Brava Energia (BRAV3) Q4 2025 earnings summary

Executive summary

• Achieved record annual average production of 81–81.3 kboe/d in 2025, up 46% year-over-year, driven by operational efficiency in Atlanta and Papa-Terra fields.

• Net revenues reached US$2.1 billion (R$11.6 billion), up 9–15% year-over-year, despite a 14% drop in Brent prices.

• Adjusted EBITDA grew 21–29% to US$806 million (R$4.5 billion), with margin expanding to 38.8–39%.

• Lifting costs hit a historic low of US$14.9–$15.70/boe, down 15–16% year-over-year, reflecting efficiency gains.

• Significant leadership changes in 2025, including new Chairman, CEO, and CFO, to align with strategic priorities.

Financial highlights

• Revenue exceeded US$2 billion in 2025, up 9–15% year-over-year, with production up 46% YoY.

• Adjusted EBITDA reached US$806 million (+21–29% YoY), with margin expanding to 38.8–39%.

• Net debt/EBITDA ratio improved to 2.1–2.16x by year-end, with cash position at US$1.09 billion.

• Lifting cost reached a record low of US$14.9–$15.70/boe, with offshore costs down 16–17% and onshore down 7%.

• Capex for 2025 totaled US$504 million (R$2,829 million), down 45–60% year-over-year, mainly after Atlanta project completion.

Outlook and guidance

• 2026 will focus on safety, production stability, further deleveraging, and execution of drilling campaigns at Papa-Terra and Atlanta.

• Capex for 2026 expected to be slightly above US$500 million, mainly for growth projects.

• No new major projects planned for 2027, with Capex expected to decrease to maintenance levels.

• Gradual restart of Potiguar production expected in 1H26, pending regulatory approval.

• Continued cost optimization and contract efficiency through the Brava Efficient program.