Eni Reports Strong Q3 2026 Results and Raises Shareholder Returns
Eni has reported strong financial and operational performance for the third quarter and first nine months of 2026, supported by production growth, disciplined investments, improved refining margins, and continued progress across its energy transition businesses. The company’s Board of Directors, chaired by Giuseppina Di Foggia, approved the consolidated results, highlighting the strength of its diversified business portfolio and the positive outlook for the remainder of the year.
Chief Executive Officer Claudio Descalzi said Eni’s third-quarter performance reflected its operating model, disciplined capital allocation, and investments in assets with strong returns. He noted that the company’s financial position, improving growth prospects, and operational performance would support its ability to deliver reliable, affordable, and increasingly decarbonized energy supplies.
The company also announced an increase in shareholder distributions, including an extraordinary dividend of €0.46 per share and an expanded 2026 share buyback programme worth €3.8 billion.
Production Growth Strengthens Eni’s Upstream Business
Eni’s exploration and production (E&P) business recorded strong underlying production growth during the third quarter. Production increased 7% compared with the same period in 2025, excluding price effects, and rose 2% sequentially to 1.83 million barrels of oil equivalent per day.
The increase was driven by the ramp-up of new projects in West Africa, offshore Mexico, and Norway, alongside the full operational contribution of the Searah joint venture in Southeast Asia.
Eni continued to expand its upstream portfolio through new agreements and exploration opportunities across several regions. In Venezuela, the company signed strategic agreements with state-owned oil company PDVSA to revitalise the Junin 5 oilfield under revised contractual terms and export gas from the Perla field. These agreements provide access to approximately 5.5 billion barrels of oil equivalent in recoverable resources.
In Argentina, the consortium comprising YPF, Eni, and XRG advanced plans for a large integrated liquefied natural gas (LNG) project. The development targets an initial export capacity of 12 million tonnes per year. The consortium has applied for Argentina’s incentive regime for large investments, known as RIGI, marking an important step towards a final investment decision expected around the end of 2026.
Eni also strengthened its exploration position in South America and Southeast Asia. The company secured access to an exploration block offshore Uruguay through a farm-in agreement and signed an agreement covering an adjacent block. In Indonesia, Eni was awarded the Sapukala block in the Kutei Basin with a 100% participating interest under the country’s first Petroleum Bidding Round of 2026.
The company also reported that its exploration activities had discovered 1.23 billion barrels of new hydrocarbon resources during 2026, exceeding its budget target while reducing exploration costs.
Energy Transition Businesses Increase Earnings Contribution
Eni’s energy transition businesses continued to perform ahead of expectations, contributing increasingly to the group’s earnings diversification.
Enilive and Plenitude generated combined adjusted EBITDA of €1.8 billion during the first nine months of 2026, representing a 20% increase compared with the corresponding period of 2025.
Enilive benefited from an improved market environment for biorefining, demonstrating the growing contribution of alternative fuels to transportation. Its third-quarter performance was supported by stronger biorefining margins and solid operational execution.
Plenitude continued developing its renewable energy business, supported by capacity expansion and higher volumes. The company remains on track to reach its target of 6.5 gigawatts of installed renewable capacity by the end of 2026, with an additional 1.2 gigawatts under construction.
Eni completed an agreement with Ares to establish joint control over Plenitude through a non-proportional share capital increase. The transaction reduced Eni’s ownership interest from 70% to 65% and resulted in Plenitude’s deconsolidation from Eni’s balance sheet at the end of September 2026.
The revised ownership and governance structure is intended to support Plenitude’s long-term development through a self-funded growth strategy, allowing the business to expand while strengthening Eni’s financial flexibility.
Portfolio Management Supports Capital Efficiency
Eni continued to optimise its asset portfolio through partnerships, divestments, and transactions designed to improve capital allocation and manage risk.
During the third quarter, the company completed a long-term partnership agreement with private equity investors involving an infrastructure-based E&P portfolio. The transaction generated a €1.8 billion capital contribution, which Eni intends to invest in projects offering higher returns.
The company also completed the sale of a 10% interest in the Baleine oilfield to Socar, consistent with its Dual Exploration model.
In October, Eni signed binding agreements to farm out its remaining 10% working interest in two groups of Indonesian gas assets in the Kutei Basin to Pertamina and Medco. The assets include the major Northern and Southern hub development projects and the Geliga discovery.
These transactions form part of Eni’s broader strategy to unlock value from its portfolio, strengthen its balance sheet, and direct investment towards opportunities with attractive growth and cash-generation potential.
Financial Results Improve Across Major Businesses
Eni reported pro forma adjusted earnings before interest and taxes (EBIT) of €6 billion for the third quarter of 2026, double the amount recorded in the same period of 2025 and 12% higher sequentially. The performance reflected contributions from its principal businesses, upstream production growth, portfolio optimisation, and continued restructuring benefits in chemicals.
Adjusted net profit more than doubled year over year to €2.8 billion.
The E&P division delivered pro forma adjusted EBIT of €4.63 billion, a 76% increase compared with the third quarter of 2025. Higher production volumes, a more favourable production mix, and supportive commodity market conditions contributed to improved realisations from equity production.
The Global Gas and LNG Portfolio (GGP) and Power businesses generated combined pro forma adjusted EBIT of €450 million. GGP contributed €410 million, up 46% year over year, reflecting continued portfolio optimisation in a more volatile market environment.
Enilive recorded pro forma adjusted EBIT of €410 million, an increase of 80% compared with the previous year. Improved market conditions for biorefining and strong operational performance supported the result.
Plenitude reported pro forma adjusted EBIT of €190 million, up 95% year over year, driven by growth in renewable energy volumes.
The refining business generated pro forma adjusted EBIT of €730 million, marking a substantial increase from the third quarter of 2025. Higher plant utilisation rates and favourable market conditions supported the improvement. However, higher shipping costs and unfavourable price differentials between heavy, sour crude oil and light, sweet crude oil partially offset the gains.
Eni’s chemicals business, operated through Versalis, continued to benefit from restructuring initiatives and plant closures implemented during the previous year. Nevertheless, a sharp deterioration in product margins resulted in a loss of €180 million.
Cash Flow and Balance Sheet Remain Strong
Eni generated adjusted cash flow from operations before working capital changes of €4.29 billion during the third quarter of 2026. This cash flow funded organic capital expenditure of €1.3 billion.
The company returned €1.9 billion to shareholders during the quarter. This included €800 million associated with the first tranche of the 2026 dividend and €1.1 billion spent executing the share buyback programme.
At the end of September, net debt stood at €6.7 billion, while pro forma gearing was 9%. This represented a strong financial position and provided additional flexibility for investments, shareholder distributions, and future business development.
Eni’s improved cash generation reflects its operating performance, portfolio management, and ability to capture opportunities arising from market conditions.
Eni Raises Its 2026 Financial and Operational Outlook
Eni has upgraded several financial and operational targets for the full year, reflecting stronger business trends and its ability to benefit from a supportive commodity market environment.
The company now expects underlying oil and gas production growth of 6% to 7% in 2026.
Its GGP adjusted pro forma EBIT guidance has been increased to approximately €1.5 billion, around 50% above the initial target. Enilive’s full-year pro forma adjusted EBITDA guidance has risen to €1.4 billion, almost 30% higher than the original assumption, while Plenitude’s EBITDA is expected to reach approximately €1.2 billion.
Plenitude is targeting 6.5 gigawatts of installed renewable capacity by year-end, with another 1.2 gigawatts under construction. Enilive is progressing towards its biorefining capacity targets, including 0.5 million tonnes per year of capacity expected to reach mechanical completion by the end of 2026, in addition to 1.65 million tonnes per year already available. A further 1.5 million tonnes per year of capacity is progressing on a net Enilive basis.
Eni has also strengthened its cash flow guidance. Under its revised scenario, adjusted cash flow from operations is expected to reach €16.5 billion, an underlying improvement of €1.2 billion compared with the company’s initial guidance and its stated sensitivities.
Gross capital expenditure guidance remains unchanged at €7 billion, while net capital expenditure is expected to remain below €4.5 billion. Pro forma gearing is projected to reach the lower end of the company’s previously guided range of 10% to 15%.
Extraordinary Dividend and Larger Share Buyback
The improved financial outlook has enabled Eni to increase shareholder returns.
The Board approved an extraordinary dividend of €0.46 per share, equivalent to a total distribution of €1.3 billion. Payment is scheduled for December 9, 2026. The distribution reflects the company’s policy of returning 100% of additional operating cash flow generated when market conditions exceed specified thresholds relative to its original assumptions.
Eni has also raised its 2026 share repurchase programme to €3.8 billion, up 12% from the previous guidance of €3.4 billion. The revised amount is almost three times the initial buyback guidance of €1.5 billion.
The company confirmed its planned ordinary dividend of €1.10 per share for 2026, representing a 5% increase compared with 2025.
Eni’s third-quarter results highlight the contribution of production growth, portfolio optimisation, refining performance, and expanding energy transition businesses. With stronger cash flow expectations, low pro forma gearing, and increased shareholder distributions, the company enters the final months of 2026 with an improved financial outlook and continued investment opportunities across its global energy portfolio.
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