Woodside Energy reported a 150% year-on-year increase in free cash flow to $352 million for the first half of 2026, alongside a 13% rise in underlying EBITDA to $4.6 billion. Underlying net profit after tax reached $1.3 billion, up from $1.1 billion in the same period last year, as average realized prices held near $74 per barrel of oil equivalent.
The company’s operating cash flow totaled $3 billion, supporting a $0.57 per share interim dividend, fully franked. Woodside’s liquidity position remained robust at $8.2 billion in cash and undrawn facilities, though gearing edged up to 20.6% at the end of the period, slightly above its target range. The group paid more than AUD 1 billion in taxes, royalties and levies to Australian governments during the half.
Production for the period reached 86.5 million barrels of oil equivalent, with the Sangomar field delivering 15 million barrels at 99.5% reliability, contributing $3.8 billion in EBITDA since startup. Safety metrics improved, with only one high-consequence injury recorded and no Tier 1 or Tier 2 process safety events.
Woodside’s shares rose 2.18% to $34.21 following the results, extending gains from a 52-week low of $21.96. The company’s market capitalization stands at $46.6 billion, with a P/E ratio of 16.87 and a dividend yield of 4.79%. Debt-to-equity was 0.38, while return on equity over the last twelve months was 8%.
Capital discipline remains a priority, with a structural cost reduction target of $350 million per year to be implemented from 2028. Gearing is expected to fall below 20% by December 31, 2026. Woodside also highlighted progress on key growth projects, including the Scarborough LNG venture, now 98% complete and on track for first cargo in Q4 2026. The Trion project in Mexico reached 64% completion, with first oil targeted for 2028. The Louisiana LNG project advanced to 28% completion, with capital exposure reduced to 57% through partnerships with Stonepeak and Williams.
Longer-term targets include more than 50% sales growth and approximately $9 billion in net operating cash flow by 2032, according to the company’s Capital Markets Day outlook. Woodside also reaffirmed its commitment to local business engagement, committing over AUD 520 million to nearly 300 Australian suppliers during the Pluto Train 1 modifications program.
