YPF Q4 Earnings Miss Estimates on Lower Hydrocarbon Production

YPF Sociedad Anónima YPF reported a fourth-quarter 2025 loss of $1.67 per share, which widened from the year-ago loss of 74 cents. The bottom line also missed the Zacks Consensus Estimate for earnings of 77 cents.

Total quarterly revenues of $4.56 billion beat the Zacks Consensus Estimate of $4.41 billion. The top line, however, decreased from the prior-year level of $4.75 billion.

The weakness in the quarterly bottom line mainly resulted from higher income tax, reduced hydrocarbon production and lower crude oil and natural gas price realizations. However, reduced total operating expenses partially offset the negatives.

Operational Performance of YPF

Upstream Production

In the fourth quarter of 2025, YPF’s total hydrocarbon production was 488 thousand barrels of oil equivalent per day (Mboe/d), down 6.2% from 520.6 Mboe/d in the corresponding period of 2024. Crude oil production in the reported quarter averaged 264.4 thousand barrels per day (MBbl/D) compared with 269.8 MBbl/D a year ago. The decline can be primarily attributed to lower conventional production from mature fields, partially offset by higher shale output.

YPF’s natural gas production in the reported quarter decreased 13.8% year over year to 29.6 million cubic meters per day. Gas production was primarily affected by lower conventional gas output from mature fields. Natural gas liquids production was 37.7 MBbl/D compared with 35.2 MBbl/D in the prior-year quarter.

Average Price Realizations

The average price realization for crude oil decreased 19.2% year over year to $53 per barrel. The average natural gas price realization fell 10.9% year over year to $2.8 per million British thermal unit.

YPF’s adjusted EBITDA from upstream activities increased 21.4% year over year to $725 million, primarily driven by lower lifting costs and other expenses.

Midstream & Downstream

In the quarter under review, processed crude volumes reached 334.9 MBbl/D, 10.1% higher than the 304.1 MBbl/D in the year-ago quarter. Refineries’ utilization rate in the fourth quarter was 99.1%, which improved from 90% in the prior-year quarter.

Adjusted EBITDA, excluding the price effect of oil products on inventories, for the segment was $694 million, plummeting 84.3% year over year. The decline was mainly due to a fall in local fuel prices.

YPF’s Total Operating Expenses

The operating expenses in the quarter totaled $1,530 million, a 24.9% decline from $2,036 million in the year-ago quarter.

Cash Flow of YPF

The net cash flow provided by operating activities in the quarter was $1,738 million. The company reported a free cash flow of $265 million for the quarter.

YPF’s Balance Sheet

As of Dec. 31, 2025, the company’s cash and short-term investments were $1.21 billion, and its total debt amounted to $10.56 billion.

YPF’s Zacks Rank & Key Picks

YPF currently carries a Zacks Rank #3 (Hold).

Some better-ranked stocks from the energy sector are Archrock, Inc. AROC, TechnipFMC plc FTI and Oceaneering International, Inc. OII. AROC and FTI sport a Zacks Rank #1 (Strong Buy), and OII has a Zacks Rank #2 (Buy).

Archrockreported fourth-quarter 2025 adjusted earnings per share of 69 cents, which beat the Zacks Consensus Estimate of 40 cents. The company’s bottom line improved from the year-ago adjusted profit of 35 cents.

As of Dec. 31, AROC had $1.553 million in cash and cash equivalents, and $2.41 billion in long-term debt.

TechnipFMC posted fourth-quarter 2025 adjusted earnings per share of 70 cents, which beat the Zacks Consensus Estimate of 51 cents. The bottom line increased from the prior-year level of 54 cents.

FTI’s quarterly revenues of $2,517 million improved from $2,367.3 million in the year-ago period. However, the top line missed the Zacks Consensus Estimate of $2,546.8 million.

As of Dec. 31, FTI had $1,031.9 million in cash and cash equivalents, and $395.7 million in long-term debt, less current portion.

Oceaneering reported fourth-quarter 2025 adjusted earnings per share of 45 cents, which beat the Zacks Consensus Estimate of 44 cents. The bottom line increased from the prior-year level of 37 cents.

OII’s quarterly revenues of $668.6 million declined from $713.4 million in the year-ago period. The top line surpassed the Zacks Consensus Estimate of $711 million.

As of Dec. 31, OII had $1,512.4 million in cash and cash equivalents, and $487.417 million in long-term debt.