Eni reported a significant increase in its fourth-quarter 2025 adjusted net profit to €1.2 billion, surpassing both the previous year's figure of €885 million and analyst forecasts of €960 million. The company attributed this strong performance primarily to its exploration and production (E&P) business.

E&P Business Performance and Strategy

The E&P division delivered what the chief executive described as "outstanding" results, driven by accretive production growth and disciplined cost control. This performance demonstrated the resilience and stronger earnings power resulting from the company's consistently executed strategy. Notably, these results were achieved despite a 15% drop in average crude prices and an unfavorable euro-US dollar exchange rate.

Production and Reserves

Total hydrocarbons production rose 7% year-on-year in the quarter to 1.84 million barrels of oil equivalent per day, with full-year production of 1.73 million boepd exceeding company expectations. The division started up six projects in 2025 and made new discoveries, such as the Konta gas find in Indonesia. Eni reported a robust reserve replacement ratio of 167%, a key indicator of future production potential. Analysts categorized Eni among the 'haves' in terms of reserves, citing its strong exploration track record and growing production profile.

Financial Position and Future Outlook

Financially, Eni reduced its debt, with gearing down to 14% at the end of 2025, and further reduction is anticipated. The company will provide its 2026 guidance at a capital markets day on 19 March.

Strategic Projects and Partnerships

Eni is advancing several key international ventures:

• A joint venture with Petronas in Indonesia and Malaysia is on track to start operations in the first half of the year.
• In Argentina, Eni is working with YPF and Adnoc's XRG towards a final investment decision (FID) for the Argentina LNG project, which would export liquefied gas from the Vaca Muerta shale formation, with an FID previously planned for early this year.