Petrobras has a R$ 36.6 billion profit in 2024

Petrobras ended 2024 with a net profit of R$ 36.6 billion (US$ 7.5 billion). The company continues to generate strong and consistent cash, recording an Operating Cash Flow (OCF) of R$ 204 billion (US$ 38 billion), generated by its regular operations during the year. Financial debt reached approximately US$ 23.2 billion at the end of the year, the lowest level since 2008. R$ 91 billion (US$ 16.6 billion) was invested in projects in the company's various segments of activity and R$ 270 billion was paid in taxes to the government treasury.

“The excellent operational and financial results for 2024 demonstrate, once again, our company’s ability to generate value that is returned to society and our investors. I would like to highlight the operational generation of US$ 38 billion and the financial debt of US$ 23 billion, the lowest level since 2008”, says CEO Magda Chambriard.

The company’s financial results were mainly influenced by exclusive events, most of which had no effect on the company’s cash flow. Without the effects of the exclusive events, net income would have been R$ 103 billion (US$ 19.4 billion) for the year.

“Petrobras’ financial results in 2024 were mainly impacted by an accounting item: the exchange rate variation in debts between Petrobras and its subsidiaries abroad. These are financial transactions between companies in the same group, which generate opposite effects that ultimately balance out economically. This is because the exchange rate variation in these transactions is reflected in the holding company's net result in Brazil and negatively impacted its 2024 profit.  At the same time, there was a direct positive impact on equity,” explains the Financial and Investor Relations Director, Fernando Melgarejo.

Another factor that affected the annual result was Petrobras' adherence, in June 2024, to the tax litigation notice.  An exclusive event in the 2nd quarter of 2024, the decision was positive and enabled the conclusion of relevant legal disputes involving chartering of vessels or platforms and their respective service provision contracts, without a significant impact on the company's cash flow.
 
In addition, external factors, such as the variation in the price of Brent and the 40% reduction in the diesel crackspread (difference in the average price of diesel on the world market in relation to that of oil) compared to 2023, brought instability to the entire market, not just Petrobras.  Major global refineries were also impacted by lower international diesel margins and saw a reduction in EBITDA in the refining and marketing segment.

Throughout 2024, Petrobras followed its commercial strategy, which considers its best production and logistics conditions for pricing diesel and gasoline for sales to distributors. This allowed the company to practice competitive prices compared to alternative supply sources and mitigate volatility in the international market and exchange rate.

In the 4th quarter of 2024, the net result was negative by R$ 17 billion (US$ 2.8 billion). If exclusive events are excluded, the net profit for the 4th quarter would be R$ 17.7 billion (US$3.1 billion).

Investments

Petrobras invested R$ 91 billion (US$ 16.6 billion) in projects during 2024. The achievement above the guidance does not represent an additional cost but rather an advance, since the gap between the physical and financial evolution of the platforms in Búzios was reduced. This reduction in the gap was expected throughout 2025, but with strong performance in contract management, the solution was fully anticipated to 2024. The company gains in risk reduction and increased potential for advances, reinforcing the focus on execution in the investment plan and production targets.

These investments were responsible for supporting 250,000 jobs and represent 5% of Brazilian investment last year.

Dividends and contribution to Society

Petrobras paid R$ 102.6 billion in dividends in 2024. The decision to pay dividends is defined based on the company's cash and future flows, as established in the Company's Shareholder Remuneration Policy.

In 2024, R$ 270 billion in taxes were paid to the government treasury, the second highest in 10 years. In addition, of the total amount of dividends paid in 2024, R$ 37.9 billion corresponds to the Brazilian government's share (Union + BNDES).

In addition, more than R$ 1 billion was allocated to voluntary and mandatory socio-environmental investments, sponsorships and donations.

Operational Highlights in 2024

In 2024, Petrobras achieved all production targets established in its 2024-2028+ Strategic Plan. Total oil and natural gas production reached 2.7 million barrels of oil equivalent per day (BOE/D). New annual records for total own and operated production were achieved in the pre-salt, with 2.2 million BOE/D and 3.2 million BOE/D, respectively. The company increased its proven reserves, reaching a reserve replacement rate (IRR) of 154% and a reserves/production ratio (R/P) of 13.2 years.

Two new production systems came into operation (FPSO Maria Quitéria and FPSO Marechal Duque de Caxias) and the Sepetiba platform ship reached peak production. The company remains committed to its production targets for 2025 and to prospects for production recovery with the ramp-up of the new platforms. Three more new systems will start production this year.

The total utilization factor (FUT) in 2024 was 93%, the highest utilization of the refining park in the last 10 years considering Petrobras' current refineries. Production records were set for gasoline (420,000 barrels per day) and S-10 diesel (452,000 barrels per day). The diesel produced by Petrobras in 2024 is enough to supply almost 1.5 million trucks. Also in 2024, commercial operations began at the UPGN of the Complexo de Energias Boaventura and the SNOx unit of RNEST. Also in Refining, we achieved the best historical value of the Greenhouse Gas Emissions Indicator - GGEI-Refining (36.2 kgCO2e/CWT).

Vision 2025

Petrobras remains firm on its path to generating value, focusing on profitable projects in line with the 2025-29 Business Plan. Among the initiatives planned for 2025, the start of operations of three new FPSOs stands out, including the FPSO Almirante Tamandaré, which is already in production, in addition to the ramp up of systems that started in 2024. The company expects to add 100,000 barrels of oil production per day in 2025.

The discovery of new areas and the development of current ones should provide an increase in the ratio between proven reserves and production, an indicator in which Petrobras already presents excellent numbers.

In the refining industry, the revamp of Train 1 of RNEST will allow an increase of 15,000 barrels per day in processing capacity, while the new HDT of Replan will contribute another 63,000 barrels per day of Diesel S-10. The second module of the UPGN of the Boaventura Complex will add 10.5 million m³/day to our gas capacity.

With these advances, the company reaffirms its commitment to society, shareholders and the sustainability of its business.

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