Ecopetrol (EC) Q2 2025 earnings summary

Executive summary

• Achieved highest half-yearly production in a decade at 751,000–755,500 bbl of oil equivalent per day, driven by Colombian fields, Caño Sur, CPO-09, and Permian Basin performance.

• Declared commercial viability of the Lorito methane discovery, the largest in a decade, and advanced key upstream projects in Colombia and Brazil.

• Expanded midstream and downstream capacity, including Pozos Colorados terminal, refinery throughput recovery, and major maintenance completions, despite external disruptions and lower crude prices.

• Advanced renewable energy and decarbonization initiatives, with renewable portfolio expected to exceed 900 MW by 2025 and significant investments in wind and solar projects.

• Maintained strong operational and financial discipline, exceeding efficiency targets, reaffirming production and investment guidance, and resilient cash management.

Financial highlights

• Net income for 1H 2025 was COP 4.9 trillion, down 33.2% year-over-year, mainly due to a $12 drop in Brent prices, new taxes, and external disruptions.

• EBITDA for 1H 2025 was COP 24.4 trillion, with a 40% margin, and operational efficiencies contributed COP 2.2 trillion.

• Dividend payments in 1H 2025 totaled COP 8.8 trillion, delivering a 10% return to shareholders.

• Cash position at end-June was COP 13.1 trillion, with positive free cash flow and full collection of 2024 FEPC receivable.

• CapEx for 1H 2025 reached USD 2,582 million, focused on energy security, transition, and infrastructure.

Outlook and guidance

• Production target for 2025 maintained at 740,000–750,000 bbl of oil equivalent per day.

• Renewable energy portfolio expected to surpass 900 MW by year-end 2025.

• No increase in debt levels expected for 2025; focus remains on cost and expense reduction.

• EBITDA margin guidance remains at 39% for 2025, with efforts to offset external pressures through efficiencies.

• Continued focus on operational and strategic flexibility to navigate market volatility and meet financial targets.