ExxonMobil closed 2025 with strong profits, robust cash generation, and massive shareholder payouts. However, weaker crude prices and soft chemical margins weighed on earnings. The company still reinforced its narrative of being a leaner, more technology-driven oil major with growing exposure to lower-carbon opportunities.

For the full year, ExxonMobil reported $28.8 billion in earnings, down from $33.7 billion in 2024. Despite the decline, the company distributed $37.2 billion to shareholders, highlighting its commitment to capital returns. The results underline Exxon’s strategy: maximize cash from advantaged assets while gradually scaling low-carbon investments.

CEO Darren Woods said the company is structurally stronger than a few years ago, with disciplined capital allocation and resilient earnings power. He also emphasized a long runway of profitable growth through 2030 and beyond.

Exxon’s Financial Performance: Lower Earnings, Strong Cash Flow

ExxonMobil delivered fourth-quarter 2025 earnings of $6.5 billion, or $1.53 per share. Excluding special items, earnings rose to $7.3 billion, or $1.71 per share. The company generated $12.7 billion in operating cash flow and $5.6 billion in free cash flow during the quarter.

For the full year, cash flow from operations reached $52.0 billion, while free cash flow totaled $26.1 billion. ExxonMobil said its operating cash flow has grown at roughly 10% annually since 2019, outperforming many peers.

However, earnings declined due to weaker oil prices, softer chemical margins, higher depreciation, and rising growth-related expenses. Lower interest income also affected results. These headwinds were partly offset by higher production, structural cost savings, and strong refining margins.

Capital Efficiency Drive Competitive Edge

Cash capital expenditures reached $29.0 billion in 2025, including acquisitions. Exxon expects to spend $27–$29 billion in 2026, signaling continued investment in upstream growth and energy infrastructure.

As per analysts, Exxon Mobil (XOM) is a strong dividend stock with steady cash flow and high oil production. The company returned billions to shareholders through dividends and buybacks, making it attractive to income investors.

However, XOM stock depends heavily on oil prices and faces long-term risks from climate policies and weaker chemical margins. Overall, Exxon is a stable value stock, but not a high-growth play.

Upstream: Record Production and Advantaged Assets

ExxonMobil’s upstream segment generated $21.4 billion in earnings in 2025, down from $25.4 billion in 2024. Lower oil prices and reduced volumes from divestments weighed on performance. Higher depreciation also impacted earnings.

However, the company achieved its highest production in more than 40 years, reaching 4.7 million oil-equivalent barrels per day. Production surged to 5.0 million oil-equivalent barrels per day, with the Permian reaching 1.8 million and Guyana nearing 875,000 barrels per day.

Additionally, it also advanced several major projects.

• The Yellowtail project in Guyana started early and under budget.
• The Bacalhau offshore Brazil project launched in the fourth quarter.
• Golden Pass LNG completed mechanical work, with first cargoes expected in early 2026.

Energy Products: Refining Margins Boost Profits

The Energy Products segment earned $7.4 billion in 2025, up $3.4 billion from 2024. Higher refining margins, cost savings, and asset sales drove the growth. However, the refining business remained resilient.

Chemicals: Weak Margins and Impairments

The Chemical Products segment struggled, with earnings falling to $800 million, down $1.8 billion from 2024. Weak margins, impairment charges, and higher spending weighed on results.

The China Chemical Complex ramp-up added costs, though high-value product sales hit records. Q4 saw a $281 million loss. Despite challenges, Exxon expanded chemical capacity and launched two advanced recycling facilities, processing over 250 million pounds of plastic waste annually.

• PREVIOUSLY: ExxonMobil (XOM) Q3 Earnings Beat: Will AI and Innovation Secure Dividends in a Climate-Conscious Era?

$30 Billion Low-Carbon Strategy: CCS, Hydrogen, and New Materials

ExxonMobil continues to position itself as a major player in carbon capture, hydrogen, and lower-emission fuels. The company plans to invest up to $30 billion in lower-emission technologies between 2025 and 2030.

Management said rising carbon prices would make these investments more attractive and could significantly boost cash flow in the Low Carbon Solutions business. Exxon aims to scale projects in hydrogen, CO₂ storage, and industrial clusters to become a partner of choice for large emitters.

The company also emphasized its core strengths in subsurface engineering, large-scale project execution, and existing infrastructure as competitive advantages in the energy transition.

Methane and Air Emissions: Progress with Economic Logic

ExxonMobil reported significant progress on methane and air emissions. The company has reduced methane intensity by more than 60% since 2016 and targets 70–80% reductions by 2030.

Management framed methane reduction as both an environmental and economic opportunity. Keeping methane in the system increases gas sales and reduces losses. Exxon also noted methane’s high warming potential compared to CO₂, reinforcing the need for tighter controls.

Total reportable air emissions (VOCs, SOx, NOx) dropped about 25% from 2016 to 2024, even as throughput increased to record levels.

Long-Term Outlook: Oil Cash Funds the Transition

ExxonMobil believes demand for decarbonization solutions will rise significantly through 2050. The company expects carbon pricing and net-zero policies to drive capital toward carbon capture and hydrogen over time.

However, Exxon’s strategy remains pragmatic. The company will continue to maximize returns from oil, gas, and refining while gradually scaling low-carbon businesses. Management argues that each update to global net-zero scenarios increases the importance of lower-carbon solutions but does not change its core assessment of energy demand.

All in all, ExxonMobil’s 2025 results show a company balancing two worlds. On one hand, it remains a cash-generating oil and gas powerhouse with record production and industry-leading shareholder returns. On the other hand, it is cautiously expanding into low-carbon technologies without sacrificing profitability.

• READ MORE: ExxonMobil’s $20B Low-Carbon Bet in 2030 Plan: Big Emissions Cuts, Bigger Oil Production

The post ExxonMobil (XOM) Earnings Dip in 2025, Yet Cash Flow, Dividends, and Low Carbon Strategy Remain Robust appeared first on Carbon Credits.

Visa and Mastercard are two of the largest payment companies in the world. They process trillions of dollars in transactions each year. Their networks connect banks, merchants, and consumers across more than 200 countries.

Full year 2025 earnings show that both companies continue to grow, even as economic conditions remain uncertain. At the same time, investors and regulators are paying closer attention to sustainability and climate commitments. This article compares Visa and Mastercard with their latest earnings data, growth trends, and environmental strategies.

Earnings Show Strong Financial Performance

• Earnings Check: Visa’s Momentum Continues

Visa reported strong financial results for its full fiscal year 2025. Net revenue reached $40.0 billion, an 11% increase from 2024. This growth was driven by higher payment volumes, stronger cross-border activity, and more transactions processed on its network.

Visa’s GAAP net income was about $20.06 billion, up from $19.74 billion in the prior year. Diluted earnings per share (EPS) grew to $10.20, compared with $9.73 a year earlier.

On a non-GAAP basis, net income was roughly $22.54 billion, and non-GAAP diluted EPS reached $11.47, both showing double-digit growth year over year. Total payments volume processed on Visa’s network was 257.5 billion transactions, up 10% from the prior year. Visa’s payment credentials also grew, reaching 4.9 billion by year-end.

• Mastercard Delivers: Solid Results and Strategic Shifts

Mastercard also reported strong results for the full year 2025. GAAP net revenue increased to $32.8 billion, up 16% from 2024. On a currency-neutral basis, revenue also grew close to 15%.

The company’s GAAP net income was about $15.0 billion, a 16% increase from the previous year. Mastercard’s diluted EPS rose to $16.52, up from $13.89 in 2024.

On a non-GAAP basis, adjusted net income was $15.4 billion, and adjusted diluted EPS reached $17.01, reflecting 14–17% growth. Transaction activity stayed strong. Gross dollar volume rose by about 9%. Cross-border volume increased by 15%, and switched transactions were up by 10%.

Comparing Growth Drivers and Market Position

Visa and Mastercard share many growth drivers. Both benefit from rising digital payments, increased travel, and global e-commerce expansion. Cross-border transactions are especially important for revenue growth, as they generate higher fees.

Visa reported cross-border growth of about 13%, while Mastercard posted 15% growth in the same area. These figures show that international spending remains a key strength for both companies.

Visa’s larger network gives it higher total revenue. Mastercard, however, often reports higher EPS due to differences in cost structure and share count. Both companies continue to invest in technology, security, and new payment services.

Analysts expect Visa to maintain double-digit revenue growth, while Mastercard is expected to grow at high single-digit to low double-digit rates. These forecasts reflect confidence in long-term payment trends.

Why Emissions Matter for Payment Giants

Financial strength is only one part of the comparison. Sustainability has become a growing focus for payment companies, especially as investors demand clearer climate action.

Breaking Down the Carbon Numbers: 2024 Emissions

Both Visa and Mastercard publish actual greenhouse gas (GHG) emission numbers each year. These figures help show how much carbon each company produces from operations and its value chains.

• Visa’s 2024 Emissions

In 2024, Visa shared detailed GHG emissions data. They used the GHG Protocol, which divides emissions into direct and indirect categories. Visa’s sustainability report shows its total operational emissions.

Scope 1 emissions were about 13,510 metric tonnes of CO₂e. For Scope 2, location-based emissions reached 73,448 metric tonnes of CO₂e.

Visa also reported 613,162 metric tonnes of Scope 3 emissions. These are indirect emissions from its value chain. They come from things like purchased goods, services, business travel, and employee commuting. This brings Visa’s total GHG emissions across Scope 1, 2, and 3 to roughly 700,120 metric tonnes of CO₂e in 2024. Scope 3 made up the largest share of these emissions, around 87.6% of the total footprint.

Visa continues to work toward decoupling its business growth from emissions, even as its operations expand. It measures its footprint each year and includes renewable energy and carbon offsets as part of its strategy to manage impact.

• Mastercard’s 2024 Emissions

Mastercard also publishes verified GHG data. In 2024, the company’s total Scope 1, 2, and 3 emissions were 515,981 metric tonnes of CO₂e. This represents a 7% drop from 2023 and a 46% cut from the 2016 baseline.

Mastercard’s Scope 1 and Scope 2 emissions made up about 10% of the total. The other 90% came from Scope 3 indirect emissions throughout its value chain. The company has cut emissions in several categories. It is also on track to meet interim targets approved by the Science-Based Targets initiative.

Mastercard’s environmental strategy focuses on cutting operational emissions. It also aims for 100% renewable energy in its offices and data centers. The company also uses tools and programs to help partners and consumers understand and reduce their own emissions.

These emissions figures help illustrate each company’s current footprint and progress. They provide concrete benchmarks as Visa and Mastercard work toward their long-term climate goals.

Visa’s Path to Net Zero

Visa has committed to reaching net-zero emissions by 2040. This target aligns with the Science-Based Targets initiative (SBTi) and a 1.5°C climate pathway.

Visa achieved operational carbon neutrality in 2020. It maintains this status by using 100% renewable electricity across its global offices and data centers. This covers Scope 1 and Scope 2 emissions, as well as parts of Scope 3, such as business travel and employee commuting.

Visa also works to include sustainability in its products. It offers tools that help partners track the carbon footprint of transactions. The company supports initiatives related to greener transport and digital efficiency.

Visa’s approach focuses on reducing its own operational impact while enabling partners and customers to make more informed choices.

Mastercard’s Climate Playbook

Mastercard has also committed to net-zero emissions by 2040. Its target covers the entire value chain, including Scope 1, Scope 2, and Scope 3 emissions.

As of 2024, Mastercard reported a 46% reduction in greenhouse gas emissions from its 2016 baseline. Like Visa, Mastercard uses 100% renewable electricity for its operations.

One of Mastercard’s most visible initiatives is the Priceless Planet Coalition. The program aims to restore 100 million trees by 2025. As of 2024, the coalition had supported the planting of about 26 million trees.

Mastercard also provides tools that help consumers understand the carbon impact of their purchases. The company integrates sustainability standards into its supplier and partner programs.

Side-by-Side: How Their Climate Strategies Compare

Both companies share several similarities in their climate strategies. Each uses renewable electricity and has committed to long-term net-zero targets. Both also work with partners to extend sustainability beyond their own operations.

There are also differences in focus. Visa emphasizes operational neutrality and payment-based tools that support sustainable choices. Mastercard places more emphasis on measurable emissions reductions and large-scale environmental programs, such as reforestation.

Mastercard’s 46% emissions reduction since 2016 provides a clear progress metric. Visa’s early move to carbon neutrality in 2020 shows leadership in operational emissions.

Neither company directly controls most consumer emissions linked to card use. However, both aim to influence behavior through data, tools, and partnerships.

Looking Ahead: Profits, Payments, and Climate Pressure

Visa and Mastercard remain financially strong. Rising digital payments, global travel, and cross-border commerce continue to support earnings growth. Recent results show that both companies are well-positioned for the years ahead.

At the same time, sustainability expectations continue to rise. Regulators, investors, and consumers want clearer climate action from large financial companies. Both Visa and Mastercard have responded with net-zero commitments and measurable steps.

Challenges remain. Most emissions linked to payments sit outside direct operations. Reducing value-chain emissions will require broader collaboration with banks, merchants, and consumers.

Still, both companies have made climate strategy a core part of their long-term plans. Their progress shows how financial performance and sustainability goals are increasingly linked in the global payments industry.

• READ MORE: Visa vs. Mastercard: Who’s Leading the Charge in Finance, Sustainability, and Net Zero?

The post Visa vs Mastercard: Strong Earnings Meet Rising Climate Pressure appeared first on Carbon Credits.

Europe positions itself as the global driver of the decarbonization agenda. Ambitious targets, regulatory reform and large-scale public funding define the direction. Yet behind the strategy, project pipelines narrow, execution slows down and many initiatives struggle to progress beyond early development. The gap between ambition and delivery continues to widen, making execution-level insight increasingly relevant.

At DECARBON 2026, this perspective takes center stage through insights shared by Marek Drywa, Senior Director Business Development at Worley. His presentation, “Decarbonisation agenda in Europe: market and project observations from the engineering contractor’s perspective,” examines how Europe’s decarbonization efforts perform when viewed from inside active projects.

Drawing on recent European project experience, Worley observes a slowdown since spring 2024 in both the volume and progression of decarbonization projects entering execution. While regulatory frameworks and public funding remain in place, fewer initiatives advance beyond planning into sustained implementation.

At the execution stage, delivery is increasingly shaped by technical complexity, operational constraints and coordination across stakeholders. Engineering timelines, asset readiness and integration challenges now play a more decisive role than strategic intent in determining project outcomes.

Practical perspectives from DECARBON 2026 build on hands-on experience across hydrogen, CCUS, energy storage, pipeline safety and low-carbon fuels. Speakers from LiveEO, SLB, Gasunie and ORLEN reflect on concrete challenges encountered across different segments of the value chain.

Taken together, these contributions highlight recurring structural constraints as well as effective approaches already being applied in practice. The discussion offers a realistic view of what currently supports progress in European decarbonization projects and where delivery continues to stall.

Join the discussion to gain practical insight into Europe’s decarbonization agenda and the realities of turning commitments into executed projects: https://sh.bgs.group/3py

The post From Ambition to Execution: How Europe’s Decarbonisation Agenda Performs on the Project Level appeared first on Carbon Credits.