HELLENiQ ENERGY reported a sharp increase in third-quarter profits on Thursday, benefiting from record refining margins, strong export demand and its ability to maintain production amid significant disruptions to energy supplies across Europe and the Middle East.
The Greek energy group posted adjusted earnings before interest, taxes, depreciation and amortisation (EBITDA) of €1.16 billion for the three months to September, more than triple the €365 million recorded in the same period last year.
Adjusted net income surged to €808 million from €186 million, while quarterly revenue rose 54% to €5.11 billion, reflecting the impact of higher energy prices and stronger refining profitability.
The results highlight the increasingly important role of Greek refineries in supplying Southeastern Europe at a time when geopolitical tensions, constrained crude oil flows and shortages of diesel and aviation fuel have placed considerable pressure on regional energy markets.
Record refining margins drive earnings
HELLENiQ ENERGY’s refining, supply and trading division generated adjusted EBITDA of €1.05 billion during the quarter, supported by exceptionally strong refining margins and the group’s ability to source alternative crude oil grades.
Its realised refining margin reached approximately $49 per barrel, while the benchmark margin for its refinery system averaged $30.1 per barrel, compared with $8.5 a year earlier.
The company processed 4.1 million tonnes of crude oil and recorded sales of 4.2 million tonnes of refined products, with exports accounting for 46% of total volumes.
Exports of diesel and jet fuel alone reached 900,000 tonnes, helping alleviate shortages in neighbouring European markets.
The strong performance came against a backdrop of significant energy-market volatility. Brent crude averaged $97 per barrel during the quarter, an increase of 40% year-on-year, and peaked at $129 in September.
Disruptions to transportation through the Strait of Hormuz, together with restrictions on petroleum product supplies from the Middle East and Russia, contributed to tighter fuel markets and sharply higher refining margins.
HELLENiQ ENERGY Chief Executive Andreas Shiamishis said the company’s operational flexibility had been instrumental in maintaining supplies during an exceptionally challenging period.
“The biggest achievement was the uninterrupted availability and high production runs of our refineries,” Shiamishis said, highlighting their ability to process alternative crude grades and increase production of diesel and jet fuel.
He added that the group had increased exports to neighbouring countries while continuing to meet domestic demand, contributing to regional energy security.
Strong cash flow supports higher dividend
The exceptional quarterly performance helped lift adjusted EBITDA for the first nine months of 2026 to €1.90 billion, compared with €766 million in the corresponding period of 2025.
Adjusted net income reached €1.20 billion, up from €313 million, while nine-month revenue increased 43% to €12.12 billion.
Strong operating performance generated approximately €1 billion in free cash flow during the nine-month period, enabling the company to reduce net debt by around €600 million from the end of 2025 to €1.5 billion.
The group’s gearing ratio fell to 26%, compared with 47% a year earlier, while net debt to adjusted EBITDA stood at 0.7 times.
Reflecting the improved financial position, HELLENiQ ENERGY announced an interim dividend of €0.40 per share, double the €0.20 distributed previously.
The dividend is scheduled for payment on January 25, 2027.
Management also indicated that the strong financial performance could support an enhanced full-year dividend announcement when annual results are published in February.
Accelerating investment in renewables
Despite the substantial contribution from conventional refining, HELLENiQ ENERGY continued to expand its renewable energy portfolio as part of its longer-term transformation strategy.
Total investments reached €565 million during the first nine months of 2026, with approximately half directed towards growth projects, primarily renewable energy developments in Southeastern Europe.
Operational renewable energy capacity increased to 615 megawatts by the end of September, following the addition of 120 MW since the beginning of the year.
A further 160 MW was added in October, including a 100 MW battery energy storage project in Thessaloniki with a storage capacity of 200 MWh.
The group also has approximately 300 MW of renewable capacity under construction and another 400 MW at an advanced development stage.
HELLENiQ ENERGY is targeting 1.1 gigawatts of renewable energy capacity by 2027 and 1.5 GW by 2028.
The company is also strengthening its electricity and natural gas operations through Enerwave, formerly Elpedison, as it seeks to develop a more integrated energy business.
Expanding regional presence
HELLENiQ ENERGY is pursuing further expansion across Southeastern Europe, combining its established refining and fuel-marketing operations with growing investments in power generation and renewables.
The company recently agreed to acquire the Staroil fuel station network in Cyprus, a transaction intended to complement and expand its existing EKO Cyprus operations.
Its international marketing business also benefited from network expansion, the operation of the Thessaloniki–Skopje petroleum products pipeline and opportunities created by regional supply disruptions.
Meanwhile, the group reported adjusted EBITDA of €69 million in marketing and €29 million in renewables, power and gas during the third quarter.
Consumer support amid rising fuel prices
The company also announced extensive consumer support measures in response to higher energy prices.
During the third quarter, HELLENiQ ENERGY provided approximately €50 million in extraordinary fuel discounts in Greece, covering around 860 million litres of gasoline and diesel.
The discounts amounted to €0.10 per litre for gasoline and €0.05 per litre for diesel, including VAT.
From October 15, the programme was extended to heating oil, with a discount of €0.20 per litre, while the diesel discount continued.
The group also allocated approximately €30 million to social initiatives, including assistance to communities affected by wildfires, donations to public hospitals and educational programmes.
Shiamishis said the company’s strong profitability had enabled it to support consumers while maintaining investment in its operations and future growth.
A stronger regional role
The latest results underscore HELLENiQ ENERGY’s position as a major refining and energy supplier in Southeastern Europe, particularly as supply disruptions increase the strategic importance of reliable regional production.
However, the extraordinary refining margins that drove third-quarter earnings also reflect exceptional market conditions, leaving future profitability exposed to changes in crude oil prices, geopolitical developments and the availability of petroleum products.
Looking ahead, management is preparing a new strategic plan intended to build on its Vision 2025 transformation programme and guide the group’s development over the next decade.
The strategy aims to strengthen HELLENiQ ENERGY’s regional presence while accelerating its transition towards a more diversified energy portfolio.
For the Athens-based group, the challenge will be to convert the financial gains generated by an unusually favourable refining environment into sustainable long-term growth, balancing shareholder returns, regional energy security and the continued expansion of its low-carbon activities.
