UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
Report of Foreign Private
Issuer
Pursuant to Rule 13a-16 or 15d-16 of the
Securities Exchange Act of 1934
For the month of November, 2024
Commission File Number 1-15106
PETRÓLEO BRASILEIRO S.A. – PETROBRAS
(Exact name of registrant as specified in its charter)
Brazilian Petroleum Corporation – PETROBRAS
(Translation of Registrant's name into English)
Avenida Henrique Valadares, 28 – 9th floor
20231-030 – Rio de Janeiro, RJ
Federative Republic of Brazil
(Address of principal executive office)
Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F.
Form 20-F ___X___ Form 40-F _______
Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.
Yes _______ No___X____
Table of Contents
| Highlights - 3Q24 | 4 |
| Main items | 5 |
| Consolidated results | 6 |
| Non-recurring items | 7 |
| Capex | 9 |
| Liquidity and capital resources | 12 |
| Debt indicators | 14 |
| Results by business segment | 15 |
| Exploration and Production | 15 |
| Refining, Transportation and Marketing | 17 |
| Gas and Low Carbon Energies | 18 |
| Reconciliation of Adjusted EBITDA | 19 |
| Exhibits | 20 |
| Financial statements | 20 |
| Financial information by business segment | 29 |
| Glossary | 40 |
PETROBRAS | Performance Report | 3Q24 | 2 |
| DISCLAIMER |
|
This report may contain forward-looking statements about future events. Such forecasts reflect only the expectations of the company's management about future economic conditions, as well as the company's industry, performance and financial results, among others. The terms "anticipates", "believes", "expects", "predicts", "intends", "plans", "projects", "aims", "should", as well as other similar terms, are intended to identify such forecasts, which, of course, involve risks and uncertainties foreseen or not foreseen by the company and, consequently, are not guarantees of the company's future results. Therefore, future results of the company's operations may differ from current expectations, and the reader should not rely solely on the information contained herein. The Company undertakes no obligation to update the presentations and forecasts in the light of new information or future developments. The figures reported for 3Q24 onwards are estimates or targets. Additionally, this presentation contains some financial indicators that are not recognized under BR GAAP or IFRS. These indicators do not have standardized meanings and may not be comparable to indicators with a similar description used by other companies. We provide these indicators because we use them as measures of the company's performance; they should not be considered in isolation or as a substitute for other financial metrics that have been disclosed in accordance with BR GAAP or IFRS. See definitions of Free Cash Flow, Adjusted EBITDA and Net Debt in the Glossary and respective reconciliations in the Liquidity and Capital Resources, Reconciliation of Adjusted EBITDA and Net Debt sections. Consolidated interim financial information prepared in accordance with International Accounting Standard IAS 34 - Interim Financial Reporting, issued by the International Accounting Standards Board (IASB) and reviewed by the independent auditors.
|
PETROBRAS | Performance Report | 3Q24 | 3 |
Highlights – 3Q24
|
* Considers only non-recurring items that impact EBITDA ** Net Income excluding non-recurring items and without the Exchange rate effect of Real vs Dollar |
In this third quarter of 2024, we achieved consistent financial results amid a context of declining Brent prices, which we were able to offset with higher sales volumes of oil products. We maintained strong cash generation of US$ 11.3 billion, up 24% from the previous quarter, sustained by the quality and performance of our assets. In 3Q24, we had no significant impact from non-recurring items, unlike in 2Q24. As a result, we recorded a net profit of US$ 5.9 billion and recurring EBITDA of US$ 11.6 billion.
We are also pleased to announce that we made investments of US$ 4.5 billion in this third quarter, around 30% more than last quarter. In the first nine months of the year, Petrobras investments amounted to US$ 10.9 billion. This demonstrates our commitment to delivering our projects and executing our Strategic Plan with diligence.
Evidence of this commitment is reflected in the early start-up of Maria Quitéria FPSO. Exactly 15 days later, FPSO Marechal Duque de Caxias started operating on October 30. Also in October, FPSO Almirante Tamandaré arrived in Brazil. This effort to execute and even anticipating deadlines deadlines will translate into accelerated revenue generation as these assets reach full capacity and in the increased supply of energy to the country. We are committed to Petrobras' growth and to creating value for shareholders and Brazilian society." Fernando Melgarejo, Chief Financial and Investor Relations Officer
PETROBRAS | Performance Report | 3Q24 | 4 |
Highlights – 3Q24
Main highlights:
| • | Strong operating cash generation of US$ 11.3 billion, among the six best quarters, and Free Cash Flow of US$ 6.9 billion |
| • | Consistent results: Recurring EBITDA of US$ 11.6 billion and Recurring Net income of US$ 5.9 billion |
| • | Financial debt reached US$ 25.8 billion, the lowest level since 2008. Gross debt is under control at US$ 59.1 billion, within the range established in our Strategic Plan |
| • | Capex totaled US$ 10.9 billion in 9M24, an increase of 19.5% compared to 9M23 |
Contributions
| • | Return to society with payment of R$ 64.4 billion in taxes |
| • | Approval of dividends and interest on equity of R$ 17.1 billion, to be paid in two installments (February and March). |
Table 1 – Main items
| Variation (%) | ||||||||
| US$ million | 3Q24 | 2Q24 | 3Q23 | 9M24 | 9M23 | 3Q24 X 2Q24 | 3Q24 X 3Q23 | 9M24 X 9M23 |
| Sales revenues | 23,366 | 23,467 | 25,552 | 70,601 | 75,302 | (0.4) | (8.6) | (6.2) |
| Gross profit | 12,005 | 11,727 | 13,570 | 35,989 | 39,320 | 2.4 | (11.5) | (8.5) |
| Operating expenses | (3,605) | (5,022) | (3,590) | (11,900) | (9,309) | (28.2) | 0.4 | 27.8 |
| Consolidated net income (loss) attributable to the shareholders of Petrobras | 5,870 | (344) | 5,456 | 10,308 | 18,625 | − | 7.6 | (44.7) |
| Recurring consolidated net income (loss) attributable to the shareholders of Petrobras (*) | 5,937 | 3,060 | 5,577 | 13,813 | 18,927 | 94.0 | 6.5 | (27.0) |
| Net cash provided by operating activities | 11,307 | 9,087 | 11,554 | 29,780 | 31,543 | 24.4 | (2.1) | (5.6) |
| Free cash flow | 6,857 | 6,148 | 8,364 | 19,552 | 23,001 | 11.5 | (18.0) | (15.0) |
| Adjusted EBITDA | 11,480 | 9,627 | 13,551 | 33,234 | 38,944 | 19.2 | (15.3) | (14.7) |
| Recurring adjusted EBITDA (*) | 11,614 | 11,967 | 13,691 | 36,006 | 40,168 | (2.9) | (15.2) | (10.4) |
| Gross debt (US$ million) | 59,132 | 59,630 | 60,997 | 59,132 | 60,997 | (0.8) | (3.1) | (3.1) |
| Net debt (US$ million) | 44,251 | 46,160 | 43,725 | 44,251 | 43,725 | (4.1) | 1.2 | 1.2 |
| Net debt/LTM Adjusted EBITDA ratio | 0.95 | 0.95 | 0.83 | 0.95 | 0.83 | − | 14.5 | 14.5 |
| Average commercial selling rate for U.S. dollar | 5.55 | 5.22 | 4.88 | 5.24 | 5.01 | 6.3 | 13.7 | 4.6 |
| Brent crude (US$/bbl) | 80.18 | 84.94 | 86.76 | 82.79 | 82.14 | (5.6) | (7.6) | 0.8 |
| Price of basic oil products - Domestic Market (US$/bbl) | 88.10 | 91.34 | 95.04 | 91.76 | 99.97 | (3.5) | (7.3) | (8.2) |
| TRI (total recordable injuries per million men-hour frequency rate) | - | - | - | 0.70 | 0.80 | - | - | (12.5) |
| ROCE (Return on Capital Employed) | 9.2% | 9.8% | 11.5% | 9.2% | 11.5% | -0.6 p.p. | -2.3 p.p. | -2.3 p.p. |
| (*) See reconciliation of Recurring net income and Adjusted EBITDA in the non-recurring Items section. | ||||||||
PETROBRAS | Performance Report | 3Q24 | 5 |
Consolidated Results
In 3Q24, we posted solid results, despite a challenging external scenario. Recurring Adjusted EBITDA reached US$ 11.6 billion and recurring net income was US$ 5.9 billion.
Recurring Adjusted EBITDA for 3Q24 was 3% lower than the previous quarter, reflecting a 6% decline in Brent prices and a lower margin on oil products, especially diesel, due to a 16% international crack spread decrease. These impacts were partially offset by a higher volume of oil produced in the oil products mix and the increase in sales.
In addition, there was an increase in domestic oil sales, due to increased deliveries to Acelen, and higher revenues from electricity.
Operating expenses totaled US$ 3.6 billion, a 28% decrease compared to 2Q24, mainly reflecting the absence of special items recorded in the previous quarter, especially costs related to the tax transaction.
The financial result for 3Q24 was a negative US$ 281 million, an improvement from the negative $6.9 billion recorded in 2Q24. This result was mainly impacted by the appreciation of BRL against dollar. BRL appreciated by 2% in 3Q24 (final exchange rate of R$5.45/US$), compared to a 11.2% depreciation in 2Q24 (final exchange rate of R$5.56/US$). Additionally, financial expenses were lower due to the impact of tax transaction adherence recorded in the previous quarter.
Net income reached US$ 5.9 billion due to improved financial results and lower operating expenses.
In 3Q24, there was no significant impact from non-recurring items. Disregarding these items, net profit and Recurring EBITDA would have remained at the same level.
PETROBRAS | Performance Report | 3Q24 | 6 |
Non-recurring Items
Table 2 – Non-recurring items
| Variation (%) | ||||||||
| US$ million | 3Q24 | 2Q24 | 3Q23 | 9M24 | 9M23 | 3Q24 X 2Q24 | 3Q24 X 3Q23 | 9M24 X 9M23 |
| Net income (loss) | 5,891 | (325) | 5,484 | 10,371 | 18,713 | − | 7.4 | (44.6) |
| Non-recurring items | (100) | (4,271) | (187) | (4,433) | (460) | (97.7) | (46.5) | 863.7 |
| Non-recurring items that do not affect Adjusted EBITDA | 34 | (1,931) | (47) | (1,661) | 764 | − | − | − |
| Impairment of assets and investments | (3) | 39 | (71) | 61 | (474) | − | (95.8) | − |
| Gains and losses on disposal/write-offs of assets | (97) | 124 | (37) | 190 | 1,150 | − | 162.2 | (83.5) |
| Results from co-participation agreements in bid areas | − | 55 | 19 | 103 | 46 | − | − | 123.9 |
| Effect of the tax transaction on net finance income (expense) | 110 | (2,149) | − | (2,039) | − | − | − | − |
| Discount and premium on repurchase of debt securities | 24 | − | 42 | 24 | 42 | − | (42.9) | (42.9) |
| Other non-recurring items | (134) | (2,340) | (140) | (2,772) | (1,224) | (94.3) | (4.3) | 126.5 |
| Voluntary Separation Plan | 11 | (1) | 1 | 8 | 6 | − | 1000.0 | 33.3 |
| Collective bargaining agreement | − | (6) | − | (9) | (6) | − | − | 50.0 |
| Amounts recovered from Lava Jato investigation | 31 | 2 | 6 | 38 | 99 | 1450.0 | 416.7 | (61.6) |
| Gains/(losses) on decommissioning of returned/abandoned areas | − | − | (2) | (7) | (13) | − | − | (46.2) |
| Gains/(losses) related to legal proceedings | (287) | (240) | (140) | (808) | (670) | 19.6 | 105.0 | 20.6 |
| Effect of the tax transaction on other taxes | 105 | (790) | − | (685) | − | − | − | − |
| Equalization of expenses - Production Individualization Agreements | (5) | (14) | (15) | (29) | (38) | (64.3) | (66.7) | (23.7) |
| Gains/(losses) arising from actuarial review of health care plan | − | (1,291) | − | (1,291) | − | − | − | − |
| Gains/(losses) with the transfer of rights on concession agreements | 11 | − | − | 11 | − | − | − | − |
| Compensation for the termination of a vessel charter agreement | − | − | − | − | (317) | − | − | − |
| Export tax on crude oil | − | − | 10 | − | (285) | − | − | − |
| Net effect of non-recurring items on IR/CSLL | 33 | 869 | 67 | 931 | 159 | (96.2) | (50.7) | 485.5 |
| Recurring net income | 5,958 | 3,077 | 5,604 | 13,873 | 19,014 | 93.6 | 6.3 | (27.0) |
| Shareholders of Petrobras (*) | 5,937 | 3,060 | 5,577 | 13,813 | 18,927 | 94.0 | 6.5 | (27.0) |
| Non-controlling interests | 21 | 17 | 27 | 60 | 87 | 23.5 | (22.2) | (31.0) |
| Adjusted EBITDA | 11,480 | 9,627 | 13,551 | 33,234 | 38,944 | 19.2 | (15.3) | (14.7) |
| Non-recurring items | (134) | (2,340) | (140) | (2,772) | (1,224) | (94.3) | (4.3) | 126.5 |
| Recurring Adjusted EBITDA | 11,614 | 11,967 | 13,691 | 36,006 | 40,168 | (2.9) | (15.2) | (10.4) |
| (*) Recurring net income excluding foreign exchange variation of Brazilian Reais x Dollar in the following periods: 3Q24: +US$ 5,474 million; 2Q24: +US$ 5,394 million; 3Q23: +US$ 6,246 million; 9M24: +US$ 16,286 million; 9M23: +US$ 17,993 million. | ||||||||
PETROBRAS | Performance Report | 3Q24 | 7 |
Non-recurring Items
In management's view, the non-recurring items presented above, although related to the Company's business, were highlighted as complementary information for a better understanding and evaluation of the result. Such items do not necessarily occur in all periods and shall be disclosed when relevant.
PETROBRAS | Performance Report | 3Q24 | 8 |
Capex
Table 3 - Capex
| Variation (%) | ||||||||
| US$ million | 3Q24 | 2Q24 | 3Q23 | 9M24 | 9M23 | 3Q24 X 2Q24 | 3Q24 X 3Q23 | 9M24 X 9M23 |
| Exploration & Production | 3,773 | 2,767 | 2,892 | 9,013 | 7,531 | 36.4 | 30.5 | 19.7 |
| Refining, Transportation and Marketing | 452 | 447 | 322 | 1,262 | 1,029 | 1.1 | 40.4 | 22.6 |
| Gas & Low Carbon Energies | 97 | 93 | 67 | 297 | 143 | 3.8 | 43.8 | 108.0 |
| Others | 111 | 86 | 111 | 298 | 271 | 29.7 | 0.0 | 9.8 |
| Subtotal | 4,433 | 3,393 | 3,392 | 10,869 | 8,974 | 30.7 | 30.7 | 21.1 |
| Signature bonus | 21 | − | − | 21 | 141 | − | − | (85.2) |
| Total | 4,454 | 3,393 | 3,392 | 10,890 | 9,115 | 31.3 | 31.3 | 19.5 |
In 3Q24, Capex totaled US$ 4.5 billion, 31.3% higher than in 2Q24. In the first nine months of the year, Capex totaled US$ 10.9 billion, an increase of 19.5% compared to 9M23.
In the Exploration and Production segment, Capex amounted to US$ 3.8 billion, 36.4% higher than in 2Q24, and were mainly concentrated on: (i) developing production in the Santos Basin pre-salt area (US$ 2.2 billion); (ii) developing production in the Campos Basin pre/ post-salt areas (US$ 0.8 billion); (iii) exploratory investments (US$ 0.2 billion). The increase compared to the previous quarter does not change the 2024 investment projection revised in 2Q24 and is largely due to the concentration of planned milestone payments, including those related to the arrival of equipment for the new production units in Búzios, and the realization of Capex related to the beginning of construction work on units P-84, in Atapu, and P-85, in Sépia.
In the Refining, Transportation and Marketing segment, Capex totaled US$ 0.5 billion, in line with 2Q24, with emphasis on spending on scheduled refinery stoppages and progress of REPLAN's medium hydrotreating (HDT) project.
In the Gas and Low-Carbon Energy segment, Capex totaled US$ 0.1 billion, in line with 2Q24, with investments in the Rota-3 natural gas processing unit standing out.
In addition, there was a payment of US$ 21 million relating to signature bonuses for 26 blocks (Shell partnership) in the Pelotas Basin.
The following table presents the main information about the new oil and gas production systems, already contracted.
PETROBRAS | Performance Report | 3Q24 | 9 |
Capex
Table 4 – Main projects
| Unit | Start-up | FPSO capacity (bbl/day) |
Petrobras Actual Investment (US$ bn) |
Petrobras Total Investment (US$ bn) (1) |
Petrobras Stake | Status |
|
Mero 2 FPSO Sepetiba (Chartered unit) |
2023 | 180,000 | 0.8 | 1.1 | 38.6% |
Project in execution phase with production system in operation. 13 wells drilled and 13 completed. |
|
Integrado Parque das Baleias (IPB) FPSO Maria Quitéria (Chartered unit) |
2024 | 100,000 | 0.9 | 1.9 | 100% |
Project in execution phase with production system in operation. 3 wells drilled and 3 completed. (2) |
|
Mero 3 FPSO Marechal Duque de Caxias (Chartered unit) |
2024 | 180,000 | 0.4 | 0.9 | 38.6% |
Project in execution phase with production system in operation. 12 wells drilled and 11 completed. |
|
Búzios 7 FPSO Almirante Tamandaré (Chartered unit) |
2025 | 225,000 | 1.0 | 2.1 | 88.99% |
Project in execution phase with production system at location. 14 wells drilled and 8 completed. |
|
Búzios 6 P-78 (Owned unit) |
2025 | 180,000 | 1.9 | 4.8 | 88.99% |
Project in execution phase with production system under construction. 7 wells drilled and 4 completed. |
|
Mero 4 FPSO Alexandre de Gusmão (Chartered unit) |
2025 | 180,000 | 0.2 | 1.3 | 38.6% |
Project in execution phase with production system under construction. 7 wells drilled and 5 completed. |
|
Búzios 8 P-79 (Owned unit) |
2026 | 180,000 | 1.7 | 5.1 | 88.99% |
Project in execution phase with production system under construction. 9 wells drilled and 4 completed. |
|
Búzios 9 P-80 (Owned unit) |
2026 | 225,000 | 1.0 | 5.4 | 88.99% |
Project in execution phase with production system under construction. 3 wells drilled and 2 completed. |
PETROBRAS | Performance Report | 3Q24 | 10 |
Capex
|
Búzios 10 P-82 (Owned unit) |
2027 | 225,000 | 1.0 | 6.1 | 88.99% |
Project in execution phase with production system under construction. 1 well drilled. |
|
Búzios 11 P-83 (Owned unit) |
2027 | 225,000 | 0.6 | 5.5 | 88.99% |
Project in execution phase with production system under construction. 2 wells drilled. |
|
Raia Manta e Raia Pintada BM-C-33 (Non-operated project) |
2028 | 126,000 | 0.6 | 2,7 (3) | 30% | Project in execution phase with production system under construction. |
|
Atapu 2 P-84 |
2029 | 225,000 | 0.2 | 6.0 | 65.7% | Project in execution phase. |
|
Sépia 2 P-85 |
2030 | 225,000 | 0.1 | 4.7 | 55.3% | Project in execution phase. |
|
(1) Total investment with the 2024-28+ Strategic Plan assumptions and Petrobras work interest (WI). Chartered units leases are not included. (2) Production Unit for revitalization project. Refers only to new wells. The scope of the project also includes the relocation of some wells of the units being decommissioned. (3) It is included investment in the FPSO, contracted on a lump sum turnkey modality, which includes engineering, procurement, construction and installation for the unit. The contractor will also provide FPSO operation and maintenance services during the first year from the start of production. | ||||||
PETROBRAS | Performance Report | 3Q24 | 11 |
Liquidity and Capital Resources
Liquidity and capital resources
Table 5 - Liquidity and capital resources
| US$ million | 3Q24 | 2Q24 | 3Q23 | 9M24 | 9M23 |
| Adjusted cash and cash equivalents at the beginning of period | 13,470 | 18,192 | 15,794 | 17,902 | 12,283 |
| Government bonds, bank deposit certificates and time deposits with maturities of more than 3 months at the beginning of period (*) | (5,586) | (6,645) | (5,443) | (5,175) | (4,287) |
| Cash and cash equivalents at the beginning of period | 7,884 | 11,547 | 10,351 | 12,727 | 7,996 |
| Net cash provided by operating activities | 11,307 | 9,087 | 11,554 | 29,780 | 31,543 |
| Net cash (used in) provided by investing activities | (4,742) | (2,032) | (2,828) | (10,098) | (4,727) |
| Acquisition of PP&E and intangible assets | (4,443) | (2,934) | (3,185) | (10,215) | (8,520) |
| Acquisition of equity interests | (7) | (5) | (5) | (13) | (22) |
| Proceeds from disposal of assets - Divestment | 25 | 197 | 103 | 791 | 3,564 |
| Financial compensation from co-participation agreements | − | − | − | 397 | 391 |
| Divestment (investment) in marketable securities | (374) | 670 | 253 | (1,179) | (215) |
| Dividends received | 57 | 40 | 6 | 121 | 75 |
| (=) Net cash provided by operating and investing activities | 6,565 | 7,055 | 8,726 | 19,682 | 26,816 |
| Net cash used in financing activities | (5,895) | (10,371) | (7,048) | (23,434) | (22,829) |
| Changes in non-controlling interest | (232) | 32 | (52) | (107) | (102) |
| Net financings | (1,457) | (1,147) | (330) | (4,203) | (2,754) |
| Proceeds from finance debt | 986 | 565 | 1,238 | 1,553 | 1,300 |
| Repayments | (2,443) | (1,712) | (1,568) | (5,756) | (4,054) |
| Repayment of lease liability | (1,913) | (1,965) | (1,632) | (5,796) | (4,494) |
| Dividends paid to shareholders of Petrobras | (2,293) | (7,123) | (4,837) | (12,871) | (15,234) |
| Share repurchase program | − | (148) | (197) | (380) | (197) |
| Dividends paid to non-controlling interests | − | (20) | − | (77) | (48) |
| Effect of exchange rate changes on cash and cash equivalents | 140 | (347) | 81 | (281) | 127 |
| Cash and cash equivalents at the end of period | 8,694 | 7,884 | 12,110 | 8,694 | 12,110 |
| Government bonds, bank deposit certificates and time deposits with maturities of more than 3 months at the end of period (*) | 6,187 | 5,586 | 5,162 | 6,187 | 5,162 |
| Adjusted cash and cash equivalents at the end of period | 14,881 | 13,470 | 17,272 | 14,881 | 17,272 |
| Reconciliation of Free Cash Flow | |||||
| Net cash provided by operating activities | 11,307 | 9,087 | 11,554 | 29,780 | 31,543 |
| Acquisition of PP&E and intangible assets | (4,443) | (2,934) | (3,185) | (10,215) | (8,520) |
| Acquisition of equity interests | (7) | (5) | (5) | (13) | (22) |
| Free cash flow (**) | 6,857 | 6,148 | 8,364 | 19,552 | 23,001 |
|
(*) Includes government bonds, bank deposit certificates and time deposits of companies classified as held for sale. (**) Free cash flow (FCF) is in accordance with the new Shareholder Remuneration Policy (“Policy”) approved on 07/28/2023 and corresponds to operating cash flow minus acquisitions of property, plant and equipment, intangible assets and equity interests. For comparative purposes, figures prior to 2Q23 have been adjusted in accordance with the new Policy. | |||||
PETROBRAS | Performance Report | 3Q24 | 12 |
Liquidity and Capital Resources
As of September 30, 2024, cash and cash equivalents totaled US$ 8.7 billion and adjusted cash and cash equivalents totaled US$ 14.9 billion.
In 3Q24, funds generated by operating activities reached US$ 11.3 billion and free cash flow totaled US$ 6.9 billion. This quarter, operating cash flow was mainly favored by a reduction in income tax and social contribution payments, resulting from the adherence to the tax transaction in 2Q24 and the tax benefit from the anticipation of dividends in the form of interest on own capital for the 2024 fiscal year. This level of cash generation was used to: (a) make investments (US$ 4.4 billion), (b) principal and interest due in the period amortization (US$ 2.4 billion), (c) remunerate shareholders (US$ 2.3 billion), and (d) lease liabilities amortization (US$ 1.9 billion).
In 3Q24, the company paid off various loans and financing in the amount of US$ 2.4 billion, including the repurchase and redemption of US$ 1.3 billion of securities on the international capital market.
The company raised US$ 1.0 billion by offering bonds on the international capital market (Global Notes), maturing in 2035. These funds were used for liability management, aiming to extend debt maturities and improving the capital structure, to preserve liquidity and solvency.
PETROBRAS | Performance Report | 3Q24 | 13 |
Debt Indicators
As of 09/30/2024, gross debt reached US$ 59.1 billion, the same level as in the previous quarter, and remains within the range established in our Strategic Plan.
Average maturity went from 11.76 years on June 30, 2024, to 11.57 years on September 30, 2024; and its average cost was stable at 6.6% p.a. in the same period.
The gross debt/adjusted EBITDA ratio was 1.27x on 09/30/2024 compared to 1.22x on 06/30/2024.
On 09/30/2024, net debt reached US$ 44.3 billion, a decrease of 4.1% compared to 06/30/2024.
Table 6 – Debt indicators
| US$ million | 09.30.2024 | 06.30.2024 | Δ % | 09.30.2023 |
| Financial Debt | 25,756 | 26,321 | (2.1) | 29,462 |
| Capital Markets | 16,005 | 16,554 | (3.3) | 17,769 |
| Banking Market | 7,490 | 7,327 | 2.2 | 8,863 |
| Development banks | 587 | 585 | 0.3 | 690 |
| Export Credit Agencies | 1,517 | 1,702 | (10.9) | 1,978 |
| Others | 157 | 153 | 2.6 | 162 |
| Finance leases | 33,376 | 33,309 | 0.2 | 31,535 |
| Gross debt | 59,132 | 59,630 | (0.8) | 60,997 |
| Adjusted cash and cash equivalents | 14,881 | 13,470 | 10.5 | 17,272 |
| Net debt | 44,251 | 46,160 | (4.1) | 43,725 |
| Net Debt/(Net Debt + Market Cap) - Leverage | 33% | 33% | − | 32% |
| Average interest rate (% p.a.) | 6.6 | 6.6 | − | 6.5 |
| Weighted average maturity of outstanding debt (years) | 11.57 | 11.76 | (1.6) | 11.43 |
| Net debt/LTM Adjusted EBITDA ratio | 0.95 | 0.95 | − | 0.83 |
| Gross debt/LTM Adjusted EBITDA ratio | 1.27 | 1.22 | 3.6 | 1.15 |
PETROBRAS | Performance Report | 3Q24 | 14 |
Results by Business Segment
Table 7 – E&P results
| Variation (%) (*) | ||||||||
| US$ million | 3Q24 | 2Q24 | 3Q23 | 9M24 | 9M23 | 3Q24 X 2Q24 | 3Q24 X 3Q23 | 9M24 X 9M23 |
| Sales revenues | 15,383 | 15,668 | 17,922 | 47,128 | 48,374 | (1.8) | (14.2) | (2.6) |
| Gross profit | 9,404 | 9,440 | 10,771 | 28,307 | 28,732 | (0.4) | (12.7) | (1.5) |
| Operating expenses | (1,222) | (1,551) | (1,161) | (3,403) | (1,837) | (21.2) | 5.3 | 85.2 |
| Operating income | 8,182 | 7,889 | 9,610 | 24,904 | 26,895 | 3.7 | (14.9) | (7.4) |
| Net income (loss) attributable to the shareholders of Petrobras | 5,416 | 5,237 | 6,275 | 16,499 | 17,719 | 3.4 | (13.7) | (6.9) |
| Adjusted EBITDA of the segment | 10,451 | 10,060 | 12,360 | 31,693 | 33,132 | 3.9 | (15.4) | (4.3) |
| EBITDA margin of the segment (%) | 68 | 64 | 69 | 67 | 68 | 3.7 | (1.0) | (1) |
| ROCE (Return on Capital Employed) (%) | 13.4 | 14.2 | 14.5 | 13.4 | 14.5 | (0.8) | (1.1) | (1.1) |
| Average Brent crude (US$/bbl) | 80.18 | 84.94 | 86.76 | 82.79 | 82.14 | (5.6) | (7.6) | 0.8 |
| Production taxes Brazil | 2,833 | 2,946 | 3,377 | 8,760 | 8,856 | (3.8) | (16.1) | (1.1) |
| Royalties | 1,774 | 1,838 | 1,981 | 5,483 | 5,144 | (3.5) | (10.4) | 6.6 |
| Special participation | 1,050 | 1,099 | 1,385 | 3,250 | 3,677 | (4.5) | (24.2) | (11.6) |
| Retention of areas | 9 | 9 | 11 | 27 | 35 | − | (18.2) | (22.9) |
| Lifting cost Brazil (US$/boe) | 5.78 | 6.05 | 5.39 | 5.96 | 5.61 | (4.5) | 7.3 | 6.2 |
| Pre-salt | 3.78 | 3.87 | 3.49 | 3.88 | 3.64 | (2.4) | 8.3 | 6.7 |
| Deep and ultra-deep post-salt | 16.57 | 16.62 | 12.18 | 16.08 | 12.66 | (0.3) | 36.0 | 27.0 |
| Onshore and shallow waters | 16.74 | 16.83 | 16.22 | 16.63 | 15.51 | (0.5) | 3.2 | 7.2 |
| Lifting cost + Leases | 8.23 | 8.49 | 7.64 | 8.38 | 7.61 | (3.1) | 7.8 | 10.1 |
| Pre-salt | 6.10 | 6.26 | 5.61 | 6.21 | 5.64 | (2.5) | 8.7 | 10.1 |
| Deep and ultra-deep post-salt | 20.41 | 19.90 | 15.35 | 19.53 | 15.00 | 2.6 | 33.0 | 30.2 |
| Onshore and shallow waters | 16.74 | 16.83 | 16.22 | 16.63 | 15.51 | (0.5) | 3.2 | 7.2 |
| Lifting cost + Production taxes | 19.49 | 20.16 | 20.40 | 19.90 | 19.65 | (3.3) | (4.5) | 1.3 |
| Lifting cost + Production taxes + Leases | 21.94 | 22.61 | 22.65 | 22.33 | 21.66 | (2.9) | (3.1) | 3.1 |
| (*) EBITDA margin and ROCE variations in percentage points. | ||||||||
In 3Q24, the gross profit of E&P was US$ 9.4 billion, in line with the previous quarter, mainly explained by lower Brent prices.
The operating profit in 3Q24 was US$ 8.2 billion, 4% higher than the previous quarter. This growth is due to the lower 3Q24 tax expenses in comparison with 2Q24, partially offset by higher exploration expenses resulting from the evaluation of non-economic projects in Blocks C-M-657 and C-M-709, located in the Campos Basin.
The lifting cost calculated in 3Q24, excluding governmental participation and chartering, was US$ 5.78/boe, 4.5% lower than the last quarter (US$ 6.05/boe). This reduction occurred mainly due to the exchange rate effect resulting from the devaluation of the Brazilian real against the dollar by 6% and the increase in production in the pre-salt, influenced by reaching the production peak of FPSO Sepetiba and the start-up of new wells in projects in the Búzios and Tupi fields. These effects were partially offset by cost increases, mainly related to underwater inspections in the Roncador, Marlim, Caratinga, Barracuda, and Tupi fields.
PETROBRAS | Performance Report | 3Q24 | 15 |
Results by Business Segment
In the pre-salt, there was a 2.4% reduction in lifting cost, driven by the effect of currency depreciation and increased production, resulting from reaching the production peak of FPSO Sepetiba and the start-up of new wells in projects in the Búzios and Tupi fields. These effects were partially offset by cost increases related to underwater inspections in the Caratinga, Barracuda, and Tupi fields.
In the post-salt, the lifting cost remained stable compared to the previous quarter. The reduction caused by the effect of currency depreciation was offset by the decrease in production due to some shutdowns in the Campos Basin, especially in the Marlim Sul field.
In the onshore and shallow waters assets, the lifting cost remained at the same level compared to the previous quarter. The effect of currency depreciation was partially offset by the decrease in production due to a higher volume of losses from maintenance shutdowns.
PETROBRAS | Performance Report | 3Q24 | 16 |
Results by Business Segment
Refining, Transportation and Marketing
Table 8 - RTM results
| Variation (%) (*) | ||||||||
| US$ million | 3Q24 | 2Q24 | 3Q23 | 9M24 | 9M23 | 3Q24 X 2Q24 | 3Q24 X 3Q23 | 9M24 X 9M23 |
| Sales revenues | 21,739 | 22,061 | 23,691 | 65,990 | 69,590 | (1.5) | (8.2) | (5.2) |
| Gross profit | 1,236 | 1,504 | 2,291 | 4,947 | 6,994 | (17.8) | (46.0) | (29.3) |
| Operating expenses | (781) | (701) | (791) | (2,318) | (3,120) | 11.4 | (1.3) | (25.7) |
| Operating Income | 455 | 803 | 1,500 | 2,629 | 3,874 | (43.3) | (69.7) | (32.1) |
| Net income (loss) attributable to the shareholders of Petrobras | 255 | 279 | 814 | 1,309 | 2,325 | (8.6) | (68.7) | (43.7) |
| Adjusted EBITDA of the segment | 1,078 | 1,360 | 2,111 | 4,432 | 6,089 | (20.7) | (48.9) | (27.2) |
| EBITDA margin of the segment (%) | 5 | 6 | 9 | 7 | 9 | (1) | (4) | (2) |
| ROCE (Return on Capital Employed) (%) | 3.1 | 4.6 | 6.7 | 3.1 | 6.7 | (1.5) | (3.6) | (3.6) |
| Refining cost (US$ / barrel) - Brazil | 2.84 | 2.63 | 2.38 | 2.70 | 2.25 | 8.0 | 19.3 | 20.0 |
| Price of basic oil products - Domestic Market (US$/bbl) | 88.10 | 91.34 | 95.04 | 91.76 | 99.97 | (3.5) | (7.3) | (8.2) |
| (*) EBITDA margin and ROCE variations in percentage points. | ||||||||
In 3Q24, the gross profit of RTC decreased compared to 2Q24, mainly due to lower margins on oil products in the domestic market. Considering the effect of inventory turnover of US$ 186 million in 3Q24 and US$ 541 million in 2Q24, the gross profit of RTC would have been US$ 1.050 million in 3Q24 and US$ 963 million in 2Q24.
There were lower margins in the domestic market, mainly in diesel and Jet A-1, following the decline in international margins for these derivatives between quarters. The volume of sales in the domestic market was higher, mainly for diesel, driven by seasonal consumption with the grain harvest and increased industrial activity, and for gasoline due to greater competitiveness compared to ethanol in flex-fuel vehicle fueling. These factors helped offset, albeit partially, the reduction in margins.
In 3Q24, the operating profit was lower compared to 2Q24, reflecting the reduction in gross profit and higher operating expenses in the period, mainly due to the reversal of impairment of Araucária Nitrogenados (ANSA) that occurred in 2Q24.
In 3Q24, the refining unit cost in dollars was 8.0% higher than in 2Q24. Higher personnel expenses related to the collective labor agreement (ACT) and materials and services related to maintenance and preservation stood out. The higher processed load in 3Q24 and the exchange rate effect partially offset the increase in absolute cost.
PETROBRAS | Performance Report | 3Q24 | 17 |
Results by Business Segment
Table 9 – G&LCE results
| Variation (%) (1) | ||||||||
| US$ million | 3Q24 | 2Q24 | 3Q23 | 9M24 | 9M23 | 3Q24 X 2Q24 | 3Q24 X 3Q23 | 9M24 X 9M23 |
| Sales revenues | 2,341 | 2,198 | 2,629 | 6,961 | 8,250 | 6.5 | (11.0) | (15.6) |
| Gross profit | 970 | 1,102 | 1,463 | 3,317 | 3,991 | (12.0) | (33.7) | (16.9) |
| Operating expenses | (801) | (867) | (906) | (2,557) | (2,450) | (7.6) | (11.6) | 4.4 |
| Operating income | 169 | 235 | 557 | 760 | 1,541 | (28.1) | (69.7) | (50.7) |
| Net income (loss) attributable to the shareholders of Petrobras | 109 | 179 | 344 | 530 | 978 | (39.1) | (68.3) | (45.8) |
| Adjusted EBITDA of the segment | 299 | 372 | 741 | 1,161 | 1,979 | (19.6) | (59.6) | (41.3) |
| EBITDA margin of the segment (%) | 13 | 17 | 28 | 17 | 24 | (4) | (15) | (7) |
| ROCE (Return on Capital Employed) (%) (2) | 6.1 | 8.8 | 9.5 | 6.1 | 9.5 | (2.7) | (3.4) | (3.4) |
| Natural gas sales price - Brazil (US$/bbl) | 59.61 | 63.69 | 66.20 | 63.74 | 70.16 | (6.4) | (10.0) | (9.2) |
| Natural gas sales price - Brazil (US$/MMBtu) | 10.05 | 10.74 | 11.16 | 10.75 | 11.83 | (6.4) | (9.9) | (9.1) |
| Fixed revenues from power auctions (3)(4) | 57 | 61 | 89 | 182 | 258 | (8.0) | (36.6) | (29.3) |
| Average electricity sales price (US$/MWh) (4)(5) | 73.55 | 28.11 | 18.63 | 62.83 | 14.23 | 161.7 | 294.8 | 341.7 |
|
(1) EBITDA margin and ROCE variations in percentage points. (2) 2Q24 figure revised due to the reclassification of fertilizer assets that left the G&LCE and were migrated to the RTM in 2023 and, until then, were not fully reflected in the ROCE calculation. (3) The fixed revenue from auctions considers the remuneration for thermal availability and inflexible electricity committed in auctions. (4) For the current period, the figures for the Energy segment are subject to possible changes once the final report from the Chamber of Electric Energy Commercialization - CCEE is issued. (5) 2Q24 figure revised after the issuance of the final report from the Chamber of Electric Energy Commercialization - CCEE.
| ||||||||
In 3Q24, the gross profit of the Gas and Low Carbon Energies segment was lower compared to 2Q24, due to the reduction in the average selling price of natural gas and the need for increased LNG imports. The average selling price of gas reflected currency fluctuations, as well as the effects of the performance premium implemented since June, aiming to preserve Petrobras' competitiveness in the non-thermal market.
Furthermore, it is worth noting that in 3Q24 were observed lower operating expenses, mainly due to the impact of currency depreciation on transportation tariffs and the reversal of a judicial loss, which had a positive impact on operating profit compared to 2Q24.
PETROBRAS | Performance Report | 3Q24 | 18 |
Reconciliation of Adjusted EBITDA
Reconciliation of Adjusted EBITDA
EBITDA is an indicator calculated as the net income for the period plus taxes on profit, net financial result, depreciation and amortization. Petrobras announces EBITDA, as authorized by CVM Resolution No. 156, of June 2022.
In order to reflect the management view regarding the formation of the company's current business results, EBITDA is also presented adjusted (Adjusted EBITDA) as a result of: results in equity-accounted investments; impairment, results with co-participation agreement in production fields and gains/losses on disposal/write-offs of assets.
Adjusted EBITDA, reflecting the sum of the last twelve months (Last Twelve Months), also represents an alternative to the company's operating cash generation. This measure is used to calculate the Gross Debt and Net Debt to Adjusted EBITDA metric, helping to evaluate the company's leverage and liquidity.
EBITDA and adjusted EBITDA are not provided for in International Financial Reporting Standards (IFRS) and should not serve as a basis for comparison with those disclosed by other companies and should not be considered as a substitute for any other measure calculated in accordance with IFRS. These measures should be considered in conjunction with other measures and indicators for a better understanding of the company's performance and financial condition.
Table 10 - Reconciliation of Adjusted EBITDA
| Variation (%) (*) | ||||||||
| US$ million | 3Q24 | 2Q24 | 3Q23 | 9M24 | 9M23 | 3Q24 X 2Q24 | 3Q24 X 3Q23 | 9M24 X 9M23 |
| Net income (loss) | 5,891 | (325) | 5,484 | 10,371 | 18,713 | − | 7.4 | (44.6) |
| Net finance income (expense) | 281 | 6,869 | 1,985 | 9,089 | 2,628 | (95.9) | (85.8) | 245.9 |
| Income taxes | 2,205 | (27) | 2,263 | 4,325 | 8,435 | − | (2.6) | (48.7) |
| Depreciation, depletion and amortization | 2,983 | 3,138 | 3,475 | 9,483 | 9,648 | (4.9) | (14.2) | (1.7) |
| EBITDA | 11,360 | 9,655 | 13,207 | 33,268 | 39,424 | 17.7 | (14.0) | (15.6) |
| Results of equity-accounted investments | 23 | 188 | 248 | 304 | 235 | (87.8) | (90.7) | 29.4 |
| Impairment of assets (reversals), net | − | (37) | 78 | (46) | 482 | − | − | − |
| Results on disposal/write-offs of assets | 97 | (124) | 37 | (189) | (1,150) | − | 162.2 | (83.6) |
| Results from co-participation agreements in bid areas | − | (55) | (19) | (103) | (47) | − | − | 119.1 |
| Adjusted EBITDA | 11,480 | 9,627 | 13,551 | 33,234 | 38,944 | 19.2 | (15.3) | (14.7) |
| Adjusted EBITDA margin (%) | 49 | 41 | 53 | 47 | 52 | 8.0 | (4.0) | (5.0) |
| (*) EBITDA Margin variations in percentage points. | ||||||||
PETROBRAS | Performance Report | 3Q24 | 19 |
Exhibits
Table 11 - Income statement - Consolidated
| US$ million | 3Q24 | 2Q24 | 3Q23 | 9M24 | 9M23 |
| Sales revenues | 23,366 | 23,467 | 25,552 | 70,601 | 75,302 |
| Cost of sales | (11,361) | (11,740) | (11,982) | (34,612) | (35,982) |
| Gross profit | 12,005 | 11,727 | 13,570 | 35,989 | 39,320 |
| Selling expenses | (1,193) | (1,268) | (1,288) | (3,794) | (3,709) |
| General and administrative expenses | (409) | (549) | (395) | (1,405) | (1,140) |
| Exploration costs | (406) | (174) | (480) | (715) | (828) |
| Research and development expenses | (195) | (193) | (186) | (571) | (512) |
| Other taxes | (55) | (948) | (114) | (1,143) | (643) |
| Impairment (losses) reversals, net | − | 37 | (78) | 46 | (482) |
| Other income and expenses, net | (1,347) | (1,927) | (1,049) | (4,318) | (1,995) |
| (3,605) | (5,022) | (3,590) | (11,900) | (9,309) | |
| Operating income | 8,400 | 6,705 | 9,980 | 24,089 | 30,011 |
| Finance income | 491 | 477 | 600 | 1,520 | 1,581 |
| Finance expenses | (881) | (2,932) | (1,163) | (4,885) | (2,875) |
| Foreign exchange gains (losses) and inflation indexation charges | 109 | (4,414) | (1,422) | (5,724) | (1,334) |
| Net finance income (expense) | (281) | (6,869) | (1,985) | (9,089) | (2,628) |
| Results of equity-accounted investments | (23) | (188) | (248) | (304) | (235) |
| Income (loss) before income taxes | 8,096 | (352) | 7,747 | 14,696 | 27,148 |
| Income taxes | (2,205) | 27 | (2,263) | (4,325) | (8,435) |
| Net Income (loss) | 5,891 | (325) | 5,484 | 10,371 | 18,713 |
| Net income (loss) attributable to: | |||||
| Shareholders of Petrobras | 5,870 | (344) | 5,456 | 10,308 | 18,625 |
| Non-controlling interests | 21 | 19 | 28 | 63 | 88 |
PETROBRAS | Performance Report | 3Q24 | 20 |
Table 12 - Statement of financial position – Consolidated
| ASSETS - US$ million | 09.30.2024 | 12.31.2023 |
| Current assets | 30,721 | 32,445 |
| Cash and cash equivalents | 8,694 | 12,727 |
| Marketable securities | 5,593 | 2,819 |
| Trade and other receivables, net | 4,377 | 6,135 |
| Inventories | 7,442 | 7,681 |
| Recoverable taxes | 2,438 | 1,178 |
| Assets classified as held for sale | 420 | 335 |
| Other current assets | 1,757 | 1,570 |
| Non-current assets | 167,118 | 184,622 |
| Long-term receivables | 22,507 | 26,798 |
| Trade and other receivables, net | 1,012 | 1,847 |
| Marketable securities | 643 | 2,409 |
| Judicial deposits | 12,998 | 14,746 |
| Deferred income taxes | 980 | 965 |
| Other recoverable taxes | 4,103 | 4,516 |
| Other non-current assets | 2,771 | 2,315 |
| Investments | 974 | 1,358 |
| Property, plant and equipment | 141,079 | 153,424 |
| Intangible assets | 2,558 | 3,042 |
| Total assets | 197,839 | 217,067 |
| LIABILITIES - US$ million | 09.30.2024 | 12.31.2023 |
| Current liabilities | 32,843 | 33,860 |
| Trade payables | 5,299 | 4,813 |
| Finance debt | 3,957 | 4,322 |
| Lease liability | 7,749 | 7,200 |
| Taxes payable | 5,653 | 5,466 |
| Dividends payable | 2,402 | 3,539 |
| Provision for decommissioning costs | 1,701 | 2,032 |
| Employee benefits | 2,883 | 2,932 |
| Liabilities related to assets classified as held for sale | 771 | 541 |
| Other current liabilities | 2,428 | 3,015 |
| Non-current liabilities | 92,484 | 104,232 |
| Finance debt | 21,799 | 24,479 |
| Lease liability | 25,627 | 26,599 |
| Income taxes payable | 238 | 299 |
| Deferred income taxes | 7,264 | 10,910 |
| Employee benefits | 14,229 | 15,579 |
| Provision for legal proceedings | 3,261 | 3,305 |
PETROBRAS | Performance Report | 3Q24 | 21 |
Exhibits
| Provision for decommissioning costs | 18,347 | 21,171 |
| Other non-current liabilities | 1,719 | 1,890 |
| Shareholders' equity | 72,512 | 78,975 |
| Attributable to the shareholders of Petrobras | 72,255 | 78,583 |
| Share capital (net of share issuance costs) | 107,101 | 107,101 |
| Capital reserve and capital transactions | 29 | 410 |
| Profit reserves | 64,326 | 72,641 |
| Retained earnings (losses) | 6,424 | − |
| Accumulated other comprehensive deficit | (105,625) | (101,569) |
| Attributable to non-controlling interests | 257 | 392 |
| Total liabilities and shareholders' equity | 197,839 | 217,067 |
PETROBRAS | Performance Report | 3Q24 | 22 |
Exhibits
Table 13 - Statement of cash flow – Consolidated
| US$ million | 3Q24 | 2Q24 | 3Q23 | 9M24 | 9M23 |
| Cash flows from operating activities | |||||
| Net income (loss) for the period | 5,891 | (325) | 5,484 | 10,371 | 18,713 |
| Adjustments for: | |||||
| Pension and medical benefits | 409 | 1,702 | 394 | 2,544 | 1,153 |
| Results of equity-accounted investments | 23 | 188 | 248 | 304 | 235 |
| Depreciation, depletion and amortization | 2,983 | 3,138 | 3,475 | 9,483 | 9,648 |
| Impairment of assets (reversals), net | − | (37) | 78 | (46) | 482 |
| Inventory write down (write-back) to net realizable value | 2 | − | (10) | (42) | (4) |
| Allowance for credit loss on trade and other receivables, net | 6 | 18 | 15 | 54 | 49 |
| Exploratory expenditure write-offs | 309 | 55 | 372 | 414 | 410 |
| Gain on disposal/write-offs of assets | 97 | (124) | 37 | (189) | (1,150) |
| Foreign exchange, indexation and finance charges | 168 | 7,040 | 1,967 | 9,143 | 2,814 |
| Income taxes | 2,205 | (27) | 2,263 | 4,325 | 8,435 |
| Revision and unwinding of discount on the provision for decommissioning costs | 242 | 259 | 219 | 781 | 662 |
| Results from co-participation agreements in bid areas | − | (55) | (19) | (103) | (47) |
| Early termination and cash outflows revision of lease agreements | (88) | (77) | (103) | (234) | (361) |
| Losses with legal, administrative and arbitration proceedings, net | 287 | 240 | 141 | 808 | 672 |
| Decrease (Increase) in assets | |||||
| Trade and other receivables | 163 | 855 | (588) | 1,622 | 587 |
| Inventories | 1 | 272 | 52 | (354) | 1,132 |
| Judicial deposits | (160) | 862 | (318) | 414 | (1,100) |
| Other assets | (38) | (105) | (106) | (109) | 169 |
| Increase (Decrease) in liabilities | |||||
| Trade payables | 392 | (165) | (726) | 634 | (1,017) |
| Other taxes payable | (459) | (1,342) | 543 | (2,321) | (421) |
| Pension and medical benefits | (276) | (279) | (232) | (758) | (683) |
| Provisions for legal proceedings | (96) | (122) | (147) | (296) | (366) |
| Other employee benefits | 499 | (311) | 379 | 129 | 163 |
| Provision for decommissioning costs | (282) | (200) | (259) | (745) | (597) |
| Other liabilities | (250) | (275) | (243) | (607) | (371) |
| Income taxes paid | (721) | (2,098) | (1,362) | (5,442) | (7,664) |
| Net cash provided by operating activities | 11,307 | 9,087 | 11,554 | 29,780 | 31,543 |
| Cash flows from investing activities | |||||
| Acquisition of PP&E and intangible assets | (4,443) | (2,934) | (3,185) | (10,215) | (8,520) |
| Acquisition of equity interests | (7) | (5) | (5) | (13) | (22) |
| Proceeds from disposal of assets - Divestment | 25 | 197 | 103 | 791 | 3,564 |
| Financial compensation from co-participation agreements | − | − | − | 397 | 391 |
| Divestment (investment) in marketable securities | (374) | 670 | 253 | (1,179) | (215) |
PETROBRAS | Performance Report | 3Q24 | 23 |
Exhibits
| Dividends received | 57 | 40 | 6 | 121 | 75 |
| Net cash (used in) provided by investing activities | (4,742) | (2,032) | (2,828) | (10,098) | (4,727) |
| Cash flows from financing activities | |||||
| Changes in non-controlling interest | (232) | 32 | (52) | (107) | (102) |
| Financing and loans, net: | |||||
| Proceeds from finance debt | 986 | 565 | 1,238 | 1,553 | 1,300 |
| Repayment of principal - finance debt | (1,909) | (1,311) | (1,000) | (4,227) | (2,482) |
| Repayment of interest - finance debt | (534) | (401) | (568) | (1,529) | (1,572) |
| Repayment of lease liability | (1,913) | (1,965) | (1,632) | (5,796) | (4,494) |
| Dividends paid to Shareholders of Petrobras | (2,293) | (7,123) | (4,837) | (12,871) | (15,234) |
| Share repurchase program | − | (148) | (197) | (380) | (197) |
| Dividends paid to non-controlling interests | − | (20) | − | (77) | (48) |
| Net cash used in financing activities | (5,895) | (10,371) | (7,048) | (23,434) | (22,829) |
| Effect of exchange rate changes on cash and cash equivalents | 140 | (347) | 81 | (281) | 127 |
| Net change in cash and cash equivalents | 810 | (3,663) | 1,759 | (4,033) | 4,114 |
| Cash and cash equivalents at the beginning of the period | 7,884 | 11,547 | 10,351 | 12,727 | 7,996 |
| Cash and cash equivalents at the end of the period | 8,694 | 7,884 | 12,110 | 8,694 | 12,110 |
PETROBRAS | Performance Report | 3Q24 | 24 |
Exhibits
Table 14 – Net revenues by products
| Variation (%) | ||||||||
| US$ million | 3Q24 | 2Q24 | 3Q23 | 9M24 | 9M23 | 3Q24 X 2Q24 | 3Q24 X 3Q23 | 9M24 X 9M23 |
| Diesel | 7,031 | 6,979 | 8,188 | 21,086 | 23,575 | 0.7 | (14.1) | (10.6) |
| Gasoline | 3,140 | 3,073 | 3,412 | 9,418 | 10,881 | 2.2 | (8.0) | (13.4) |
| Liquefied petroleum gas (LPG) | 849 | 793 | 842 | 2,400 | 2,722 | 7.1 | 0.8 | (11.8) |
| Jet fuel | 1,146 | 1,147 | 1,169 | 3,477 | 3,677 | (0.1) | (2.0) | (5.4) |
| Naphtha | 480 | 483 | 449 | 1,390 | 1,357 | (0.6) | 6.9 | 2.4 |
| Fuel oil (including bunker fuel) | 209 | 233 | 287 | 786 | 834 | (10.3) | (27.2) | (5.8) |
| Other oil products | 1,212 | 1,073 | 1,152 | 3,304 | 3,364 | 13.0 | 5.2 | (1.8) |
| Subtotal oil products | 14,067 | 13,781 | 15,499 | 41,861 | 46,410 | 2.1 | (9.2) | (9.8) |
| Natural gas | 1,152 | 1,136 | 1,352 | 3,610 | 4,307 | 1.4 | (14.8) | (16.2) |
| Crude oil | 1,143 | 1,049 | 1,282 | 3,421 | 3,997 | 9.0 | (10.8) | (14.4) |
| Renewables and nitrogen products | 73 | 43 | 16 | 147 | 62 | 69.8 | 356.3 | 137.1 |
| Revenues from non-exercised rights | 101 | 121 | 207 | 362 | 645 | (16.5) | (51.2) | (43.9) |
| Electricity | 277 | 104 | 160 | 509 | 423 | 166.3 | 73.1 | 20.3 |
| Services, agency and others | 192 | 202 | 272 | 641 | 797 | (5.0) | (29.4) | (19.6) |
| Total domestic market | 17,005 | 16,436 | 18,788 | 50,551 | 56,641 | 3.5 | (9.5) | (10.8) |
| Exports | 6,214 | 6,746 | 6,581 | 19,358 | 17,752 | (7.9) | (5.6) | 9.0 |
| Crude oil | 4,627 | 5,163 | 4,789 | 14,701 | 13,245 | (10.4) | (3.4) | 11.0 |
| Fuel oil (including bunker fuel) | 1,278 | 1,126 | 1,371 | 3,726 | 3,734 | 13.5 | (6.8) | (0.2) |
| Other oil products and other products | 309 | 457 | 421 | 931 | 773 | (32.4) | (26.6) | 20.4 |
| Sales abroad (*) | 147 | 285 | 183 | 692 | 909 | (48.4) | (19.7) | (23.9) |
| Total foreign market | 6,361 | 7,031 | 6,764 | 20,050 | 18,661 | (9.5) | (6.0) | 7.4 |
| Total | 23,366 | 23,467 | 25,552 | 70,601 | 75,302 | (0.4) | (8.6) | (6.2) |
| (*) Sales revenues from operations outside of Brazil, including trading and excluding exports. | ||||||||
PETROBRAS | Performance Report | 3Q24 | 25 |
Exhibits
Table 15 – Cost of goods sold (*)
| Variation (%) | ||||||||
| US$ million | 3Q24 | 2Q24 | 3Q23 | 9M24 | 9M23 | 3Q24 X 2Q24 | 3Q24 X 3Q23 | 9M24 X 9M23 |
| Acquisitions | (4,007) | (4,145) | (4,110) | (11,660) | (13,356) | (3.3) | (2.5) | (12.7) |
| Crude oil imports | (2,416) | (2,590) | (2,231) | (6,887) | (6,985) | (6.7) | 8.3 | (1.4) |
| Oil products imports | (1,033) | (1,152) | (1,565) | (3,259) | (4,944) | (10.3) | (34.0) | (34.1) |
| Natural gas imports | (558) | (403) | (314) | (1,514) | (1,427) | 38.5 | 77.7 | 6.1 |
| Production | (7,010) | (7,192) | (7,429) | (21,772) | (21,066) | (2.5) | (5.6) | 3.4 |
| Crude oil | (5,886) | (5,857) | (6,132) | (18,147) | (17,796) | 0.5 | (4.0) | 2.0 |
| Production taxes | (2,753) | (2,661) | (2,735) | (8,086) | (7,926) | 3.5 | 0.7 | 2.0 |
| Other costs | (3,133) | (3,196) | (3,397) | (10,061) | (9,870) | (2.0) | (7.8) | 1.9 |
| Oil products | (754) | (807) | (734) | (2,262) | (1,737) | (6.6) | 2.7 | 30.2 |
| Natural gas | (370) | (528) | (563) | (1,363) | (1,533) | (29.9) | (34.3) | (11.1) |
| Production taxes | (84) | (120) | (111) | (329) | (295) | (30.0) | (24.3) | 11.5 |
| Other costs | (286) | (408) | (452) | (1,034) | (1,238) | (29.9) | (36.7) | (16.5) |
| Services, electricity, operations abroad and others | (344) | (403) | (443) | (1,180) | (1,560) | (14.6) | (22.3) | (24.4) |
| Total | (11,361) | (11,740) | (11,982) | (34,612) | (35,982) | (3.2) | (5.2) | (3.8) |
(* ) Managerial information (non-revised).
PETROBRAS | Performance Report | 3Q24 | 26 |
Exhibits
Table 16 – Operating expenses
| Variation (%) | ||||||||
| US$ million | 3Q24 | 2Q24 | 3Q23 | 9M24 | 9M23 | 3Q24 X 2Q24 | 3Q24 X 3Q23 | 9M24 X 9M23 |
| Selling, General and Administrative Expenses | (1,602) | (1,817) | (1,683) | (5,199) | (4,849) | (11.8) | (4.8) | 7.2 |
| Selling expenses | (1,193) | (1,268) | (1,288) | (3,794) | (3,709) | (5.9) | (7.4) | 2.3 |
| Materials, third-party services, freight, rent and other related costs | (1,002) | (1,069) | (1,102) | (3,191) | (3,150) | (6.3) | (9.1) | 1.3 |
| Depreciation, depletion and amortization | (159) | (166) | (162) | (498) | (466) | (4.2) | (1.9) | 6.9 |
| Allowance for expected credit losses | − | 2 | 3 | (8) | (14) | − | − | (42.9) |
| Employee compensation | (32) | (35) | (27) | (97) | (79) | (8.6) | 18.5 | 22.8 |
| General and administrative expenses | (409) | (549) | (395) | (1,405) | (1,140) | (25.5) | 3.5 | 23.2 |
| Employee compensation (*) | (278) | (365) | (274) | (935) | (747) | (23.8) | 1.5 | 25.2 |
| Materials, third-party services, rent and other related costs | (96) | (146) | (92) | (362) | (306) | (34.2) | 4.3 | 18.3 |
| Depreciation, depletion and amortization | (35) | (38) | (29) | (108) | (87) | (7.9) | 20.7 | 24.1 |
| Exploration costs | (406) | (174) | (480) | (715) | (828) | 133.3 | (15.4) | (13.6) |
| Research and Development | (195) | (193) | (186) | (571) | (512) | 1.0 | 4.8 | 11.5 |
| Other taxes | (55) | (948) | (114) | (1,143) | (643) | (94.2) | (51.8) | 77.8 |
| Impairment (losses) reversals, net | − | 37 | (78) | 46 | (482) | − | − | − |
| Other income and expenses, net | (1,347) | (1,927) | (1,049) | (4,318) | (1,995) | (30.1) | 28.4 | 116.4 |
| Total | (3,605) | (5,022) | (3,590) | (11,900) | (9,309) | (28.2) | 0.4 | 27.8 |
| (*) In the nine-month period ended September 30, 2024, it mainly refers to the actuarial revision of the Saúde Petrobras - AMS health care plan in the second quarter of 2024, reflecting the change in the benefit, in the amount of US$ 78 million. | ||||||||
PETROBRAS | Performance Report | 3Q24 | 27 |
Exhibits
Table 17 – Financial results
| Variation (%) | ||||||||
| US$ million | 3Q24 | 2Q24 | 3Q23 | 9M24 | 9M23 | 3Q24 X 2Q24 | 3Q24 X 3Q23 | 9M24 X 9M23 |
| Finance income | 491 | 477 | 600 | 1,520 | 1,581 | 2.9 | (18.2) | (3.9) |
| Income from investments and marketable securities (Government Bonds) | 363 | 380 | 454 | 1,175 | 1,211 | (4.5) | (20.0) | (3.0) |
| Other finance income | 128 | 97 | 146 | 345 | 370 | 32.0 | (12.3) | (6.8) |
| Finance expenses | (881) | (2,932) | (1,163) | (4,885) | (2,875) | (70.0) | (24.2) | 69.9 |
| Interest on finance debt | (555) | (519) | (662) | (1,628) | (1,715) | 6.9 | (16.2) | (5.1) |
| Unwinding of discount on lease liability | (544) | (557) | (495) | (1,648) | (1,253) | (2.3) | 9.9 | 31.5 |
| Capitalized borrowing costs | 398 | 383 | 338 | 1,157 | 927 | 3.9 | 17.8 | 24.8 |
| Unwinding of discount on the provision for decommissioning costs | (242) | (258) | (216) | (772) | (647) | (6.2) | 12.0 | 19.3 |
| Other finance expenses (*) | 62 | (1,981) | (128) | (1,994) | (187) | − | − | 966.3 |
| Foreign exchange gains (losses) and indexation charges | 109 | (4,414) | (1,422) | (5,724) | (1,334) | − | − | 329.1 |
| Foreign exchange gains (losses) (**) | 587 | (3,540) | (932) | (3,834) | 1,388 | − | − | − |
| Reclassification of hedge accounting to the Statement of Income | (821) | (600) | (758) | (2,118) | (2,990) | 36.8 | 8.3 | (29.2) |
| Indexation to the Selic interest rate of anticipated dividends and dividends payable | 18 | (318) | 1 | (370) | (428) | − | 1700.0 | (13.6) |
| Recoverable taxes inflation indexation income | 173 | (145) | 18 | 77 | 113 | − | 861.1 | (31.9) |
| Other foreign exchange gains and indexation charges, net (*) | 152 | 189 | 249 | 521 | 583 | (19.6) | (39.0) | (10.6) |
| Total | (281) | (6,869) | (1,985) | (9,089) | (2,628) | (95.9) | (85.8) | 245.9 |
|
(*) It includes, in the nine-month period ended September 30, 2024, finance expense of US$ 1,804 million and indexation charges of US$ 235 million related to the tax settlement program - federal taxes. (**) Foreign exchange variation of Brazilian Reais x Dollar in the following periods: 3Q24: +US$ 702 million; 2Q24: -US$ 3,536 million; 3Q23: -US$ 1,013 million; 9M24: -US$ 3,747 million; 9M23: +US$ 1,416 million. | ||||||||
PETROBRAS | Performance Report | 3Q24 | 28 |
Exhibits
Financial information by business segment
Table 18 - Consolidated income by business segment – 9M24
| US$ million | E&P | RTM | G&LCE | CORP. | ELIMIN. | TOTAL |
| Sales revenues | 47,128 | 65,990 | 6,961 | 240 | (49,718) | 70,601 |
| Intersegments | 46,875 | 777 | 2,061 | 5 | (49,718) | − |
| Third parties | 253 | 65,213 | 4,900 | 235 | − | 70,601 |
| Cost of sales | (18,821) | (61,043) | (3,644) | (224) | 49,120 | (34,612) |
| Gross profit | 28,307 | 4,947 | 3,317 | 16 | (598) | 35,989 |
| Expenses | (3,403) | (2,318) | (2,557) | (3,622) | − | (11,900) |
| Selling expenses | (1) | (1,569) | (2,208) | (16) | − | (3,794) |
| General and administrative expenses | (43) | (265) | (94) | (1,003) | − | (1,405) |
| Exploration costs | (715) | − | − | − | − | (715) |
| Research and development expenses | (451) | (4) | (2) | (114) | − | (571) |
| Other taxes | (737) | (32) | (14) | (360) | − | (1,143) |
| Impairment (losses) reversals, net | (4) | 37 | − | 13 | − | 46 |
| Other income and expenses, net | (1,452) | (485) | (239) | (2,142) | − | (4,318) |
| Operating income (loss) | 24,904 | 2,629 | 760 | (3,606) | (598) | 24,089 |
| Net finance income (expense) | − | − | − | (9,089) | − | (9,089) |
| Results of equity-accounted investments | 62 | (426) | 66 | (6) | − | (304) |
| Income (loss) before income taxes | 24,966 | 2,203 | 826 | (12,701) | (598) | 14,696 |
| Income taxes | (8,469) | (894) | (257) | 5,090 | 205 | (4,325) |
| Net income (loss) | 16,497 | 1,309 | 569 | (7,611) | (393) | 10,371 |
| Net income (loss) attributable to: | ||||||
| Shareholders of Petrobras | 16,499 | 1,309 | 530 | (7,637) | (393) | 10,308 |
| Non-controlling interests | (2) | − | 39 | 26 | − | 63 |
PETROBRAS | Performance Report | 3Q24 | 29 |
Exhibits
Table 19 - Consolidated income by business segment – 9M23
| US$ million | E&P | RTM | G&LCE | CORP. | ELIMIN. | TOTAL |
| Sales revenues | 48,374 | 69,590 | 8,250 | 253 | (51,165) | 75,302 |
| Intersegments | 47,732 | 1,065 | 2,361 | 7 | (51,165) | − |
| Third parties | 642 | 68,525 | 5,889 | 246 | − | 75,302 |
| Cost of sales | (19,642) | (62,596) | (4,259) | (255) | 50,770 | (35,982) |
| Gross profit | 28,732 | 6,994 | 3,991 | (2) | (395) | 39,320 |
| Expenses | (1,837) | (3,120) | (2,450) | (1,903) | 1 | (9,309) |
| Selling expenses | (11) | (1,579) | (2,099) | (21) | 1 | (3,709) |
| General and administrative expenses | (40) | (242) | (52) | (806) | − | (1,140) |
| Exploration costs | (828) | − | − | − | − | (828) |
| Research and development expenses | (401) | (16) | (2) | (93) | − | (512) |
| Other taxes | (370) | (12) | (29) | (232) | − | (643) |
| Impairment (losses) reversals, net | (96) | (416) | − | 30 | − | (482) |
| Other income and expenses, net | (91) | (855) | (268) | (781) | − | (1,995) |
| Operating income (loss) | 26,895 | 3,874 | 1,541 | (1,905) | (394) | 30,011 |
| Net finance income (expense) | − | − | − | (2,628) | − | (2,628) |
| Results of equity-accounted investments | (33) | (231) | 17 | 12 | − | (235) |
| Income (loss) before income taxes | 26,862 | 3,643 | 1,558 | (4,521) | (394) | 27,148 |
| Income taxes | (9,146) | (1,318) | (523) | 2,418 | 134 | (8,435) |
| Net income (loss) | 17,716 | 2,325 | 1,035 | (2,103) | (260) | 18,713 |
| Net income (loss) attributable to: | ||||||
| Shareholders of Petrobras | 17,719 | 2,325 | 978 | (2,137) | (260) | 18,625 |
| Non-controlling interests | (3) | − | 57 | 34 | − | 88 |
PETROBRAS | Performance Report | 3Q24 | 30 |
Exhibits
Table 20 - Quarterly consolidated income by business segment – 3Q24
| US$ million | E&P | RTM | G&LCE | CORP. | ELIMIN. | TOTAL |
| Sales revenues | 15,383 | 21,739 | 2,341 | 82 | (16,179) | 23,366 |
| Intersegments | 15,310 | 226 | 642 | 1 | (16,179) | − |
| Third parties | 73 | 21,513 | 1,699 | 81 | − | 23,366 |
| Cost of sales | (5,979) | (20,503) | (1,371) | (76) | 16,568 | (11,361) |
| Gross profit | 9,404 | 1,236 | 970 | 6 | 389 | 12,005 |
| Expenses | (1,222) | (781) | (801) | (801) | − | (3,605) |
| Selling expenses | − | (480) | (711) | (2) | − | (1,193) |
| General and administrative expenses | (1) | (89) | (31) | (288) | − | (409) |
| Exploration costs | (406) | − | − | − | − | (406) |
| Research and development expenses | (163) | (2) | (2) | (28) | − | (195) |
| Other taxes | 92 | (4) | (5) | (138) | − | (55) |
| Impairment (losses) reversals, net | − | − | − | − | − | − |
| Other income and expenses, net | (744) | (206) | (52) | (345) | − | (1,347) |
| Operating income (loss) | 8,182 | 455 | 169 | (795) | 389 | 8,400 |
| Net finance income (expense) | − | − | − | (281) | − | (281) |
| Results of equity-accounted investments | 15 | (45) | 9 | (2) | − | (23) |
| Income (loss) before income taxes | 8,197 | 410 | 178 | (1,078) | 389 | 8,096 |
| Income taxes | (2,782) | (155) | (57) | 921 | (132) | (2,205) |
| Net income (loss) | 5,415 | 255 | 121 | (157) | 257 | 5,891 |
| Net income (loss) attributable to: | ||||||
| Shareholders of Petrobras | 5,416 | 255 | 109 | (167) | 257 | 5,870 |
| Non-controlling interests | (1) | − | 12 | 10 | − | 21 |
PETROBRAS | Performance Report | 3Q24 | 31 |
Exhibits
Table 21 - Quarterly consolidated income by business segment – 2Q24
| US$ million | E&P | RTM | G&LCE | CORP. | ELIMIN. | TOTAL |
| Sales revenues | 15,668 | 22,061 | 2,198 | 80 | (16,540) | 23,467 |
| Intersegments | 15,591 | 248 | 699 | 2 | (16,540) | − |
| Third parties | 77 | 21,813 | 1,499 | 78 | − | 23,467 |
| Cost of sales | (6,228) | (20,557) | (1,096) | (74) | 16,215 | (11,740) |
| Gross profit | 9,440 | 1,504 | 1,102 | 6 | (325) | 11,727 |
| Expenses | (1,551) | (701) | (867) | (1,903) | − | (5,022) |
| Selling expenses | − | (538) | (729) | (1) | − | (1,268) |
| General and administrative expenses | (22) | (92) | (35) | (400) | − | (549) |
| Exploration costs | (174) | − | − | − | − | (174) |
| Research and development expenses | (149) | − | − | (44) | − | (193) |
| Other taxes | (809) | (21) | (4) | (114) | − | (948) |
| Impairment (losses) reversals, net | − | 37 | − | − | − | 37 |
| Other income and expenses, net | (397) | (87) | (99) | (1,344) | − | (1,927) |
| Operating income (loss) | 7,889 | 803 | 235 | (1,897) | (325) | 6,705 |
| Net finance income (expense) | − | − | − | (6,869) | − | (6,869) |
| Results of equity-accounted investments | 30 | (251) | 36 | (3) | − | (188) |
| Income (loss) before income taxes | 7,919 | 552 | 271 | (8,769) | (325) | (352) |
| Income taxes | (2,682) | (273) | (80) | 2,951 | 111 | 27 |
| Net income (loss) | 5,237 | 279 | 191 | (5,818) | (214) | (325) |
| Net income (loss) attributable to: | ||||||
| Shareholders of Petrobras | 5,237 | 279 | 179 | (5,825) | (214) | (344) |
| Non-controlling interests | − | − | 12 | 7 | − | 19 |
PETROBRAS | Performance Report | 3Q24 | 32 |
Exhibits
Table 22 - Other income and expenses by segment – 9M24
| US$ million | E&P | RTM | G&LCE | CORP. | ELIMIN. | TOTAL |
| Stoppages for asset maintenance and pre-operating expenses | (1,895) | (66) | (51) | (12) | − | (2,024) |
| Pension and medical benefits - retirees (*) | − | − | − | (1,907) | − | (1,907) |
| Losses with legal, administrative and arbitration proceedings | (292) | (369) | (15) | (132) | − | (808) |
| Profit sharing | (233) | (85) | (27) | (130) | − | (475) |
| Variable compensation programs | (143) | (104) | (15) | (93) | − | (355) |
| Operating expenses with thermoelectric power plants | − | − | (169) | − | − | (169) |
| Institutional relations and cultural projects | − | (3) | − | (138) | − | (141) |
| Expenses with contractual fines received | (30) | − | (16) | − | − | (46) |
| Amounts recovered from Lava Jato investigation | − | − | − | 38 | − | 38 |
| Gains (losses) with commodities derivatives | − | 53 | (1) | − | − | 52 |
| Results from co-participation agreements in bid areas | 103 | − | − | − | − | 103 |
| Ship/take or pay agreements | 3 | 32 | 109 | 2 | − | 146 |
| Government grants | 2 | − | 3 | 153 | − | 158 |
| Results on disposal/write-offs of assets | 179 | 55 | 23 | (68) | − | 189 |
| Fines imposed on suppliers | 170 | 19 | 3 | 9 | − | 201 |
| Results of non-core activities | 189 | (9) | 11 | 13 | − | 204 |
| Early termination and changes to cash flow estimates of leases | 213 | 13 | (3) | 11 | − | 234 |
| Reimbursements from E&P partnership operations | 348 | − | − | − | − | 348 |
| Others | (66) | (21) | (91) | 112 | − | (66) |
| Total | (1,452) | (485) | (239) | (2,142) | − | (4,318) |
| (*) In the nine-month period ended September 30, 2024, it mainly refers to the actuarial revision of the Saúde Petrobras - AMS health care plan occurred in the second quarter of 2024, reflecting the change in the benefit, in the amount of US$ 1,000 million. | ||||||
PETROBRAS | Performance Report | 3Q24 | 33 |
Exhibits
Table 23 - Other income and expenses by segment – 9M23
| US$ million | E&P | RTM | G&LCE | CORP. | ELIMIN. | TOTAL |
| Stoppages for asset maintenance and pre-operating expenses | (1,587) | (15) | (37) | (22) | − | (1,661) |
| Pension and medical benefits - retirees | − | − | − | (877) | − | (877) |
| Losses with legal, administrative and arbitration proceedings | (259) | (328) | (1) | (84) | − | (672) |
| Profit sharing | (48) | (26) | (6) | (28) | − | (108) |
| Variable compensation programs | (181) | (138) | (25) | (127) | − | (471) |
| Operating expenses with thermoelectric power plants | − | − | (134) | − | − | (134) |
| Institutional relations and cultural projects | − | (3) | − | (85) | − | (88) |
| Expenses with contractual fines received | (14) | 1 | (145) | (1) | − | (159) |
| Amounts recovered from Lava Jato investigation (*) | − | − | − | 99 | − | 99 |
| Gains (losses) with commodities derivatives | − | (21) | − | 1 | − | (20) |
| Results from co-participation agreements in bid areas | 47 | − | − | − | − | 47 |
| Ship/take or pay agreements | 3 | 30 | 104 | 1 | − | 138 |
| Government grants | 14 | − | − | 243 | − | 257 |
| Results on disposal/write-offs of assets | 1,203 | (11) | (52) | 10 | − | 1,150 |
| Fines imposed on suppliers | 139 | 20 | 3 | 16 | − | 178 |
| Results of non-core activities | 101 | (77) | 74 | 24 | − | 122 |
| Early termination and changes to cash flow estimates of leases | 273 | 91 | − | (3) | − | 361 |
| Reimbursements from E&P partnership operations | 430 | − | − | − | − | 430 |
| Others (**) | (212) | (378) | (49) | 52 | − | (587) |
| Total | (91) | (855) | (268) | (781) | − | (1,995) |
|
(*) The total amount recovered from the Lava Jato Investigation through December 31, 2023 was US$ 1,727 million, recognized through collaboration and leniency agreements entered into with individuals and legal entities. (**) It includes, in the nine-month period ended September 30, 2023, expenses with compensation for the termination of a vessel charter agreement in the amount of US$ 317 million. | ||||||
PETROBRAS | Performance Report | 3Q24 | 34 |
Exhibits
Table 24 - Other income and expenses by segment – 3Q24
| US$ million | E&P | RTM | G&LCE | CORP. | ELIMIN. | TOTAL |
| Stoppages for asset maintenance and pre-operating expenses | (639) | (13) | (18) | (2) | − | (672) |
| Pension and medical benefits - retirees | − | − | − | (305) | − | (305) |
| Gains (losses) with legal, administrative and arbitration proceedings | (104) | (196) | 21 | (8) | − | (287) |
| Profit sharing | (93) | (17) | (9) | (45) | − | (164) |
| Variable compensation programs | (80) | (44) | (7) | (45) | − | (176) |
| Operating expenses with thermoelectric power plants | − | − | (50) | − | − | (50) |
| Institutional relations and cultural projects | − | (1) | − | (69) | − | (70) |
| Expenses with contractual fines received | (8) | − | (3) | − | − | (11) |
| Amounts recovered from Lava Jato investigation | − | − | − | 31 | − | 31 |
| Gains with Commodities Derivatives | − | 27 | 1 | − | − | 28 |
| Results from co-participation agreements in bid areas | − | − | − | − | − | − |
| Ship/take or pay agreements | 1 | 7 | 49 | 1 | − | 58 |
| Government grants | 1 | − | 1 | 61 | − | 63 |
| Results on disposal/write-offs of assets | (58) | (13) | − | (26) | − | (97) |
| Fines imposed on suppliers | 71 | 2 | − | 3 | − | 76 |
| Results of non-core activities | 69 | 7 | 1 | 5 | − | 82 |
| Early termination and changes to cash flow estimates of leases | 71 | 8 | (4) | 13 | − | 88 |
| Reimbursements from E&P partnership operations | 79 | − | − | − | − | 79 |
| Others | (54) | 27 | (34) | 41 | − | (20) |
| Total | (744) | (206) | (52) | (345) | − | (1,347) |
PETROBRAS | Performance Report | 3Q24 | 35 |
Exhibits
Table 25 - Other income and expenses by segment – 2Q24
| US$ million | E&P | RTM | G&LCE | CORP. | ELIMIN. | TOTAL |
| Stoppages for asset maintenance and pre-operating expenses | (649) | (27) | (18) | (6) | − | (700) |
| Pension and medical benefits - retirees (*) | − | − | − | (1,293) | − | (1,293) |
| Losses with legal, administrative and arbitration proceedings | (104) | (77) | (32) | (27) | − | (240) |
| Profit sharing | (69) | (20) | (9) | (37) | − | (135) |
| Variable compensation programs | (30) | (40) | (4) | (26) | − | (100) |
| Operating expenses with thermoelectric power plants | − | − | (53) | − | − | (53) |
| Institutional relations and cultural projects | − | (1) | − | (43) | − | (44) |
| Expenses with contractual fines received | (16) | − | (2) | − | − | (18) |
| Amounts recovered from Lava Jato investigation | − | − | − | 2 | − | 2 |
| Gains (losses) with Commodities Derivatives | − | 21 | (2) | − | − | 19 |
| Results from co-participation agreements in bid areas | 55 | − | − | − | − | 55 |
| Ship/take or pay agreements | 1 | 12 | 28 | − | − | 41 |
| Government grants | − | − | 1 | 16 | − | 17 |
| Results on disposal/write-offs of assets | 100 | 43 | 4 | (23) | − | 124 |
| Fines imposed on suppliers | 50 | 14 | 2 | 3 | − | 69 |
| Results of non-core activities | 64 | 12 | 4 | 3 | − | 83 |
| Early termination and changes to cash flow estimates of leases | 75 | 3 | 2 | (3) | − | 77 |
| Reimbursements from E&P partnership operations | 113 | − | − | − | − | 113 |
| Others | 13 | (27) | (20) | 90 | − | 56 |
| Total | (397) | (87) | (99) | (1,344) | − | (1,927) |
| (*) In the second quarter of 2024, it mainly refers to the actuarial revision of the Saúde Petrobras - AMS health care plan, reflecting the change in the benefit, in the amount of US$ 1,000 million. | ||||||
PETROBRAS | Performance Report | 3Q24 | 36 |
Exhibits
Table 26 - Consolidated assets by business segment – 09.30.2024
| US$ million | E&P | RTM | G&LCE | CORP. | ELIMIN. | TOTAL |
| Total assets | 127,646 | 31,368 | 6,683 | 36,928 | (4,786) | 197,839 |
| Current assets | 2,588 | 10,190 | 432 | 22,297 | (4,786) | 30,721 |
| Non-current assets | 125,058 | 21,178 | 6,251 | 14,631 | − | 167,118 |
| Long-term receivables | 7,704 | 2,455 | 94 | 12,254 | − | 22,507 |
| Investments | 307 | 435 | 175 | 57 | − | 974 |
| Property, plant and equipment | 115,060 | 18,156 | 5,909 | 1,954 | − | 141,079 |
| Operating assets | 95,155 | 15,261 | 3,392 | 1,430 | − | 115,238 |
| Assets under construction | 19,905 | 2,895 | 2,517 | 524 | − | 25,841 |
| Intangible assets | 1,987 | 132 | 73 | 366 | − | 2,558 |
Table 27 - Consolidated assets by business segment – 12.31.2023
| US$ million | E&P | RTM | G&LCE | CORP. | ELIMIN. | TOTAL |
| Total assets | 138,868 | 34,802 | 6,776 | 41,899 | (5,278) | 217,067 |
| Current assets | 2,804 | 11,002 | 370 | 23,547 | (5,278) | 32,445 |
| Non-current assets | 136,064 | 23,800 | 6,406 | 18,352 | − | 184,622 |
| Long-term receivables | 9,028 | 2,068 | 83 | 15,619 | − | 26,798 |
| Investments | 344 | 811 | 145 | 58 | − | 1,358 |
| Property, plant and equipment | 124,254 | 20,786 | 6,101 | 2,283 | − | 153,424 |
| Operating assets | 108,405 | 18,128 | 3,605 | 1,770 | − | 131,908 |
| Assets under construction | 15,849 | 2,658 | 2,496 | 513 | − | 21,516 |
| Intangible assets | 2,438 | 135 | 77 | 392 | − | 3,042 |
PETROBRAS | Performance Report | 3Q24 | 37 |
Exhibits
Table 28 - Reconciliation of Adjusted EBITDA by business segment – 9M24
| US$ million | E&P | RTM | G&LCE | CORP. | ELIMIN. | TOTAL |
| Net income (loss) | 16,497 | 1,309 | 569 | (7,611) | (393) | 10,371 |
| Net finance income (expense) | − | − | − | 9,089 | − | 9,089 |
| Income taxes | 8,469 | 894 | 257 | (5,090) | (205) | 4,325 |
| Depreciation, depletion and amortization | 7,067 | 1,895 | 424 | 97 | − | 9,483 |
| EBITDA | 32,033 | 4,098 | 1,250 | (3,515) | (598) | 33,268 |
| Results of equity-accounted investments | (62) | 426 | (66) | 6 | − | 304 |
| Impairment of assets (reversals), net | 4 | (37) | − | (13) | − | (46) |
| Results on disposal/write-offs of assets | (179) | (55) | (23) | 68 | − | (189) |
| Results from co-participation agreements in bid areas | (103) | − | − | − | − | (103) |
| Adjusted EBITDA | 31,693 | 4,432 | 1,161 | (3,454) | (598) | 33,234 |
Table 29 - Reconciliation of Adjusted EBITDA by business segment – 9M23
| US$ million | E&P | RTM | G&LCE | CORP. | ELIMIN. | TOTAL |
| Net income (loss) | 17,716 | 2,325 | 1,035 | (2,103) | (260) | 18,713 |
| Net finance income (expense) | − | − | − | 2,628 | − | 2,628 |
| Income taxes | 9,146 | 1,318 | 523 | (2,418) | (134) | 8,435 |
| Depreciation, depletion and amortization | 7,391 | 1,788 | 386 | 83 | − | 9,648 |
| EBITDA | 34,253 | 5,431 | 1,944 | (1,810) | (394) | 39,424 |
| Results of equity-accounted investments | 33 | 231 | (17) | (12) | − | 235 |
| Impairment of assets (reversals), net | 96 | 416 | − | (30) | − | 482 |
| Results on disposal/write-offs of assets | (1,203) | 11 | 52 | (10) | − | (1,150) |
| Results from co-participation agreements in bid areas | (47) | − | − | − | − | (47) |
| Adjusted EBITDA | 33,132 | 6,089 | 1,979 | (1,862) | (394) | 38,944 |
PETROBRAS | Performance Report | 3Q24 | 38 |
Exhibits
Table 30 - Reconciliation of Adjusted EBITDA by business segment – 3Q24
| US$ million | E&P | RTM | G&LCE | CORP. | ELIMIN. | TOTAL |
| Net income (loss) | 5,415 | 255 | 121 | (157) | 257 | 5,891 |
| Net finance income (expense) | − | − | − | 281 | − | 281 |
| Income taxes | 2,782 | 155 | 57 | (921) | 132 | 2,205 |
| Depreciation, depletion and amortization | 2,211 | 610 | 130 | 32 | − | 2,983 |
| EBITDA | 10,408 | 1,020 | 308 | (765) | 389 | 11,360 |
| Results of equity-accounted investments | (15) | 45 | (9) | 2 | − | 23 |
| Impairment of assets (reversals), net | − | − | − | − | − | − |
| Results on disposal/write-offs of assets | 58 | 13 | − | 26 | − | 97 |
| Results from co-participation agreements in bid areas | − | − | − | − | − | − |
| Adjusted EBITDA | 10,451 | 1,078 | 299 | (737) | 389 | 11,480 |
Table 31 - Reconciliation of Adjusted EBITDA by business segment – 2Q24
| US$ million | E&P | RTM | G&LCE | CORP. | ELIMIN. | TOTAL |
| Net income (loss) | 5,237 | 279 | 191 | (5,818) | (214) | (325) |
| Net finance income (expense) | − | − | − | 6,869 | − | 6,869 |
| Income taxes | 2,682 | 273 | 80 | (2,951) | (111) | (27) |
| Depreciation, depletion and amortization | 2,326 | 637 | 141 | 34 | − | 3,138 |
| EBITDA | 10,245 | 1,189 | 412 | (1,866) | (325) | 9,655 |
| Results of equity-accounted investments | (30) | 251 | (36) | 3 | − | 188 |
| Impairment of assets (reversals), net | − | (37) | − | − | − | (37) |
| Results on disposal/write-offs of assets | (100) | (43) | (4) | 23 | − | (124) |
| Results from co-participation agreements in bid areas | (55) | − | − | − | − | (55) |
| Adjusted EBITDA | 10,060 | 1,360 | 372 | (1,840) | (325) | 9,627 |
PETROBRAS | Performance Report | 3Q24 | 39 |
Glossary
A
Adjusted cash and cash equivalents: Sum of cash and cash equivalents and investments in securities in domestic and international markets that have high liquidity, i.e., convertible into cash within 3 months, even if maturity is longer than 12 months, held for the purpose of complying with cash commitments. This measure is not defined under the International Financial Reporting Standards – IFRS and should not be considered in isolation or as a substitute for cash and cash equivalents computed in accordance with IFRS. It may not be comparable to adjusted cash and cash equivalents of other companies, however management believes that it is an appropriate supplemental measure to assess our liquidity and supports leverage management.
Adjusted EBITDA: Adjusted EBITDA (a non-GAAP measure defined as net income plus net finance income (expense); income taxes; depreciation, depletion and amortization; results in equity-accounted investments; impairment of assets (reversals); results on disposal/write-offs of assets, remeasurement of investment retained with loss of control and reclassification of CTA; and results from co-participation agreements in bid areas).
Adjusted EBITDA margin: Adjusted EBITDA divided by sales revenues.
Average capital employed: quarterly average considering inventories, intangibles and fixed assets at historical exchange rates.
C
CAPEX – Capital Expenditure: investments that encompasses acquisition of property, plant, and equipment, including costs with leasing, intangible assets, investments in subsidiaries and affiliates, costs with geology and geophysics and pre-operating costs.
E
Exploration & Production (E&P): The segment covers the exploration, development and production of crude oil, NGL and natural gas in Brazil and abroad, with the main aim of supplying our domestic refineries. This segment also operates through partnerships with other companies, including interests in foreign companies in this segment.
F
Free cash flow: Corresponds to operating cash flow minus acquisitions of property, plant and equipment, intangible assets and equity interests. Free cash flow is not defined under the IFRS and should not be considered in isolation or as a substitute for cash and cash equivalents calculated in accordance with IFRS. It may not be comparable to free cash flow of other companies, however management believes that it is an appropriate supplemental measure to assess our liquidity and supports leverage management.
PETROBRAS | Performance Report | 3Q24 | 40 |
Glossary
G
Gas & Low Carbon Energy (G&LCE): The segment covers the logistics and commercialization of natural gas and electricity, the transportation and commercialization of LNG, the generation of electricity through thermoelectric plants, as well as the processing of natural gas. It also includes renewable energy businesses, low carbon services (carbon capture, utilization and storage) and the production of biodiesel and its products.
I
Investments: Capital expenditures based on the cost assumptions and financial methodology adopted in our Strategic Plan, which include acquisition of PP&E, including expenses with leasing, intangibles assets, investment in investees and other items that do not necessarily qualify as cash flows used in investing activities, primarily geological and geophysical expenses, pre-operating charges, purchase of property, plant and equipment on credit and borrowing costs directly attributable to works in progress.
L
Leverage: Ratio between the Net Debt and the sum of Net Debt and Shareholders’ Equity. Leverage is not a measure defined in the IFRS and it is possible that it may not be comparable to similar measures reported by other companies, however management believes that it is an appropriate supplemental measure to assess our liquidity.
Lifting Cost: An indicator that represents the lifting cost per barrel of oil equivalent, considering the ratio between production and costs. It includes expenses for the execution and maintenance of production. Costs related to the leasing of third-party platforms, production taxes, and depreciation, depletion, and amortization are not considered in this indicator.
Lifting Cost + Leases: An indicator that includes costs related to the leasing of third-party platforms in the calculation of Lifting Cost. Costs related to production taxes and depreciation, depletion, and amortization are not considered.
Lifting Cost + Production Taxes: An indicator that includes costs related to production taxes in the calculation of Lifting Cost. Costs related to the leasing of third-party platforms and depreciation, depletion, and amortization are not considered.
Lifting Cost + Production Taxes + Leases: An indicator that includes costs related to the leasing of third-party platforms and production taxes in the calculation of Lifting Cost. Costs related to depreciation, depletion, and amortization are not considered.
LTM Adjusted EBITDA: Sum of the last 12 months (Last Twelve Months) of Adjusted EBITDA. This metric is not foreseen in the international accounting standards - IFRS and it is possible that it is not comparable with similar indexes reported by other companies, however Management believes that it is supplementary information to assess liquidity and helps manage leverage. Adjusted EBITDA should be considered in conjunction with other metrics to better understand the Company's liquidity.
N
Net Debt: Gross debt less adjusted cash and cash equivalents. Net debt is not a measure defined in the IFRS and should not be considered in isolation or as a substitute for total long-term debt calculated in accordance with IFRS. Our calculation of net debt may not be comparable to the calculation of net debt by other companies, however our management believes that net debt is an appropriate supplemental measure that helps investors assess our liquidity and supports leverage management.
Net Income by Business Segment: The information by the company's business segment is prepared based on available financial information that is directly attributable to the segment or that can be allocated on a reasonable basis, being presented by business activities used by the Executive Board to make resource allocation decisions. and performance evaluation. When calculating segmented results, transactions with third parties, including jointly controlled and associated companies, and transfers between business segments are considered. Transactions between business segments are valued at internal transfer prices calculated based on methodologies that take into account market parameters, and these transactions are eliminated, outside the business segments, for the purpose of reconciling the segmented information with the consolidated financial statements of the company.
PETROBRAS | Performance Report | 3Q24 | 41 |
Glossary
O
Operating profit after taxes: Adjusted EBITDA, minus DD&A of assets booked at historical exchange rates and 34% income tax rate.
R
Refining, Transportation and Marketing (RTM): The segment covers refining, logistics, transportation, acquisition and export of crude oil, as well as trading in oil products in Brazil and abroad. This segment also includes petrochemical operations (involving interests in petrochemical companies in Brazil) and fertilizer production.
ROCE: operating profit after taxes / average capital employed, both measured in US$ on a LTM basis
PETROBRAS | Performance Report | 3Q24 | 42 |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
Date: November 7, 2024
PETRÓLEO BRASILEIRO S.A–PETROBRAS
By: /s/ Fernando Sabbi Melgarejo
______________________________
Fernando Sabbi Melgarejo
Chief Financial Officer and Investor Relations Officer