Eni Raises 2026 Buybacks as Second-Quarter Production Growth Accelerates
Key Takeaways
- •Eni reported second-quarter adjusted net profit of $2.65 billion, exceeding its consensus estimate of $2.4 billion.
- •The company increased its 2026 share buyback program to $3.9 billion, up by $683 million from its previous plan.
- •Total oil and gas production averaged 1.79 million boe/d in the quarter, a 7% increase from a year earlier.
- •Eni raised its average realized liquids price to $96.50 per barrel, up 54% year over year.
- •The company lifted its 2026 production guidance to around 5% underlying growth after the stronger results.
Eni (E:NYSE) is increasing its share buyback program for 2026 after reporting second-quarter earnings that beat consensus estimates, supported by higher oil and gas prices and a sharp rise in upstream production.
The Italian energy major posted an adjusted net profit of $2.65 billion (2.33 billion euros) for the second quarter, more than double the $1.29 billion (1.13 billion euros) it earned in the same period last year and above the company-provided consensus estimate of $2.4 billion (2.09 billion euros).
Eni said the profit increase reflected higher oil and gas realizations in a “supportive pricing environment,” along with stronger volumes and cost management, underscoring how integrated producers with growing upstream output can benefit when commodity prices and operational performance move in the same direction.
The company’s exploration and production (E&P) division reported pro forma adjusted EBIT rising 42% from the first quarter of 2026 and 97% from the second quarter of 2025. Eni said the improvement was driven by favorable volume and mix effects, cost discipline, and better oil realizations.
Eni’s average realized price of liquids increased 54% from a year earlier to $96.50 per barrel in the second quarter of 2026.
Total oil and gas production averaged 1.79 million boe/d in the April-to-June period, up 7% year over year. Eni said the increase was driven by project ramp-ups in Norway, Congo, and Mexico, new project start-ups in Angola, and a higher contribution from Indonesia/Malaysia, where the new JV Searah was launched. Quarterly underlying annual production growth was 11%, adjusted for the impact of portfolio transactions and price effects.
Following the results, Eni raised its 2026 production guidance to around 5% underlying growth. The company also increased its distribution policy for the year to $3.9 billion (3.4 billion euros) in share buybacks, up by $683 million (600 million euros) from its previous 2026 repurchase guidance, adding another sign that the company expects stronger operating momentum to continue into the next phase of the year.
With the stronger second-quarter performance, Eni joins European majors TotalEnergies and Equinor, which also reported higher profits from a year earlier as oil and gas prices surged during the Middle East crisis, delivering windfall earnings for major energy producers.
By Tsvetana Paraskova for Oilprice.com
