Oil giants post massive revenue increase in 2022 on back of high oil prices

By Firdevs Yuksel and Sibel Morrow

ANKARA (AA) - The collective revenues of the world's top eight publicly traded oil-producing companies increased by 48.5% in 2022, benefiting from high oil prices from supply fears induced by the Russian-Ukrainian war, according to data compiled by Anadolu Agency from their financial results.

Global oil markets have continued to evolve since the Russia-Ukraine war erupted on Feb. 24 last year, having faced an unprecedented energy crisis with unfolding sanctions, restrictions and price caps on Russian oil exports, leading to major changes in traditional trading routes.

The war shook the global oil market at a time when global crude oil markets were battling post-pandemic supply and demand issues and global economies were grappling with rising inflation.

With the aim of undercutting Russia’s wartime spending, Western nations imposed sanctions and severe economic restrictions on oil and gas exports from Russia, the world's second-largest oil producer.

Due to these sanctions, oil prices reached record highs, raising concerns that Moscow's retaliatory measures could hamper oil supply.

Brent oil, which had traded at $98.71 on Feb. 23, 2022, a day before the war, hit its highest level since July 2008 on March 7, 2022, reaching $139.13. WTI crude oil traded at $130.50 on the same day.

However, after surging to record highs in the first half of the year, Brent fell in the second half due to China-induced demand concerns, which gave China an advantage over Russia, raising supply concerns on global markets. Brent crude fell as low as $75.64 per barrel on Dec. 9.

- Oil giants benefit from high oil prices

As a result of large oil price fluctuations, major oil companies, including American ExxonMobil, Chevron, French TotalEnergies, Royal Dutch Shell, British bp, Italian ENI, Norwegian Equinor, and Saudi Arabian oil company Aramco, declared huge year-on-year revenues in 2022.

Their collective revenues exceeded $2.4 trillion last year, increasing by around 49% annually, or by $801.4 billion, relative to a revenue of $1.6 trillion in 2021.

- Aramco posts largest revenue

Last year, Aramco had the greatest year-over-year revenue yield. When compared to the previous year, the company's sales climbed by $204 billion, or 50.9%.

ExxonMobil ranked second with $128 billion, representing a 44.8% increase, Shell earned $113.5 billion, representing a 41.6% increase, and BP earned $84.6 billion, representing a nearly 51.6% gain. Others with sizable gains include Chevron with $83.8 billion, ENI with $48.8 billion, Equinor with $59.9 billion and Totalenergies with $78.7 billion.