Petrobras Q2 Profit Nearly Doubles to BRL 52.4 Billion as Brent Averages USD 104.52

Petrobras reported net income of BRL 52.4 billion, or USD 10.4 billion, for the second quarter of 2026, up 96.8% year on year, after Brent averaged USD 104.52 a barrel against USD 67.82 in the same quarter of 2025. The result beat the BRL 44.69 billion analysts had projected.

The crude benchmark rose 54% between the two periods. Oil prices jumped after the start of the war between the United States and Iran on February 28, with effects on traffic through the Strait of Hormuz, one of the main global oil routes.

Sales revenue reached BRL 169.53 billion, up 42.3% year on year and above the LSEG projection of BRL 160.4 billion. Adjusted EBITDA came in at BRL 93.8 billion, a rise of 79.6% against the second quarter of 2025, versus an LSEG estimate of BRL 90.1 billion. Stripping out exclusive events, EBITDA would have reached BRL 100.6 billion.

Volume did as much work as price. Oil output hit a record 2.7 million barrels per day, and total commercial production averaged 2.927 million barrels of oil equivalent per day. The company credited system ramp-up, the start of operations at the P-79 platform in the pre-salt, and efficiency gains for a 3.4% increase in total production.

Refinery utilisation reached 101.2% of capacity. That run rate delivered 509,000 barrels per day of S10 diesel and 109,000 of jet fuel. Derivatives output rose to 1.9 million barrels per day, 5.6% above the first quarter, with 68% concentrated in higher-value products including diesel, jet fuel and gasoline.

Heavier domestic processing cut import needs by 40% against the previous quarter. Exports climbed the other way: sales of crude, fuel oil and derivatives abroad rose 40.8% between April and June, with a large share of those volumes directed to European countries and India, and reached close to one million barrels per day.

"The increase in oil and derivatives production volume, combined with higher Brent, strengthened our cash generation," said Fernando Melgarejo, chief financial and investor relations officer, in the company's report. Melgarejo said the quarter's operational records produced one of the largest quarterly financial results in the company's historical series.

Operating cash flow reached BRL 61.8 billion, up 46% over twelve months, while free cash flow doubled to BRL 38.6 billion, an advance of 100.6%. Working capital cut BRL 15.8 billion from operating cash flow, including BRL 9.7 billion tied to the fuel subsidy programme and BRL 3.9 billion from a reduction in accounts payable.

The segment split shows where the margin sat. Exploration and production posted net income of BRL 41.592 billion, up 85.2% year on year. Refining swung hardest, with net income of BRL 9.669 billion, a 705% increase, while gas and low-carbon energy earned BRL 957 million, up 89.9%.

Tax took a visible cut. Petrobras paid BRL 4.87 billion in the quarter under the crude and diesel export tax created by the federal government, and booked BRL 812 million in impairment losses. Excluding exclusive events, net income would have been BRL 55.8 billion, up 140.5%. Total tributes paid to the federal government, states and municipalities between April and June came to BRL 88.6 billion.

Capital spending totalled BRL 26.7 billion, or USD 5.3 billion, in the quarter, with 82% going to exploration and production. Half-year investment reached USD 10.405 billion, roughly BRL 53.2 billion, up 22.5% year on year. Construction of the P-80, P-82 and P-83 units stood out among the quarter's outlays, with operations scheduled to begin in 2027.

Gross debt closed the half at USD 70.8 billion, down 0.6% from the end of March, with average maturity extended from 11.3 to 11.9 years and average cost steady at 6.8% a year. First-half net income rose 37.6% to BRL 85.108 billion on revenue of BRL 293.216 billion.

The board approved BRL 17.4 billion in shareholder remuneration, equal to BRL 1.34814262 per outstanding common and preferred share. Payment, an anticipation of distributions planned for the 2026 financial year, will be made in two instalments, in November and December.