PetroChina's Net Fell in 2025 Amid Lower Oil Prices

By Jason Chau

Chinese oil and gas company PetroChina reported a fall in net profit for 2025, weighed down by a decline in global oil prices.

PetroChina, the listed arm of state-owned China National Petroleum Corp., said Sunday that its 2025 net profit fell 4.5% to 157.32 billion yuan, equivalent to $22.76 billion. The decline was largely driven by a 15% drop in earnings from its oil, gas, and new energy segment, which was affected by lower international oil prices, the company said.

Annual revenue declined 2.5% to 2.864 trillion yuan, driven by the combined impact of a decrease in the price of oil and gas products and changes in sales volume. In particular, revenue from PetroChina's oil, gas and new energy segment dropped 9.0%.

Analysts had expected a net profit of 156.27 billion yuan and revenue of 2.853 trillion yuan, according to an LSEG consensus estimate.

The energy major's net oil and gas production reached 1.84 billion barrels of oil equivalent last year, up 2.5%. The group's average realized price for crude oil was 14% lower at $64.11 a barrel in 2025, the company said.

For 2026, PetroChina said it sees uncertainty and risks of significant fluctuations in international oil and gas supply and prices due to the periodic impact brought by geopolitical factors.

The company has guided for further increase in oil and gas production, though it expects Chinese demand for gasoline and diesel to continue declining, and the natural gas market demand to maintain growth.

PetroChina is one of China's three largest oil and gas companies, with a significant presence in both upstream production and downstream refining.

Both Sinopec, its main refining rival, and Cnooc, its upstream-focused competitor, recorded declines in net profit in 2025 due to weaker crude prices. China's rapid adoption of renewables and broader shift away from fossil fuels in recent years have also affected the performance of the three energy majors.

PetroChina, like its peers, is also dealing with a major energy-supply disruption following the outbreak of war in Iran, which has pushed Brent crude prices significantly higher.

Pricier oil is expected to benefit upstream producers while weighing on downstream refiners, according to Morningstar director Chokwai Lee. Given PetroChina's business mix, it is likely to benefit less than Cnooc, but is also less exposed to downside risks than Sinopec, Lee said.

Write to Jason Chau at jason.chau@wsj.com

(END) Dow Jones Newswires

March 29, 2026 21:06 ET (01:06 GMT)