Exxon stock rises after boasting record $56 billion of annual profit in 2022

Yahoo Finance Live looks at Exxon Mobil shares after the energy giant reported record annual profits in 2022 amid boosted production.

Video transcript

- Taking a look also at XOM, that's ExxonMobil, after a record full year profit. $56 billion. And last quarter ExxonMobil beat earnings expectations for the ninth time in 10 quarters. Much was made of Chevron's buyback program of $75 billion that was announced last week. Well, ExxonMobil is holding firm with its repurchase program. Their buyback plan was announced in December 2022 $50 billion dividends are staying the same at $0.91 per share. That's initially why you saw the stock lower this morning, but now it is higher.

And look, these oil companies have had to really contend to both things. One, is being able to give cash back to shareholders. On the other hand also attending to the criticism from the White House and the like. With the White House also putting out a statement saying that it's outrageous that Exxon posted record profits when Americans were paying so much money for-- such high prices at the pump. Because the administration wants them to produce more in order to bring down the price of oil.

- Yeah. They add to that, clear that oil companies have everything they need, including record profits. And thousands of unused but approved permits to increase production. But production domestically is on the increase. And it's at or near pre-pandemic all time highs. So it's a difficult argument to make when you campaigned on A, ending the fossil fuel industry while you embrace New York and California for phasing out gas powered vehicles by 2030. This is an impressive needle to thread by the White House. Isn't it?

- Very, very much so. I mean, this is the whole argument. Why would you invest if you know that what you're investing in is going to be obsolete. Right.

- Yeah. And gas prices meanwhile creeping back up five straight weeks.