NIS j.s.c. Novi Sad (NIIS) Q4 2025 earnings summary

Executive summary

• Operations in 2025 were severely impacted by US sanctions, including the suspension of the Pančevo Oil Refinery and a focus on maintaining domestic market stability.

• Despite macroeconomic headwinds and sanctions, the group maintained positive EBITDA and continued capital investments, especially in oil, gas, and renewable energy projects.

• Social responsibility initiatives and support for employees and communities continued, with investments in youth and education programs.

Financial highlights

• Sales revenue for 2025 was RSD 290.1bn, down from RSD 408.1bn in 2024; Q4 revenue was RSD 60.4bn, down 42% year-over-year.

• EBITDA for 2025 was RSD 22.2bn, a 50% decrease year-over-year; Q4 EBITDA was RSD 1.1bn.

• Net loss for 2025 was RSD 5.6bn, compared to a net profit of RSD 10.1bn in 2024; Q4 net loss was RSD 5.3bn.

• Operating cash flow for 2025 was RSD 43.4bn, down from RSD 61.0bn in 2024.

• CAPEX for 2025 was RSD 28.1bn, focused mainly on exploration, production, and energy projects.

Outlook and guidance

• Ongoing focus on operational efficiency, project execution, and continued investment in solar and retail infrastructure.

• Polypropylene project temporarily postponed due to sanctions, but other activities continue as scheduled.

• Management is closely monitoring the impact of sanctions and engaging with authorities and shareholders to ensure business continuity.

• Ongoing negotiations regarding changes in ownership structure and further OFAC licensing are expected to influence future operations.

• The company expects continued volatility in oil prices and macroeconomic conditions, with global oil prices projected to decline further in 2026.