Exxon Sticks to Paying Debts as Peers Revive Share Buybacks
- CEO Darren Woods hints at strategic overhaul later this year
- Chevron revives share buybacks after earlier lifting dividend
A customer refuels at a Chevron Corp. gas station in San Francisco, California.
Photographer: David Paul Morris/BloombergThis article is for subscribers only.
Exxon Mobil Corp.’s knockout second-quarter results did little to entice investors because much of the extra cash coming from soaring energy and petrochemical prices will be used to pay down debt rather than reward shareholders.
The oil giant and rival Chevron Corp. swung to their biggest profits since pre-pandemic days, fueled in large part by stellar performances from their chemicals units. But the legacy of 2020’s near-40% jump in net debt was all too clear for Exxon, with Chief Executive Officer Darren Woods prioritizing balance sheet repair over share buybacks. Exxon stock slumped more than 2% on Friday.