Chemical reactions proceed with conservation of mass and energy. Bonds are broken in reactants, and different bonds are formed in products. If the energy required for bond-breaking is different to the energy released in bond-breaking, energy will be transferred to or from the surroundings as heat.
Processes that release heat energy to their surroundings are said to be
exothermic.
Because energy is conserved in all reactions, the
products must be of
lower energy than the reactants.
As shown below, formation of H
2O(
g) from its elements is exothermic.
high energy
 low energy | heat released to surroundings | 2H2(g) + O2(g)
  H2O(g) | heat absorbed from surroundings |
Processes that absorb heat energy from the surroundings are said to be
endothermic.
Because energy is conserved in all reactions, the
products must be of
higher energy than the reactants.
As shown above: 2H
2O(g)

2H
2(g) + O
2(g) is endothermic.
The
reverse of an
exothermic reaction is
endothermic.
As shown above:
Bond breaking (F-F

2F) is endothermic.
Bond formation (2F

F-F) is exothermic.
high energy
 low energy | heat released to surroundings | 2F(g)
  F2(g) | heat absorbed from surroundings |