders this quarter, bringing our year-to-date total to $28 billion. A dividend increase of $0.04 cents per share marked the 44th consecutive year of annual dividend-per-share growth - a longer streak than 95% of S&P 500 companies. And, we announced a share repurchase program in 2027 of $20 billion dollars. Our ability to meet society’s needs for crude and refined products today, generate industry- leading results, and provide growing and resilient shareholder distributions is the result of a decade of consistent investments and an unrelenting focus on capturing structural cost savings, irrespective of current market conditions. That approach remains core to our strategy and is validated by our ability to deliver in a disrupted, supply-constrained environment.
Slide 5 — PREPARED REMARKS
PREPARED REMARKS 5 Global supply disruptions impacted commodity and product markets in the third quarter, with effects varying significantly. Refining margins increased to record levels, and natural gas prices strengthened. Crude prices declined from the second quarter and remained within historical ranges, while chemical margins declined. Refining capacity in Russia and the Middle East remained curtailed, with roughly 10 percent of global capacity offline. This reduced crude demand which, combined with additional supply, kept crude prices in line with recent periods. At the same time, unavailable refining capacity constrained the supply of gasoline, diesel, and other refined products. North American refineries sustained high operating rates during the quarter but were unable to fully offset reduced global refining capacity availability. The result was exceptionally strong refining margins, reflecting tight product markets. International natural gas prices also increased, as the Middle East conflict affected LNG supply.
Slide 6 — PREPARED REMARKS
PREPARED REMARKS 6 Global chemical margins declined on higher regional product availability and sustained higher feed costs in Europe and Asia. A persistent focus on investing in advantaged product supply, supported by fundamentals not trends, capturing structural cost savings, and strengthening leading project execution and operational capabilities is transforming our capacity to grow earnings and cash flows in all our businesses, including Energy Products.
Slide 7 — PREPARED REMARKS
PREPARED REMARKS 7 Investments over the last decade to increase the supply of higher-value products like diesel, combined with lasting operating excellence have increased our earnings power. We've high-graded our refining portfolio, improved operating performance, expanded trading and optimization capabilities, and reduced structural costs. That includes investing approximately $17 billion in refining since 2019 to expand capacity and improve product mix and profitability. We’ve increased crude processing capacity by nearly 10% since 2019. On the U.S. Gulf Coast, investments such as our Beaumont refinery expansion have grown distillate production by approximately 40% - that supply is critical to customers and society today, in a market that is severely constrained by product availability. And we are continuing to pursue growth in higher-value products to grow earnings and cash flow generation capacity. Work is ongoing today at Baytown to further grow distillate production as part of our U.S. Gulf Coast asset reconfiguration efforts. Looking forward, we anticipate these investments across the U.S. will increase distillate production by another 100 thousand barrels per day. We're also improving how our facilities operate.
Slide 8 — PREPARED REMARKS
PREPARED REMARKS 8 We achieved record fuels utilization, excluding the Middle East, further evidence of a steady increase in utilization over the last decade. We've also improved turnaround performance, reducing costs by approximately 30% and completing work 50% faster than previous turnaround cycles. Expanded trading and optimization capabilities provide additional flexibility to source advantaged feedstocks and place products where they generate the most value. Traded volumes across our portfolio are now roughly 4 times the level in 2019, allowing us to further maximize the value of our global portfolio of assets. We’ve achieved these improvements while reducing structural costs by roughly $3 billion in Energy Products, more than offsetting the impacts from inflation and foreign exchange. Together, our investments, improved volume and mix, and lower structural costs have tripled the underlying unit earnings of the business at constant margin.
Slide 9 — PREPARED REMARKS
PREPARED REMARKS 9 Year-to-date earnings demonstrate how market conditions and improvements in our underlying business contributed to higher earnings compared with last year. Adjusted earnings exclude identified items and estimated timing effects, including mark-to- market impacts on unsettled derivatives and related items. This helps investors assess operating performance without the impact of certain temporary or non-recurring items. Higher prices and margins increased year-to-date earnings by approximately $22.7 billion. Our integrated portfolio and growing optimization capabilities helped us maximize capture of that market uplift - allowing us to secure advantaged feedstocks, maintain operational excellence, and move products to the highest-value markets. Investments in advantaged opportunities and structural cost reductions also strengthened underlying performance. Advantaged volume growth contributed approximately $2.7 billion, primarily from the Permian, Guyana, and recent Energy Products project start-ups, including the Singapore Resid Upgrade, Strathcona Renewable Diesel in Canada, and the Fawley diesel growth project in the UK.
Slide 10 — PREPARED REMARKS
PREPARED REMARKS 10 These contributions reflect investments made over several years and through different market cycles. Those investments are now increasing production, improving portfolio mix, and increasing earnings contribution. Cumulative structural cost savings since 2019 are now $16.9 billion – more than offsetting inflation and growth over that period. Approximately 75% has been delivered through organizational initiatives, and the new Global Operations team is well positioned to identify additional efficiencies and process improvements. These are lasting reductions in our cost base, driven by changes in how we organize and operate. Combined with growth in higher-value production, they improve profitability across market conditions, not just when prices and margins are favorable. Lower base volumes reduced earnings by approximately $1.5 billion, primarily reflecting external impacts on operations, scheduled maintenance, and divestments. Higher expenses reduced earnings by approximately $3.0 billion, driven largely by higher depreciation, advantaged investments, and scheduled maintenance. Separately, Middle East production disruptions reduced year-to-date earnings by approximately $2.9 billion. In the third quarter, Middle East production was approximately 550 thousand oil-equivalent barrels per day, including 250 thousand oil-equivalent barrels per day in Qatar, and 300 thousand barrels per day in the UAE. Similar to second quarter, some corresponding sales and revenue in the UAE were deferred to future periods due to shipping constraints.
Slide 11 — PREPARED REMARKS
PREPARED REMARKS 11 The strength in earnings carried through to cash generation. We generated $25.7 billion of cash flow from operations in the third quarter, which brings the year-to-date total to $57.9 billion. Free cash flow was $19.1 billion for the quarter, bringing the year-to-date to $39.0 billion. The strength of our portfolio, shaped by years of disciplined investments, paired with our reliable operations, has positioned us to capture the strong price and margin environment and generate industry-leading cash flow from operations and free cash flow year-to-date. Cash capex was $7.0 billion in the quarter and is now $20.0 billion year to date. We returned $9.4 billion to shareholders in the quarter and $28.0 billion year to date. Strong cash generation also enabled us to reduce net debt by more than $9 billion during the quarter. Our industry-leading net-debt-to-capital ratio improved to 7.5%, while net debt to EBITDA declined to 0.2 times. We ended the period with $12.2 billion of cash.
Slide 12 — PREPARED REMARKS
PREPARED REMARKS 12 These results demonstrate the financial capacity of our business and the outcome of disciplined capital allocation. We funded advantaged investments, strengthened the balance sheet, and returned cash to shareholders. Based on the strength of our underlying plans, we increased our dividend by 4%, which marks the 44th consecutive year of increases to our annual dividend per share. We are also targeting $20 billion in share repurchases for next year, assuming reasonable market conditions. Note that to maximize the effectiveness of our repurchase program, our purchases for the year may not occur evenly across the four quarters.
Slide 13 — PREPARED REMARKS
PREPARED REMARKS 13 Looking ahead to the fourth quarter, several operating and financial factors will influence results. We expect full-year Permian production of roughly 1.8 million barrels per day, in line with guidance. Our fifth FPSO in Guyana will start up in late fourth quarter, consistent with prior guidance. We anticipate Middle East production impacts in line with the third quarter or approximately 350 thousand oil equivalent barrels per day remaining offline, assuming continuation of the current level of supply disruptions. We expect scheduled maintenance to be higher than in the third quarter for Product Solutions, with a corresponding impact on operating performance. We estimate Corporate and Financing expenses of approximately $500 million to $700 million. Full-year cash capex is expected to be within the planned range as we progress investments in advantaged projects. Additionally, we included an appendix slide at the end
Slide 14 — PREPARED REMARKS
PREPARED REMARKS 14 of our published presentation that discusses plans to change our presentation of cash capex starting in 2027. The pace of recovery in the Middle East and the broader market environment remain critical uncertainties. However, our financial priorities remain unchanged: invest in competitively advantaged opportunities, maintain balance-sheet strength, and return cash to shareholders. Although volatility will impact markets, it will not impact our approach to growing long-term shareholder value. Thank you.