YPF Q4 Earnings Miss Estimates on Lower Hydrocarbon Production

Core Insights - YPF Sociedad Anónima reported a fourth-quarter 2025 loss of $1.67 per share, widening from a loss of 74 cents in the previous year, and missing the Zacks Consensus Estimate of 77 cents for earnings [1][9] - Total quarterly revenues were $4.56 billion, exceeding the Zacks Consensus Estimate of $4.41 billion, but decreased from $4.75 billion in the prior year [1][9] Financial Performance - The quarterly loss was primarily due to higher income tax, reduced hydrocarbon production, and lower crude oil and natural gas price realizations, although reduced total operating expenses partially offset these negatives [2] - Total operating expenses for the quarter were $1,530 million, a decline of 24.9% from $2,036 million in the year-ago quarter [7] Operational Performance - YPF's total hydrocarbon production in Q4 2025 was 488 thousand barrels of oil equivalent per day (Mboe/d), down 6.2% from 520.6 Mboe/d in Q4 2024 [3] - Crude oil production averaged 264.4 thousand barrels per day (MBbl/D), compared to 269.8 MBbl/D a year ago, primarily due to lower conventional production from mature fields [3] - Natural gas production decreased 13.8% year over year to 29.6 million cubic meters per day, affected by lower conventional gas output [4] Price Realizations - Average price realization for crude oil fell 19.2% year over year to $53 per barrel, while average natural gas price realization decreased 10.9% to $2.8 per million British thermal units [5] Midstream & Downstream Performance - Processed crude volumes reached 334.9 MBbl/D, a 10.1% increase from 304.1 MBbl/D in the year-ago quarter, with refinery utilization improving to 99.1% from 90% [6] - Adjusted EBITDA for the midstream and downstream segment, excluding the price effect of oil products on inventories, was $694 million, down 84.3% year over year due to a fall in local fuel prices [6] Cash Flow - Net cash flow from operating activities in the quarter was $1,738 million, with a free cash flow of $265 million [10] Balance Sheet - As of December 31, 2025, YPF had cash and short-term investments of $1.21 billion and total debt of $10.56 billion [11]