All the materials related with the results, including the video presentation from Galp’s executives, are available here.
Galp’s sound operating momentum continued into the third quarter of 2025, supporting robust cash generation and consolidating our solid financial position - reassuring when facing the current macroeconomic sentiment. Our performance year-to-date reinforces our confidence on deliverability and resilience. Galp is well positioned to surpass its current 2025 guidance for both Ebitda and OCF, and holds an estimated dividend breakeven under $40/bbl for 2026.
Execution remains strong: Bacalhau FPSO started production and will drive short-term free cash flow growth, whilst in Namibia negotiations with a shortlist of preferred bidders are advancing with discussions supportive of a value accretive partnership, with strong alignment on advancing with Mopane. Progress is well within Galp's timeline towards an agreement by year-end.
Maria João Carioca & João Marques da Silva, co-CEOs
Third quarter 2025
Galp delivered a strong set of results in the third quarter of 2025, sustaining a robust operating performance in Upstream whilst capturing the supportive downstream seasonal trends in refining and Commercial, despite facing a continued volatile macro environment. Operating performance translated into sound cash generation, enabling Galp to reduce net debt to €1.2 bn by the end of the period.
RCA Ebitda reached €911 m:
- Upstream: RCA Ebitda was €464m, lower YoY following the weaker oil price environment but partially offset by higher production levels in Brazil, reflecting the strong availability of the fleet as result of limited planned maintenance activities in the quarter and low impact from unplanned restrictions.
- Industrial & Midstream: RCA Ebitda was €315 m, higher YoY, as the robust availability of the Sines refining system captured the supportive international cracks' environment, whilst complemented by a sound contribution from Midstream activities across natural gas and oil trading.
- Commercial: RCA Ebitda was €119 m, up 28% YoY, supported by a recovery in the Spanish market, both in the B2C and B2B segments, and by Convenience & Customer Solutions contribution continued growth.
- Renewables: RCA Ebitda was €16 m, lower YoY, mainly reflecting persistently pressured solar prices in Iberia and the deployment of a generation optimisation strategy.
Group RCA Ebit was €740 m, following Ebitda. RCA Net Income amounted to €407 m.
Galp’s adjusted operating cash flow (OCF) was €753 m, reflecting the strong operating performance. Cash flow from operations (CFFO) reached €783 m, benefitting from a working capital release of €92 m, partially offset by inventory effects of €-61 m, which followed the evolution of commodities prices.
Capex in the period reflected a higher execution pace on the Industrial low-carbon projects in Sines, the deployment of the Bacalhau development in Brazil and solar capacity under construction in Iberia. Net capex was €212 m, including inflows from divestments in Commercial and from projects’ reimbursements in Renewables.
FCF reached €548 m, while net debt was reduced to €1.2 bn after payment of dividends to non-controlling interests of €31 m and the 2025 interim dividend of €229 m, with no share buyback executed during the period.
Nine months 2025
Galp’s RCA Ebitda was €2,420 m, while OCF was €1,732 m, reflecting a robust operating performance under a more pressured macroeconomic and commodities' price context.
Net capex totalled an inflow of €93 m, mainly considering the divestment proceeds collected in the first quarter of the year related with the completion of the sale of Galp's stake in Mozambique Area 4 and the final earn-out collected from the disposal of upstream assets in Angola. Investments were mainly allocated to the deployment of Bacalhau in Brazil, the execution of the green H2 and HVO/SAF projects in Sines' industrial complex and the construction of solar and storage capacity in Iberia.
FCF amounted to €1,143 m, with net debt sustained at €1.2 bn, considering dividends to non-controlling interests of €123 m, dividends to shareholders of €480 m and share buyback execution of €174 m, while also reflecting the currency exchange effect on cash balances following the US dollar depreciation against the Euro.
Financial Data
| m (RCA, except otherwise stated) |
|
|
|
|
|
| 3Q24 |
2Q25 |
3Q25 |
% Var. YoY |
|
9M24 |
9M25 |
% Var. YoY |
| 820 |
840 |
911 |
11% |
RCA Ebitda |
2,609 |
2,420 |
(7%) |
| 541 |
403 |
464 |
(14%) |
Upstream |
1,641 |
1,252 |
(24%) |
| 165 |
320 |
315 |
91% |
Industrial & Midstream |
695 |
854 |
23% |
| 92 |
101 |
119 |
28% |
Commercial |
234 |
281 |
20% |
| 24 |
9 |
16 |
(35%) |
Renewables |
38 |
34 |
(10%) |
| (2) |
5 |
(3) |
41% |
Corporate & Others |
0 |
(2) |
n.m. |
| 621 |
662 |
740 |
19% |
RCA Ebit |
2,041 |
1,900 |
(7%) |
| 429 |
309 |
382 |
(11%) |
Upstream |
1,328 |
981 |
(26%) |
| 133 |
293 |
283 |
n.m. |
Industrial & Midstream |
599 |
768 |
28% |
| 59 |
69 |
84 |
42% |
Commercial |
139 |
183 |
31% |
| 11 |
(6) |
2 |
(86%) |
Renewables |
2 |
(7) |
n.m. |
| (11) |
(2) |
(11) |
(3%) |
Corporate & Others |
(26) |
(25) |
(5%) |
| 266 |
373 |
407 |
53% |
RCA Net income |
890 |
973 |
9% |
| 11 |
19 |
(101) |
n.m. |
Special items |
189 |
89 |
(53%) |
| (8) |
(78) |
(42) |
n.m. |
Inventory effect |
(73) |
(121) |
67% |
| 269 |
315 |
264 |
(2%) |
IFRS Net income |
1,006 |
941 |
(6%) |
| 540 |
713 |
753 |
39% |
Adjusted operating cash flow (OCF) |
1,745 |
1,732 |
(1%) |
| 475 |
627 |
783 |
65% |
Cash flow from operations (CFFO) |
1,432 |
1,138 |
(21%) |
| (229) |
(182) |
(212) |
(7%) |
Net Capex |
(290) |
93 |
n.m. |
| 193 |
408 |
548 |
n.m. |
Free cash flow (FCF) |
1,032 |
1,143 |
11% |
| (2) |
(2) |
(31) |
n.m. |
Dividends paid to non-controlling interests |
(97) |
(123) |
27% |
| (212) |
(251) |
(229) |
8% |
Dividends paid to Galp shareholders |
(419) |
(480) |
15% |
| (191) |
(135) |
- |
n.m. |
Share buybacks |
(324) |
(174) |
(46%) |
| 1,471 |
1,415 |
1,170 |
(20%) |
Net debt |
1,471 |
1,170 |
(20%) |
| 0.48x |
0.51x |
0.41x |
(15%) |
Net debt to RCA Ebitda1 |
0.48x |
0.41x |
(15%) |
| 1Ratio considers the LTM Ebitda RCA ( 2,866 m), which includes an adjustment for the impact from the application of IFRS 16 ( 242m). |
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