Exxon Mobil and Chevron both reported significant declines in first-quarter profits, with net income falling 45% and 36% year-over-year, respectively.
The drop came despite a sharp rise in oil prices following the U.S.-led military action against Iran on February 28, which disrupted key oil shipment routes.
The market reaction to the earnings reports has been muted, with energy prices remaining volatile due to ongoing geopolitical tensions.
The conflict has raised concerns about the stability of oil exports from the region, contributing to a broader repricing of energy markets.
The situation underscores the growing sensitivity of energy markets to geopolitical developments, particularly in the Middle East.
The war has intensified scrutiny on supply chains and the potential for further disruptions, with implications for global crude prices and energy company performance.