Kathmandu. While ordinary families around the world are paying the price for the US-Israeli war in Iran, some companies are making huge profits. The conflict and the uncertainty created by Iran’s closure of the Strait of Hormuz are making daily necessities more expensive. This is affecting the budgets of individual companies, families and governments around the world.
Some have been marginalized, while others have made record profits. These are people whose core businesses make more profits in times of war and who benefit from volatile energy prices.
Oil and Gas
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The biggest economic impact of this war so far has been the massive increase in energy prices. The Strait of Hormuz, about a fifth of the world’s gas and oil supplies, has caused energy prices to fluctuate. This has benefited some of the world’s largest oil and gas companies.
European oil giants benefited the most. They have been able to take advantage of rapid price fluctuations and increase their profits.
BP’s net profit more than doubled to $3.2 billion in the first three months of the year. The company has described the performance of its business division as exceptional.
Oil company Shell has also exceeded analysts’ expectations in this regard. It reported an increase in its first-quarter profit. 6.92 billion U.S. dollars.
Another international giant, TotalEnergies, reported that its net profit jumped almost a third to $5.4 billion in Q1 2026.
U.S. giants Exxon Mobil and Chevron saw their earnings fall from the same period last year due to supply disruptions from the Middle East. But both companies have surpassed analysts’ estimates.
Their profits are expected to increase over the years. That’s because the price of oil is still significantly higher than when the Iran war began.
Large Banks
Some big banks have also seen profits rise during the Iran war. JPMorgan’s business arm generated a record $11.6 billion in revenue in the first quarter of 2026. This is the second highest profit of the bank in any quarter.
The Big Six banks, including Bank of America, Morgan Stanley, Citigroup, Goldman Sachs, Wells Fargo and JP Morgan, have all reported significant increases in net profit in the first quarter of the year.
In total, the banks earned a profit of Rs 47.7 billion in the first three months of 2026.
“Investment banks, particularly Morgan Stanley and Goldman Sachs, have benefited from strong volume,” said Susanna Streeter, chief investment strategist at Wealth Club. ’
On Wall Street (New York Stock Exchange), big lenders have benefited from a sudden surge in trading. Investors are selling risky stocks and bonds and moving their money into assets considered safe.
Trading volumes have also increased as investors seek to take advantage of financial market volatility. “The instability caused by the war has led to a sudden increase in trade,” Streeter said. Some investors sold their stocks, fearing a rise, while others bought stocks when prices fell, which fueled a market resurgence. ’
Defence Companies
According to Emily Savitch, senior analyst at RSMUK (market advisory firm), the defence sector benefits the most from any war. “The conflict has exposed deficiencies in air defense capabilities, leading to a rapid increase in investment in missile defense, anti-drone technology and military equipment across Europe and the United States,” she said. ’
In addition to highlighting the importance of defense companies, the war has also created a need for governments to replenish their weapons stockpiles. This has increased the demand.
BAE Systems, which makes F-35 fighter jet components and other components, said in a business update on Thursday that it expects strong sales and profits this year. ’
The company cited growing “security threats” globally. As a result, governments have increased defense spending and created a “conducive environment” for companies.
The world’s three largest defense contractors — Lockheed Martin, Boeing and Northrop Grumman — reported a record number of pending orders at the end of the first quarter of 2026. But the defense company’s stock, which had risen sharply in recent years, has fallen since mid-March.
Companies engaged in alternative energy sources{
According to Streeter, the conflict has affected the use of fossil fuels. It also highlights the need to diversify energy sources by reducing dependence on fossil fuels (oil and gas). “It has also led to a sharp increase in interest in renewable energy in the United States,” she said. ’
In the US, the Trump administration has popularized the slogan “Drill, baby, drill” to promote the increased use of fossil fuels. “Because of this war, investing in renewable energy is now seen as critical to sustainability and resilience,” Streeter said. ’
Companies that have benefited from the war include Florida-based NextEra Energy. So far this year, its share price has gained 17 percent. Investors are increasingly investing in its mission.
Danish wind energy giants Vestas and Österted also reported a significant increase in their profits. This shows how renewable energy companies are also benefiting from the Iran war.
Octopus Energy in the UK recently told the BBC that the war has led to a surge in sales of solar panels and heat pumps. Since the end of February, sales of solar panels have increased by 50 percent.
With the rise in petrol prices, the demand for electric vehicles has also increased. Chinese companies are taking advantage of this opportunity. – Translated from BBC
