Equinor (EQNR) Q4 2025 earnings summary

Executive summary

• Record oil and gas production in 2025 was driven by new fields and US onshore gas, with renewables generation up 25% year-over-year, despite market volatility and lower liquids prices.

• Strong cash flow from operations reached $18 billion for 2025, with organic CapEx of $13.1 billion and a focus on capital discipline, portfolio high-grading, and cost reductions.

• Strategic priorities for 2026–2027 include maximizing shareholder value, reducing CapEx by $4 billion, and maintaining robust cash flow and balance sheet.

• The company is adapting to slower-than-expected energy transition markets, scaling back renewables and low-carbon CapEx, and focusing on core oil and gas assets.

• Adjusted operating income for Q4 2025 was $6.20 billion, with adjusted net income of $2.04 billion and adjusted EPS of $0.81.

Financial highlights

• Return on average capital employed (ROACE) reached 14.5% in 2025.

• Cash flow from operations after tax was $18 billion for 2025.

• Earnings per share for 2025 were $0.81; full-year adjusted EPS was $2.47.

• Record annual production of 2,137,000 barrels per day, up 3.4% year-over-year.

• Net debt to capital employed ended at 17.8%.

Outlook and guidance

• Oil and gas production expected to grow by about 3% in 2026, offsetting natural decline and divestments.

• Organic CapEx guidance is $13 billion for 2026 and $9 billion for 2027, reflecting reduced investment in renewables and low-carbon projects.

• Cash flow from operations after tax is guided at $16 billion in 2026 and $18 billion in 2027, assuming flat commodity prices.

• Quarterly cash dividend increased to $0.39 per share; share buyback program of $1.5 billion announced for 2026.

• Scheduled maintenance in 2026 estimated to reduce equity production by ~35 mboe/d.