Petrobras (PETR4) Q3 2024 earnings summary

Executive summary

• Achieved record 2P production of 3 billion barrels and recurring EBITDA of $11.6B with net income of $5.9B in 3Q24, supported by strong operational performance and early start-up of new FPSOs, including Maria Quitéria and Marechal Duque de Caxias.

• Maintained high refinery utilization rates, reaching 95% in Q3 and record pre-salt oil processing, with best-ever greenhouse gas emissions levels in refining.

• Strategic focus on revitalizing mature basins, expanding exploration in Brazil and abroad, and advancing energy transition initiatives.

• Significant gas discovery in Colombia and acquisition of a 10% stake in a South African block.

• Investments totaled $4.5B in 3Q24, a 31% increase sequentially, with $10.9B invested in the first nine months of 2024.

Financial highlights

• Recurring EBITDA reached $11.6B; recurring net income was $5.9B for 3Q24.

• Free cash flow totaled $6.9B, and operating cash flow was $11.3B, up 24% quarter-on-quarter.

• Gross debt stood at $59.1B, the lowest since 2008; net debt at $44.3B.

• Paid R$64.4B in taxes and approved R$17.1B in dividends and interest on capital.

• Sales revenues were $23.4B in 3Q24, down 0.4% sequentially and 8.6% year-over-year.

Outlook and guidance

• Investments for 2024 expected to reach $10.9B, with no major changes in maturity profile.

• Strategic plan includes $7.5B for exploration (2024-2028), with $3.1B for the Equatorial Margin and $1.3B for international projects.

• Anticipates robust production growth with new platforms and revitalization projects, especially in Campos and Búzios basins.

• Continued focus on capital discipline, cash optimization, and liability management.

• Extraordinary dividend decisions will align with strategic plan approval, expected by November 21.