#Ecopetrol #Colombia #Bogota #financial results #Q2 2025

Ecopetrol Q2 2025 Financial Results

Ecopetrol S.A. recently announced its financial results for the second quarter of 2025, demonstrating impressive resilience in an unpredictable economic environment. Despite challenges such as declining Brent crude oil prices and geopolitical tensions, the company's strategic actions enabled it to sustain solid operational performance and deliver sustainable value to stakeholders.

Financial Highlights

During the first half of 2025, Ecopetrol achieved remarkable financial metrics. In Q2 2025, total revenues amounted to COP 29.7 trillion, with earnings before interest, taxes, depreciation, and amortization (EBITDA) reaching COP 11.1 trillion. The EBITDA margin was robust at 37.5%, contributing to a net income of COP 1.8 trillion. Furthermore, for the entire first half of the year, revenues totaled COP 61.0 trillion, with an EBITDA of COP 24.4 trillion and a notable EBITDA margin of 40%.

A successful cash management strategy implementation was vital, especially in light of falling prices. The company identified various optimization initiatives regarding costs, expenses, and capital expenditures (CAPEX). These included early collection of outstanding receivables and effective foreign exchange hedging, contributing to the achievement of financial goals set for 2025.

Operational Efficiency

In the hydrocarbons sector, Ecopetrol continued to experience an upward trajectory, reaching a production rate of 751 mboed (thousand barrels of oil equivalent per day) during the first half of 2025. Strong performances in crucial Colombian fields, such as Caño Sur and CPO-09, paired with contributions from the U.S. Permian Basin, allowed the company to navigate the operational difficulties posed by external disruptions.

Transport volumes reached 1,088 mbd (thousand barrels per day), aided by strategic initiatives like alternative evacuation methods that minimized the impact of disruptions faced from third-party operations. Refining capacity was restored to full operational levels post-maintenance at the Barrancabermeja refinery, with a throughput of 405 mbd.

New Ventures in Energy Transition

A significant milestone for Ecopetrol was the declaration of commercial viability for the new Lorito discovery in Meta Department, heralded as one of the largest finds in the last decade. The acquisition of a 45% stake in CPO-09 has further bolstered Ecopetrol's portfolio.

In a significant move towards energy sustainability, the company closed a deal for the Windpeshi wind project in La Guajira, which features 205 MW of self-generation capacity and is poised to establish Ecopetrol as a leader in renewable energy generation.

Additionally, for the first time, Ecopetrol secured long-term agreements for importing natural gas, aimed at addressing the domestic supply deficit that is expected to start in Q2 2026, with a commitment of 60 GBTUD over a five-year period.

Commitment to Stakeholders

Ecopetrol remains dedicated to delivering value to its shareholders, evidenced by its substantial dividend payments totaling COP 8.8 trillion for the current year, presenting a dividend yield of approximately 10%. This commitment underscores the company's focus on maintaining flexibility and strategic agility to navigate external market fluctuations effectively.

Going forward, Ecopetrol anticipates maintaining strategic investments totaling USD 2,582 million and will continue to monitor market dynamics closely to safeguard and maximize value for all stakeholders. As the company looks toward achieving its yearly financial targets, the emphasis remains on operational growth across all business segments.

In conclusion, Ecopetrol’s proactive measures have not only allowed it to withstand prevailing market challenges but have also positioned it for future growth, underpinning its ambition to be a leader in both traditional and renewable energy markets.