Exxon and Chevron profits fall despite oil price surge due to Iran war hedging losses.

Exxon Mobil and Chevron reported sharply lower profits in Q1 compared to last year, despite a 57% surge in oil prices triggered by the Iran war. Both companies faced significant losses from financial hedges that were poorly timed amid the sudden supply disruption, with Exxon losing nearly $4 billion on these trades. However, these impacts are temporary and expected to reverse in future quarters. Both firms still beat Wall Street earnings estimates, with Exxon posting $1.16 adjusted EPS and Chevron $1.41 adjusted EPS, signaling resilience despite the challenges.