Exxon Mobil CEO Darren Woods attributed the oil big’s Road-beating earnings report back to its “determination to lean into the enterprise” whereas “most of our friends have been leaning out of the trade.”

Talking to CNBC on Friday, the CEO of Exxon Mobil (NYSE:XOM) defined that the corporate had invested in extra manufacturing over the previous few years, whereas lots of its rivals centered on returning extra money to shareholders. Now that oil costs have climbed lately, the corporate is benefiting from the added capability.

“What we’re seeing right now is that further manufacturing that we invested in 5 years in the past and since then, that we’re able to convey extra product to market,” he stated.

Early Friday, Exxon Mobil (XOM) introduced a Q2 revenue that breezed by expectations, as the corporate practically quadrupled its backside line from final yr and introduced its biggest-ever quarterly earnings determine of $17.85B. Income surged 71% to $115.7B.

In response to the earnings information, the corporate’s inventory value climbed 4% in early buying and selling to succeed in $96.61, reaching its highest mark in additional than a month. Nonetheless, shares stay off a 52-week excessive of $105.57 set within the first half of June.

Commenting on the outcomes, Woods stated that many oil corporations “chase the cycle” by rising manufacturing when costs are excessive and chopping again when costs are low. He burdened that its technique “to take a position counter-cyclically” in the previous few years is “paying its dividends now.”

Trying forward, Woods reported that he expects continued “modest development” in international power demand, even amid considerations of a attainable recession. He added that even with out this enlargement, the market stays “tight” due to the restricted provides out there.

For extra on XOM and the function of macro components in its enterprise, see why Searching for Alpha contributor Bohdan Kucheriavyi says the corporate “may revenue from Russia’s demise.”