Ecopetrol’s net profit dropped 7.8% in Q4 due to lower oil prices and a stronger dollar, totaling 3.9 trillion pesos. For the entire year, profits fell 22%, reaching 14.9 trillion pesos. Production also declined nearly 4%, averaging 730,100 boepd.
Ecopetrol, Colombia’s national oil company, reported a 7.8% decrease in net profits for the fourth quarter, primarily driven by declining oil prices and a stronger U.S. dollar. The company’s net profit for this period totaled 3.9 trillion pesos (approximately $945 million), remaining unchanged from last year’s sales of 34.8 trillion pesos during the same quarter.
In addition, for the full year, Ecopetrol’s net profit declined by roughly 22% compared to 2023, resulting in a total of 14.9 trillion pesos (around $3.6 billion). The company is predominantly government-owned, with the Colombian government holding 88.5% of its shares.
Oil and gas production also faced challenges, as production levels fell nearly 4% year-on-year during the fourth quarter, averaging 730,100 barrels of oil equivalent per day (boepd). This decline in production underscores the ongoing struggles faced by the oil sector in the context of volatile market conditions.
Ecopetrol’s fourth-quarter financial results indicate a concerning trend with profit declines attributed to external market factors, including weak oil prices and currency fluctuations. The annual profit drop further highlights the impact of these challenges on the company’s performance, emphasizing the need for strategic adjustments in production and market positioning.
Original Source: www.tradingview.com
