Woodside 2025 NPAT falls 24% to $2.7 billion on lower prices

Woodside 2025 NPAT falls 24% to .7 billion on lower prices
Woodside 2025 NPAT falls 24% to .7 billion on lower prices

Woodside Energy has reported full-year 2025 net profit after tax (NPAT) of $2.71 billion, a 24% decline from $3.57 billion in 2024, as lower raw material prices hit results despite record production.

Underlying NPAT amounted to $2.64 billion, down 8% from $2.88 billion a year earlier.

The company achieved full-year 2025 production of 198.8 million barrels of oil equivalent (mboe), or 545,000 barrels of oil equivalent per day (boepd), exceeding guidance and exceeding 2024 production.

According to Woodside, the result was driven by the Sangomar asset in Senegal, which operated at a nominal capacity of 100,000 barrels per day for most of the year with almost 99% reliability.

Earnings before interest, taxes, depreciation, and amortization (EBITDA) were broadly flat over the year at $9,277 million, compared to $9,276 million in 2024, representing a margin of 71%, up from 70% a year earlier.

The stable EBITDA performance was attributable to Sangomar, which generated $1.7 billion of EBITDA (Woodside share) in 2025, adding to the $849 million generated in 2024 since its inception.

Operating income decreased 1% to $12.9 billion in 2025 from $13.1 billion in 2024, and the average realized price fell 5% to $60.2 per barrel of oil equivalent (boe) from $63.4/boe.

Woodside reduced its unit cost of production by 4% to $7.8 per barrel, reflecting ongoing cost controls across operations.

Operating cash flow increased 23% to $7.19 billion, up from $5.84 billion in 2024, driven by exceptional operating performance, contribution from Sangomar and lower tax payments in a softer pricing environment.

Free cash flow turned positive at $1.88 billion, compared to negative $293 million in 2024, supported by proceeds from the Greater Angostura divestiture and sale transactions with Stonepeak and Williams for Louisiana LNG.

Liz Westcott, acting chief executive of Woodside, said: “The excellent full-year results reflected the disciplined execution of Woodside’s strategy, whilst maintaining safe, reliable and sustainable operations. Our strong underlying NPAT of $2.6 billion and free cash flow of $1.9 billion is a testament to the performance of the core business during a period of increased capital expenditure (capex) and weakened pricing.

“The strength of our core business has generated returns for shareholders: Woodside has returned approximately $11 billion in dividends since the merger was completed in 2022. At the same time, we are reinvesting in the business and actively refining the portfolio, while maintaining a strong balance sheet and leverage within the target range.”

Looking ahead, Woodside has provided full-year 2026 production guidance of 172 to 186 mboe, incorporating the significant Pluto liquefied natural gas (LNG) Train 1 recovery scheduled for Q2 2026 (Q2 2026).

The Scarborough Energy Project was 94% complete at the end of the year, with the floating production unit arriving in place in January 2026 and the first cargo of LNG planned for Q4 2026.

The $17.5 billion Louisiana LNG project was 22% complete and on track to receive first LNG in 2029, with Woodside’s expected capex share reduced to $9.9 billion following the Stonepeak and Williams transactions. Meanwhile, Trion, which targets first oil in 2028, was up 50% at the end of the year.

“Woodside 2025 NPAT falls 24% to $2.7 billion due to lower prices” was originally created and published by Offshore Technology, a brand owned by GlobalData.


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