SNGN Romgaz (SNG) Q2 2026 earnings summary

Executive summary

• Maintained leading position as Romania's top gas producer, with a 53% share in domestic production and over 43% of total national gas consumption in H1 2026.

• Net consolidated profit for H1 2026 reached RON 1,736 million, up 3.4% year-over-year, with a net profit margin of 44.7%.

• Revenue declined by 8.6% to RON 3,883 million, mainly due to lower gas sales volumes and regulated price reductions starting April 2026.

• Advanced strategic projects: Neptun Deep on track for first gas in 2027, Iernut CCGT power plant progressing toward grid synchronization in 2026, and a Decarbonization Strategy targeting net-zero by 2050.

• Share price increased by 50% in H1 2026, driven by historic profit, Neptun Deep progress, and the Azomureș acquisition agreement.

Financial highlights

• H1 2026 revenues: RON 3,883 million (-8.6% YoY); Net profit: RON 1,736 million (+3.4% YoY); EBITDA: RON 2,077 million (-10% YoY); EBIT: RON 1,812 million (-7.7% YoY).

• Net profit margin: 44.7%; EBITDA margin: 53.5%; EBIT margin: 46.7%.

• Cash and cash equivalents at June 30, 2026: RON 3,242 million (+124.85% vs. Dec 2025); net cash position of RON 79 million.

• Group CAPEX in H1 2026: RON 2.55 billion, mainly driven by Neptun Deep development.

• Dividend payout of RON 606 million, representing a 90% payout ratio for the previous year.

Outlook and guidance

• Neptun Deep project remains on track for first gas in 2027, with plateau production of approximately 8 bcm annually for nearly a decade.

• Iernut CCGT plant expected to synchronize with the grid in 2026, with commercial operations update due in Q3 2026.

• Decarbonization strategy includes phased investments exceeding EUR 2.5 billion through 2050.

• Gas production decline for 2026 expected to be below 3% versus 2025, with stabilization targeted under 2.5% annual decline.

• Investments for 2026 planned at RON 5.78 billion, focused on upstream and strategic projects.