Repsol expects to earn €1.899 billion in 2025 and significantly increase its dividend to shareholders.

MadridRepsol posted a net profit of €1.899 billion in 2025, an 8.1% increase compared to the previous year's €1.756 billion, as reported by the company to the Spanish National Securities Market Commission (CNMV) on Thursday morning. Adjusted net income – which measures the performance of its businesses (exploration and production, industry, customers, etc.) and excludes extraordinary items – reached €2.568 billion, a 15.1% decrease compared to 2024. Repsol cites five "challenges" stemming from geopolitical and economic uncertainty and the resulting volatility in energy markets. As an example, it points to the price of Brent crude falling 14.5% to an average of $69 per barrel. The company also notes the impact of the massive power outage on April 28 on its financial results. The "electrical blackout" caused the shutdown of its five refineries, as well as its three large petrochemical plants in Spain and Portugal. This was compounded by the inactivity of its service stations and other establishments. A few months ago, the oil company already opened the door to "possible legal action." In this regard, if we look at the industrial business (basically, its industrial complexes), the adjusted net profit for this area stood at 963 million euros at the end of 2025, 33.4% less than in 2024.

"Opportunities" in Venezuela

Another business Repsol aims to strengthen in 2026 is oil and gas exploration and production, primarily in the United States, a market it considers "competitive," but also in Libya, Alaska, and the United Kingdom, where it has partnered with TotalEnergies UK to create the largest oil and gas producer in the North Sea. Conversely, it completed its withdrawal from Colombia and Indonesia in 2025. Last year, adjusted net income in this business area was €957 million, down 6.9%. Venezuela will play a significant role in increasing oil and gas production in 2026. Repsol anticipates that the South American country will help boost its average daily crude oil production. Specifically, it expects to increase production in the country by 50% and triple it within three years. While Repsol has closed this year with an average production of 548,000 barrels per day, it expects to increase to around 560,000-570,000 barrels, not including the increase in the Latin American country.

"A window of opportunity has opened [in Venezuela]," stated CEO Josu Jon Imaz, regarding the situation in the country following Donald Trump's intervention. In a conference with analysts, the CEO said they are noticing "the support of the United States" for their plans. "I am optimistic," he reiterated. A week ago, the Trump administration issued a license allowing various multinational companies, including Repsol, to resume oil extraction in Venezuela. The oil company has reported that it has reduced its equity exposure in the country to €276 million by 2025, although its outstanding debt to the state-owned oil company Petróleos de Venezuela (PDVSA) is €3.603 billion.

"2025 has been a year of solid achievement for Repsol, with significant progress across all our priorities. Given the macroeconomic, regulatory, and geopolitical changes, it's time to update our operational and financial metrics, although our strategic principles remain unchanged," anticipated Josu Jon Imaz. Repsol plans to update its strategy on March 10.

A windfall for shareholders

The oil company chaired by Antonio Brufau has promised its shareholders an extraordinary payout of up to €1.9 billion in 2026, taking into account the dividend and share buybacks. In fact, this boost to shareholder returns is a key element of its strategy. Regarding the dividend, Repsol plans to distribute a gross cash dividend of €1.051 per share in 2026, representing a 7.8% increase compared to 2025, and already including the €0.50 paid in January. However, amid escalating tensions between the United States and Iran, the price of Brent crude, the benchmark for Europe, has exceeded $71 per barrel, its highest price since the end of January.