v3.25.4
Other Financial Information
12 Months Ended
Dec. 31, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Other Financial Information
Other Financial Information
Earnings in 2025 included after-tax gains of approximately $400 relating to the sale of certain properties. Of this amount, approximately $360 and $40 related to upstream and downstream, respectively. Earnings in 2024 included after-tax gains of approximately $246 relating to the sale of certain properties, of which approximately $231 and $15 related to upstream and downstream assets, respectively. Earnings in 2023 included after-tax gains of approximately $143 relating to the sale of certain properties, of which approximately $110 and $33 related to upstream and downstream assets, respectively.
Earnings in 2025 included after-tax charges of approximately $355 for Hess severance and transition costs ($245 in U.S. Upstream, $70 in International Upstream, $40 in All Other), $300 for legal reserves ($170 in U.S. Downstream, $130 in U.S. Upstream) and $223 for pension settlement and curtailment costs. Earnings in 2024 included after-tax charges of approximately $715 for severance ($208 in All Other, $188 in U.S. Downstream, $183 in U.S. Upstream, $119 in International Upstream, $17 in International Downstream) and $400 for impairments ($185 in International Downstream, $125 in International Upstream, $90 in U.S. Downstream). Earnings in 2023 included after-tax charges of approximately $1,950 for decommissioning obligations from previously divested oil and gas production assets in the U.S. Upstream Gulf of America, $1,765 for U.S. Upstream impairments, mainly in California, and several tax items with a net benefit of $655 in International Upstream.
Other financial information is as follows:
Year ended December 31
202520242023
Total financing interest and debt costs$1,392 $773 $617 
Less: Capitalized interest175 179 148 
Interest and debt expense$1,217 $594 $469 
Research and development expenses$427 $353 $320 
Excess of replacement cost over the carrying value of inventories (LIFO method)
$4,808 $5,997 $6,455 
LIFO profits (losses) on inventory drawdowns included in earnings$(38)$(111)$14 
Foreign currency effects*
$(469)$520 $(224)
* Includes $(3), $45 and $(11) in 2025, 2024 and 2023, respectively, for the company’s share of equity affiliates’ foreign currency effects.
The company has $4,568 in goodwill on the Consolidated Balance Sheet, of which $4,216 is in the upstream segment primarily related to the 2005 acquisition of Unocal and $352 is in the downstream segment related to the 2022 acquisition of Renewable Energy Group, Inc. The company tested this goodwill for impairment during 2025, and no impairment was required.