ECOPETROL S.A. (EC): Financial results for H1 2026
ECOPETROL S.A. (EC) furnished an SEC Form 6-K — earnings release. The Ecopetrol Group’s first-half 2026 results demonstrate the strength of our integrated business model and the operational excellence of our businesses, enabling us to respond effectively and with agility to evolving market dynamics. The quarter was marked by record performance
How this was made
The 30-second read
Why it matters
The earnings beat and strong cash flow are likely to attract buying interest, while debt levels warrant monitoring.
Market read
First report of material earnings data for a major Latin American energy company, offering actionable insight for traders.
What to watch
Potential operational constraints in domestic fields and external disruptions may limit future growth.
First-half EBITDA reached COP 31.1 trillion and net income reached COP 9.0 trillion, supported by record refinery throughput, higher transportation volumes, and a favorable pricing environment.
H1 2026 total sales increased 13%, EBITDA increased 28%, and net income increased 81% versus 6M 2025. Second-quarter EBITDA rose 59% and net income rose 235% year-over-year, led by record Refining performance, although production declined 6.6%.
Key metrics
as reported| Metric | Value | q/q | y/y |
|---|---|---|---|
| Total salesother | COP 68,823 billion | – | 13% |
| EBITDAother | COP 31,133 billion | – | 28% |
| EBITDA Marginother | 45.2% | – | 5.2% |
| Net Incomeother | COP 8,951 billion | – | 81% |
| Total Salesother | 941.5 Kbp/kboed | – | (3.1%) |
| Productionother | 715.5 Kbp/kboed | – | (4.7%) |
| Crude Oil productionother | 569.4 Kbp/kboed | – | (2.4%) |
| Gas and Liquid productionother | 146.0 Kbp/kboed | – | (12.6%) |
| Refineries Throughputother | 428.1 Kbp/kboed | – | 5.8% |
| Transported Volumeother | 1,124 Kbp/kboed | – | 3.3% |
| Organic investmentsother | COP 10.9 trillion (USD 2,985 million) | – | – |
| Total salesother | COP 40,198 billion | – | 35% |
| EBITDAother | COP 17,675 billion | – | 59% |
| EBITDA Marginother | 44.0% | – | 6.5% |
| Net Incomeother | COP 6,064 billion | – | 235% |
| Productionother | 705.8 Kbp/kboed | – | (6.6%) |
| Refineries Throughputother | 438.5 Kbp/kboed | – | 6.1% |
| Transported Volumeother | 1,125 Kbp/kboed | – | 3.8% |
| Gross refining marginother | USD 29.8/bbl | – | – |
| Refining EBITDAother | COP 3.1 trillion | – | – |
| Brentother | USD 88 | – | 24% |
| Brent COPother | COP 320 | – | 8% |
At quarter-end outlook
- NoteThe FEPC receivable balance is expected to remain within a range of approximately COP 8 trillion to COP 12 trillion.
Capital returns
- Distributed a total of COP 5.0 trillion in dividends during the period.
- Completed the outstanding dividend payment to our major shareholder.
What drove it
- Record refinery throughput, higher transportation volumes, and a favorable pricing environment supported first-half results.
- The Refining segment optimized maintenance schedules and maximized refinery availability, allowing it to capture a highly favorable margin environment.
- Trading operations in Houston and Singapore contributed positively to financial performance and strengthened the positioning of crude oil and refined products in international markets.
- Organic investments totaled COP 10.9 trillion (USD 2,985 million), allocated 71% to Colombia and 29% to international operations.
- ISA and its subsidiaries in Brazil secured new power transmission awards totaling USD 428 million and brought additional projects into operation.
Concerns
- Production was affected by lower international output in the Permian Basin, planned activity levels, and the natural decline of mature fields.
- Expected domestic crude oil production growth was delayed by external factors and power supply disruptions.
- The company cited increased competition following the return of Venezuelan crude supplies to international markets.
- First-half results absorbed a higher tax burden and a less favorable foreign exchange environment.
What to watch
- Production recovery from CPO-9, Caño Sur, Rubiales, Castilla, and Chichimene.
- The FEPC receivable balance, which is expected to remain within a range of approximately COP 8 trillion to COP 12 trillion.
- Whether refinery availability and favorable refining margins continue following record throughput of 438.5 Kbp/kboed in 2Q 2026.
- Execution of initiatives to expand natural gas supply, energy efficiency, self-generation, renewable energy capabilities, and water resource management.
Balance sheet and cash flow
- Cash and cash equivalents totaling COP 11.3 trillion as of the end of the second quarter.
- As of June 2026, Ecopetrol Group reported a consolidated cash position of COP 11 trillion.
- Gross Debt-to-EBITDA ratio of 2.0x (-0.2x vs. 2Q25).
- Collected COP 1.0 trillion corresponding to the Fuel Price Stabilization Fund (FEPC) balance from 2Q25.
- The FEPC receivable balance reached COP 8.0 trillion at quarter-end.
- Main sources of liquidity were cash generated from operations, collections related to the FEPC, and the redemption of investment portfolio securities.
- Primary cash outflows were dividend payments, CAPEX disbursements, and debt interest payments.
Analysis
Ecopetrol reported strong first-half 2026 financial performance. Total sales were COP 68,823 billion, up 13% versus COP 61,035 billion in 6M 2025. EBITDA was COP 31,133 billion, up 28%, while the EBITDA margin was 45.2% versus 40.0%. Net income was COP 8,951 billion, up 81% versus COP 4,938 billion in 6M 2025. The company stated that first-half net income matched the total net income generated in 2025.
The second quarter supplied substantial momentum. Total sales reached COP 40,198 billion, up 35%, EBITDA reached COP 17,675 billion, up 59%, and EBITDA margin expanded to 44.0% from 37.5%. Net income rose 235% to COP 6,064 billion. The release attributes the performance to commercial execution, operational flexibility, disciplined financial management, higher transportation volumes, record refinery throughput, and a favorable pricing environment.
Refining was the key operating contributor. Refinery throughput reached an all-time high of 438.5 Kbp/kboed in 2Q 2026, up 6.1% year-over-year, and gross refining margin reached USD 29.8/bbl. Refining EBITDA reached COP 3.1 trillion. Management linked this result to optimized maintenance schedules and maximized refinery availability. Transported volume also increased 3.8% to 1,125 Kbp/kboed, while total sales volume declined 0.8% to 979.1 Kbp/kboed.
Production remains the principal operational constraint. Second-quarter production was 705.8 Kbp/kboed, down 6.6%, and first-half production was 715.5 Kbp/kboed, down 4.7%. The company cited lower Permian Basin output, planned activity levels, mature-field declines, external disruptions, and power supply disruptions that delayed expected domestic crude growth. Gas and Liquid production declined 12.6% in the first half, compared with a 2.4% decline in Crude Oil production.
Capital allocation and liquidity were meaningful features of the period. Organic investments totaled COP 10.9 trillion (USD 2,985 million), with 71% allocated to Colombia and 29% to international operations. The company distributed COP 5.0 trillion in dividends, collected COP 1.0 trillion related to the FEPC balance from 2Q25, and reported a FEPC receivable balance of COP 8.0 trillion at quarter-end. Cash and cash equivalents totaled COP 11.3 trillion at the end of the second quarter, while the reported Gross Debt-to-EBITDA ratio was 2.0x.
The filing did not provide quantified financial operating guidance. Its forward-looking disclosure specifies that the FEPC receivable balance is expected to remain within a range of approximately COP 8 trillion to COP 12 trillion, and management stated that it remains on track to achieve annual objectives. Attention remains on production recovery, the durability of refining margins and refinery availability, the FEPC balance, and the effect of Venezuelan crude supply competition.
Management, verbatim
The quarter was marked by record performance in the Refining segment, which successfully captured exceptionally favorable market conditions and delivered historic operational and financial results.
Juan Carlos Hurtado Parra, Acting Chief Executive Officer, Ecopetrol S.A.
As of the end of the first half of 2026, we remain firmly on track to achieve our annual objectives.
Juan Carlos Hurtado Parra, Acting Chief Executive Officer, Ecopetrol S.A.
Not in the filing
stated, not guessed- Period-end date
- Accounting basis, including whether results are IFRS
- Gross profit and gross margin
- Operating income
- Operating expenses
- Earnings per share
- Non-GAAP measures other than EBITDA and EBITDA margin
- Operating cash flow
- Free cash flow
- Total debt amount
- Segment revenue for Refining, Transmission and Roads, and Energy Transition
- Quantified annual revenue guidance
- Quantified annual EBITDA or margin guidance
- Quantified production guidance
- Quantified CAPEX guidance
- Previous-release outlook for comparison
AlphAI analysis generated from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was cross-checked against the filing text; consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.
Background
Ecopetrol's H1 2026 earnings release filed via SEC Form 6‑K, providing first public disclosure of the results.
Ticker impact
Ecopetrol released its H1 2026 earnings with record refinery throughput, 35% revenue growth and 235% net income increase.
Potential short-term price rally on the earnings beat.
The earnings beat is a primary disclosure with material financial improvements, likely to move the stock immediately.
Market effects
Highlights strength in Latin American oil & gas sector, may boost peers with similar exposure.
Positive for Colombian market and regional energy stocks.
Adds to global oil supply narrative but limited impact on broader markets.
Counterpoint
Higher debt ratio and exposure to volatile commodity prices could pose downside risks.
Key entities
- companyEcopetrol S.A.
Colombian integrated oil and gas producer.
- executiveJuan Carlos Hurtado Parra
Acting CEO of Ecopetrol.
