PETROBRAS - PETROLEO BRASILEIRO SA (PBR): Financial results for Q3 2026
PETROBRAS - PETROLEO BRASILEIRO SA (PBR) furnished an SEC Form 6-K — earnings release. Yes _______ No___X____ FPSO Almirante Tamandaré Production record of 263 mbpd in July 2026FINANCIAL PERFORMANCE — 3Q262 Table of contentsTable of contentsHighlights - 3Q26 ................................................................................................. 4 Main ite
Facts are quoted from the filing text and checked against it. Details that could not be matched to the text are left out.
How this was made
The 30-second read
Why it matters
The earnings beat and updated production guidance provide a fresh catalyst, likely prompting short‑term buying interest.
Market read
First‑report earnings with strong results and updated guidance for a major oil producer, offering a clear trading signal.
What to watch
Potential regulatory or fiscal changes in Brazil could affect future cash flows despite current strength.
Petrobras reports record 3Q26 production and diesel output; Adjusted EBITDA excluding one-off events US$ 18,394 million, up 53.9% year on year but down 7.8% from 2Q26; production and Capex and operating cash flow guidance revised
Record production and refinery utilization of 99%, free cash flow of US$ 6,618 million (up 33.2% year on year) and net debt down 4.2% quarter on quarter support the read. Against that, GAAP net income attributable to shareholders fell 25.8% from 2Q26, one-off events reduced reported results by US$ 2,387 million in the quarter, and 2026 Capex guidance was raised.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Sales revenues, 3Q26GAAP | $32.96B | (1.9)% | 40.4% |
| Sales revenues, 9M26GAAP | $90.10B | – | 37.4% |
| Gross profit, 3Q26GAAP | $17.69B | (9.2)% | 57.7% |
| Gross profit, 9M26GAAP | $48.52B | – | 53.5% |
| Operating expenses, 3Q26GAAP | −$6.18B | 17.9% | 90.7% |
| Operating expenses, 9M26GAAP | −$14.91B | – | 35.4% |
| Cost of sales, 3Q26GAAP | −$15.27B | 8.2% | 24.6% |
| Cost of sales, 9M26GAAP | −$41.58B | – | 22.4% |
| Selling expenses, 3Q26GAAP | −$1.80B | 2.9% | 32.1% |
| General and administrative expenses, 3Q26GAAP | −$513M | (7.7)% | 2.4% |
| Exploration costs, 3Q26GAAP | −$208M | 105.9% | (16.1)% |
| Research and development expenses, 3Q26GAAP | −$306M | 3.4% | 31.3% |
| Other taxes (operating expense), 3Q26GAAP | −$752M | (36.5)% | 404.7% |
| Other income and expenses, net, 3Q26GAAP | −$2.60B | 130.2% | 151.1% |
| Impairment (losses) reversals, net, 3Q26GAAP | − | – | – |
| Operating income, 3Q26GAAP | $11.51B | – | – |
| Operating income, 9M26GAAP | $33.61B | – | – |
| Net finance income (expense), 3Q26GAAP | −$592M | 105.6% | – |
| Income taxes, 3Q26GAAP | −$3.24B | (10.7)% | 45.3% |
| Income taxes, 9M26GAAP | −$9.98B | – | 42.6% |
| Net income, 3Q26GAAP | $7.75B | (25.8)% | 28.0% |
| Net income, 9M26GAAP | $24.40B | – | 45.2% |
| Net income attributable to shareholders of Petrobras, 3Q26GAAP | $7.74B | (25.8)% | 28.4% |
| Net income attributable to shareholders of Petrobras, 9M26GAAP | $24.37B | – | 45.6% |
| One-off events, net, 3Q26non-GAAP | −$2.39B | 135.2% | – |
| Net income excluding one-off events, 3Q26non-GAAP | $9.32B | (15.9)% | 77.2% |
| Net income excluding one-off events, 9M26non-GAAP | $24.96B | – | 85.8% |
| Net income excluding one-off events attributable to shareholders of Petrobras, 3Q26non-GAAP | $9.32B | (15.9)% | 78.0% |
| Net income excluding one-off events attributable to shareholders of Petrobras, 9M26non-GAAP | $24.92B | – | 86.5% |
| Adjusted EBITDA, 3Q26non-GAAP | $16.70B | (10.3)% | 42.4% |
| Adjusted EBITDA, 9M26non-GAAP | $46.67B | – | 48.5% |
| Adjusted EBITDA excluding one-off events, 3Q26non-GAAP | $18.39B | (7.8)% | 53.9% |
| Adjusted EBITDA excluding one-off events, 9M26non-GAAP | $50.09B | – | 52.5% |
| Adjusted EBITDA margin, 3Q26non-GAAP | 51% | (4.0) p.p. | 1.0 p.p. |
| Adjusted EBITDA margin, 9M26non-GAAP | 52% | – | 4.0 p.p. |
| Net cash provided by operating activities, 3Q26GAAP | $12.03B | (1.8)% | 22.0% |
| Net cash provided by operating activities, 9M26GAAP | $32.67B | – | 26.2% |
| Free cash flow, 3Q26non-GAAP | $6.62B | (13.6)% | 33.2% |
| Free cash flow, 9M26non-GAAP | $18.13B | – | 40.0% |
| Total Capex, 3Q26other | $6.42B | 21.2% | 16.6% |
| Total Capex, 9M26other | $16.83B | – | 20.2% |
| Gross debt, 09.30.2026non-GAAP | $69.97B | (1.2)% | (1.0)% |
| Net debt, 09.30.2026non-GAAP | $57.85B | (4.2)% | (2.0)% |
| Net debt/LTM Adjusted EBITDA ratio, 09.30.2026non-GAAP | 1.00 | (12.3)% | (34.6)% |
| Brent crude, 3Q26other | US$ 97.00/bbl | (7.2)% | 40.4% |
| Price of basic oil products, Domestic Market, 3Q26other | US$ 113.06/bbl | (1.3)% | 33.7% |
| Average commercial selling rate for U.S. dollar, 3Q26other | 5.14 | 1.8% | (5.7)% |
| ROCE (Return on Capital Employed), 3Q26non-GAAP | 10.5% | 1.2 p.p. | 4.8 p.p. |
| Lifting cost Brazil (E&P), 3Q26other | US$ 6.12/boe | (3.4)% | (2.8)% |
| Refining cost, Brazil (RTM), 3Q26other | US$ 3.48/barrel | 9.4% | 17.2% |
| Average oil, NGL and natural gas production, 3Q26other | 3.512 MMboed (record, as stated) | – | – |
| Diesel production, 3Q26other | 769 mbpd (record, as stated) | – | – |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| Exploration and Production (E&P)Company: gross profit decrease of 24.7% versus 2Q26 was mainly driven by lower prices, partially offset by increased production. Segment gross profit US$ 10,119 million; operating income US$ 9,157 million; segment Adjusted EBITDA US$ 12,686 million. | $19.05B | (16.4)% | 21.0% |
| Refining, Transportation and Marketing (RTM)Company: gross profit of US$ 7,620 million reflects higher domestic sales volumes, higher revenues from fuel oil exports and a higher margin on crude oil exports. Excluding inventory turnover effect of -US$ 0.7 billion (3Q26) versus +US$ 1.7 billion (2Q26), company states gross profit would have been US$ 8.3 billion and US$ 3.5 billion. Refining cost per barrel 9.4% higher, which company attributes to personnel expenses from the Collective Bargaining Agreement and maintenance services and materials. | $31.61B | (2.3)% | 43.1% |
| Gas and Low Carbon Energies (G&LCE)Company: gross profit increase of 8.2% versus 2Q26 mainly due to higher fixed revenues from power auctions, as LRCAP contracts took effect since August. Operating loss of US$ (347) million; company links the decrease in operating income to expenses related to asset disposals and write-offs under the TAG sale agreement obligation. | $2.55B | 6.2% | 12.5% |
| Corporate and other businessesSegment revenue as printed in the segment table; no driver stated in the filing. | $113M | – | – |
| Product line: DieselCompany: 14.4% higher diesel sales versus 2Q26 contributed to the 6.4% rise in oil products sales. | $8.02B | 5.7% | 12.6% |
| Product line: Road-use diesel subsidy programNet revenue line as printed; the 3Q25 comparative is shown as a dash. Company notes accounts receivable increase includes amounts related to the fuel subsidy program. | $2.70B | 40.4% | – |
| Product line: GasolineNo driver stated in the filing. | $3.12B | 3.4% | 1.0% |
| Product line: Jet fuelNo driver stated in the filing. | $1.77B | (6.2)% | 59.6% |
| Product line: Crude oil (domestic market)No driver stated in the filing. | $1.14B | (16.3)% | 9.2% |
| Product line: Crude oil (exports)No driver stated in the filing. Company notes exports still in progress at end of quarter, with 140 mbpd expected to be accrued in 4Q26. | $8.38B | (19.3)% | 54.9% |
| Product line: Natural gasNo driver stated in the filing. | $918M | 2.1% | (9.9)% |
| Product line: ElectricityNo driver stated in the filing. | $301M | 9.9% | 26.5% |
| Subtotal oil productsCompany: oil products sales higher, particularly diesel. | $18.89B | 6.4% | 37.2% |
| Geography: Total domestic marketNo driver stated in the filing. | $21.70B | 4.9% | 32.6% |
| Geography: Total foreign marketNo driver stated in the filing. | $11.26B | (12.8)% | 58.3% |
FY2026 (guidance as revised in the 3Q26 release) outlook
- NoteAverage production: estimated between 3.3 and 3.4 million barrels per day; the filing states production guidance had pointed to 3.1 million barrels of oil equivalent per day in 2026
- NoteTotal Capex (Portfolio Under Implementation): US$ 24 billion to US$ 25.5 billion, revised from US$ 19.4 billion (+/- 5%)
- NoteCash Capex (Portfolio Under Implementation): US$ 21 billion to US$ 22 billion, revised from US$ 16.9 billion (+/- 5%)
- NoteOperating cash flow (Total Portfolio): US$ 45 billion to US$ 50 billion, revised from US$ 35 billion
- NoteLease payments (Total Portfolio): US$ 11 billion to US$ 11.5 billion, revised from US$ 10 billion
Capital returns
- Dividends paid to shareholders of Petrobras: US$ (1,569) million in 3Q26 (vs US$ (1,511) million in 2Q26 and US$ (2,030) million in 3Q25); US$ (5,311) million in 9M26 (vs US$ (6,618) million in 9M25).
- Company states it approved R$ 15.3 billion in shareholder remuneration related to 3Q26.
- Company states remuneration of shareholders used US$ 1.6 billion of 3Q26 cash generation.
- Dividends paid to non-controlling interests: US$ (15) million in 3Q26; US$ (23) million in 9M26.
What drove it
- Company: record average production of oil, NGL and natural gas at 3.512 MMboed and record diesel production at 769 mbpd in 3Q26.
- Company: refinery utilization rate averaged 99% in 3Q26 and domestic refined product sales reached a record 1,855 mbpd.
- Company: Adjusted EBITDA excluding one-off events fell 8% versus 2Q26, reflecting a 7% decline in Brent prices and lower oil volume accrued due to exports in progress at quarter end, partly offset by 6.4% higher oil products sales.
- Company: E&P lifting cost in Brazil of US$ 6.12/boe is the lowest since 3Q24; company attributes the decrease to cost optimization and higher production (up 5.3% versus 2Q26 and 11.7% versus 3Q25) plus a larger share of pre-salt production, which reached 85% of production in Brazil.
- Company: 9M26 lifting cost rose by an average of US$ 0.5/boe because of the appreciation of the Brazilian real against the U.S. dollar versus 9M25.
- Company: one-off events in 3Q26 include legal, administrative and arbitration losses of US$ (818) million, export tax on crude oil and diesel of US$ (867) million and results on disposal/write-offs of assets of US$ (710) million.
- Company: TAG sale agreement obligation led to write-off and disposal expenses; following ANP ruling in October 2026 for the 2026-2030 cycle, Petrobras estimated payment obligations of US$ 0.7 billion accrued under other operating expenses.
- Company: operating cash flow guidance raised to US$ 45 billion to US$ 50 billion, reflecting the new Brent price level and increased production of crude oil and oil products.
- Company: Capex guidance revision does not represent project capex overrun; it mainly reflects foreign exchange effects and better-than-planned project execution.
Concerns
- GAAP net income attributable to shareholders of US$ 7,740 million fell 25.8% from 2Q26, against US$ 9,316 million excluding one-off events (down 15.9%).
- One-off events reduced 3Q26 net income by US$ (2,387) million, with the largest components being other one-off events of US$ (1,691) million and the export tax on crude oil and diesel.
- Other income and expenses, net, was US$ (2,604) million in 3Q26 versus US$ (1,131) million in 2Q26, and other taxes were US$ (752) million versus US$ (1,184) million in 2Q26 (both as printed).
- Operating cash flow fell 1.8% from 2Q26 while working capital absorbed US$ 2.5 billion in 3Q26.
- Total Capex rose 21.2% from 2Q26 to US$ 6,424 million, and 2026 total Capex guidance was raised to US$ 24 billion to US$ 25.5 billion.
- Lease payments guidance was raised to US$ 11 billion to US$ 11.5 billion from US$ 10 billion.
- Refining cost per barrel rose 9.4% to US$ 3.48 in 3Q26, which the company attributes to personnel expenses from the Collective Bargaining Agreement and maintenance costs.
- Export volumes of 140 mbpd are expected to be accrued in 4Q26, per company, which bears on quarter-to-quarter volume comparisons.
- Operating loss in G&LCE of US$ (347) million in 3Q26 versus operating income of US$ 274 million in 2Q26.
What to watch
- Accrual of the 140 mbpd of exports expected in 4Q26, as stated by the company.
- Realization of 2026 production guidance of 3.3 to 3.4 million barrels per day against the previous 3.1 million barrels of oil equivalent per day.
- Execution of 2026 Capex of US$ 24 billion to US$ 25.5 billion total and US$ 21 billion to US$ 22 billion cash, including the expected nationalization of Búzios 9 and 10 FPSOs in 2026.
- Payment of signature bonuses related to ANP bid rounds, which the company expects in December 2026.
- Operating cash flow of US$ 45 billion to US$ 50 billion guidance for 2026 against 9M26 operating cash flow of US$ 32,675 million.
- Company forecast of a reduction in the transportation tariff following ANP regulatory decisions for the 2026-2030 tariff cycle.
- Recurrence of one-off events, including legal losses, export tax and disposal/write-off expenses.
- Reversal of the working capital build (receivables including fuel subsidy amounts and inventories) in future quarters.
Balance sheet and cash flow
- Cash and cash equivalents at 09.30.2026: US$ 6,865 million; adjusted cash and cash equivalents: US$ 12,123 million (vs US$ 11,658 million at 09.30.2025 as printed in the debt table).
- Gross debt at 09.30.2026: US$ 69,970 million, of which financial debt US$ 25,638 million and finance leases US$ 44,332 million.
- Net debt/(Net debt + Market Cap) leverage: 31% at 09.30.2026 vs 38% at 06.30.2026.
- Weighted average maturity of outstanding debt: 11.84 years (vs 11.92 years at 06.30.2026); average interest rate: 6.7% p.a. (vs 6.8%).
- Gross debt/LTM Adjusted EBITDA ratio: 1.21x (vs 1.34x at 06.30.2026).
- In 3Q26, company settled loans and financings totaling US$ 2.1 billion, including repurchase and redemption of US$ 1.2 billion in international bonds, and raised US$ 1.2 billion in the international banking market.
- Working capital effects reduced 3Q26 operating cash flow by US$ 2.5 billion: accounts receivable increase US$ 1.7 billion (including fuel subsidy program amounts) and inventories increase US$ 1.2 billion (company attributes inventory increase primarily to higher crude oil inventories linked to production growth and exports underway at quarter end), partly offset by US$ 0.4 billion positive change in trade payables.
- Use of 3Q26 cash as stated by company: investments US$ 5.4 billion; lease liability amortization US$ 2.7 billion; principal and interest amortization US$ 2.1 billion; shareholder remuneration US$ 1.6 billion.
- Total assets at 09.30.2026: US$ 256,030 million (12.31.2025: US$ 222,337 million). Shareholders' equity: US$ 97,595 million (12.31.2025: US$ 75,891 million).
- Income taxes paid: US$ (1,816) million in 3Q26; US$ (6,791) million in 9M26.
- Export tax on crude oil and diesel recorded as a one-off event: US$ (867) million in 3Q26 and US$ (1,954) million in 9M26.
Analysis
Petrobras reported 3Q26 under IFRS with record oil, NGL and natural gas production of 3.512 MMboed and record diesel production of 769 mbpd, and an average refinery utilization of 99%. Sales revenues were US$ 32,962 million, down 1.9% from 2Q26 and up 40.4% from 3Q25. Gross profit was US$ 17,691 million (down 9.2% quarter on quarter, up 57.7% year on year). Net income attributable to shareholders was US$ 7,740 million on a GAAP basis, down 25.8% from 2Q26, while net income excluding one-off events was US$ 9,316 million, down 15.9% from 2Q26 and up 78.0% from 3Q25.
Adjusted EBITDA was US$ 16,703 million, and US$ 18,394 million excluding one-off events (down 7.8% from 2Q26, up 53.9% from 3Q25). The company attributes the quarter on quarter decline to a 7% fall in Brent prices and to lower oil volume accrued because of exports still in progress at quarter end, with 140 mbpd expected to be accrued in 4Q26. It states these effects were partly offset by 6.4% higher oil products sales, including 14.4% higher diesel sales. One-off events reduced 3Q26 net income by US$ (2,387) million, including legal losses of US$ (818) million and an export tax on crude oil and diesel of US$ (867) million.
By segment, E&P gross profit fell 24.7% to US$ 10,119 million, which the company links mainly to lower prices, partly offset by production growth. RTM gross profit rose 47.0% to US$ 7,620 million, with the company citing higher domestic volumes, fuel oil export revenues and a higher margin on crude exports; the inventory turnover effect moved from +US$ 1.7 billion in 2Q26 to -US$ 0.7 billion in 3Q26. G&LCE posted an operating loss of US$ (347) million after expenses linked to the TAG sale agreement, although gross profit rose 8.2% on higher power auction revenues. RTM refining cost per barrel rose 9.4% to US$ 3.48, which the company links to the Collective Bargaining Agreement and maintenance.
Cash generation remained strong: operating cash flow was US$ 12,026 million and free cash flow US$ 6,618 million (up 33.2% year on year). Working capital absorbed US$ 2.5 billion, mainly receivables and inventories, and total Capex rose 21.2% quarter on quarter to US$ 6,424 million. Net debt fell 4.2% to US$ 57,847 million and the net debt to LTM Adjusted EBITDA ratio improved to 1.00 from 1.14. Shareholders' dividends paid were US$ (1,569) million in the quarter, and the company approved R$ 15.3 billion of shareholder remuneration related to 3Q26.
The guidance revisions are the main forward items. Production is now estimated at 3.3 to 3.4 million barrels per day against a prior 3.1 million barrels of oil equivalent per day. Total Capex is now US$ 24 billion to US$ 25.5 billion (from US$ 19.4 billion), operating cash flow US$ 45 billion to US$ 50 billion (from US$ 35 billion) and lease payments US$ 11 billion to US$ 11.5 billion (from US$ 10 billion). The company also notes a US$ 0.7 billion TAG payment obligation and a forecast reduction in the transportation tariff. The figures to watch are the 4Q26 accrual of exports, the scale of one-off charges, and whether working capital reverses.
Management, verbatim
In the third quarter of this year, once again we achieved record oil and gas production, taking our production curve to an unprecedented level. Our production guidance pointed to an average of 3.1 million barrels of oil equivalent per day in 2026, but we currently estimate an average between 3.3 and 3.4 million barrels per day.
Magda Chambriard, Chief Executive Officer
Our excellent operational performance this quarter led to a strong cash generation. These resources supported the investments that are accelerating the implementation of our projects and bringing new production on line as early as possible.
Fernando Melgarejo, Chief Financial and Investor Relations Officer
Not in the filing
stated, not guessed- No previous-period outlook was provided, so vs_prior_guidance is empty; the revised guidance is recorded in guidance.other from the filing's own text.
- No revenue, gross margin, operating expense or tax rate guidance is printed in the filing.
- Gross margin percentage is not printed for any period; not computed.
- Prior-year and prior-quarter changes for consolidated operating income are not printed.
- Prior-year change for one-off events (3Q26 X 3Q25) is shown as a dash in the filing and is not computed.
- Prior-year change for net finance income (expense) in 3Q26 is shown as a dash in the filing.
- Quarter and year to date changes for impairment reversals are shown as dashes for 3Q26 in the filing.
- Variation for 9M26 of the balance sheet items (gross debt, net debt) is not separately printed beyond the table variations shown.
- Earnings per share and share counts are not printed in the filing; no per-share metric is reported.
- Revenue changes for corporate and other businesses in 3Q25 and 9M25 are not printed in the segment table.
- Revenue and margin changes for the Road-use diesel subsidy program in 3Q25 are not applicable (dash in the filing).
- Consensus estimates, analyst expectations, price targets and share price reaction are not in the filing.
- Cash capex comparatives for 3Q25 and 9M25 are not printed as variations in the filing.
- Currency unit for the average commercial selling rate for U.S. dollar is not printed in the filing.
Written by an AI language model from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure is checked against the filing text, and a metric the filing does not print, or whose value, prior period and change do not add up, is dropped from the metrics. The model can still misread a table, in the metrics or in the text, so check a number in the filing before you rely on it. 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
Petrobras filed a Form 6‑K earnings release for Q3 2026, detailing financial performance and operational highlights.
Ticker impact
Petrobras released its Q3 2026 earnings with adjusted EBITDA up 54% YoY and updated production guidance to 3.3‑3.4 million boe/d.
likely upward pressure as the market prices in updated guidance and record production.
The earnings beat and updated guidance are fresh primary disclosures from a large-cap oil producer, providing a clear catalyst for price movement.
Market effects
Sets a positive tone for the global energy sector, supporting peers with similar exposure to oil prices.
Boosts sentiment for Latin American equities, especially Brazil's market.
Reinforces bullish outlook on oil markets amid geopolitical tensions.
Counterpoint
If oil prices reverse sharply, the higher guidance may prove unsustainable, pressuring the stock.
Key entities
- companyPetrobras
Brazilian state‑controlled oil and gas producer.
