The energy sector is a great source of high-yield dividend stocks. It is also a place where investors can find dividend growth, in addition to high dividend yields.

For example, there are 51 Dividend Aristocrats—these are companies with 25+ consecutive years of dividend increases.

The two biggest U.S. oil stocks, Exxon Mobil Corporation (XOM) and Chevron Corporation (CVX), are both Dividend Aristocrats.

They have raised their dividends for 35 and 29 years in a row, respectively.

Meanwhile, Phillips 66 (PSX) is not a Dividend Aristocrat, as it has only paid a dividend since 2012, when it was spun off from ConocoPhillips (COP).

But in that time, Phillips 66 has raised its dividend six times. With four more increases, it will become a Dividend Achiever, a group of 265 stocks with 10+ years of consecutive dividend increases.

Exxon Mobil, Chevron, and Phillips 66 all announced first-quarter earnings on Friday, April 28th, and all three turned in very strong quarters.

Quarterly Business Overview

First up were the integrated giants, Exxon Mobil and Chevron.

A rundown of Exxon Mobil’s earnings report is as follows:

  • Revenue: $63.3 billion (up 30% year-over-year)
  • Earnings-per-share: $0.95 (up 121% year-over-year)
  • In terms of analyst expectations, the results were mixed. Exxon Mobil easily surpassed estimates for earnings-per-share, by $0.10.

    But revenue came up short of expectations by about $1.4 billion.

    Still, Exxon Mobil posted strong year-over-year growth.

    XOM Earnings

    Source: Earnings Presentation, page 7

    The company clearly benefited from higher oil prices, which is no surprise since Exxon Mobil is the largest publicly-traded energy company in the world.

    Separately, Exxon Mobil continued to cut costs. Capital expenditures were cut by 19%, or nearly $1 billion in dollar terms.

    Now, for Chevron’s first-quarter results:

  • Revenue: $33.4 billion (up 42% year-over-year)
  • Earnings-per-share: $1.41
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