By Anthony Harrup

MEXICO CITY--Mexican state-owned oil company Petróleos Mexicanos slashed the size of its net loss in the fourth-quarter as operating results improved despite lower revenue.

Pemex reported a loss of 147 million pesos ($8.5 million) for the October-December quarter, compared with a loss of MXN350.5 billion in the year-earlier period.

Lower cost of sales, lower fixed-asset impairment and lower taxes and duties, along with a foreign exchange gain, contributed to the improved net result, Pemex said Friday.

Sales fell 16% to 362.4 billion, affected by lower crude oil volume and prices, which was partially offset by higher volume and prices for domestic sales of gasoline, diesel, fuel oil and jet fuel. Operating profit was MXN20.3 billion, compared with an operating loss of MXN41.5 billion in the fourth quarter of 2024.

Crude oil and condensates production averaged 1.65 million barrels a day, down 1.3% from a year earlier, affected by the decline of mature fields, increased drilling complexity, adverse weather and delays in infrastructure installation, Pemex said. Natural gas production rose 7.4% to 3.879 billion cubic feet a day.

Pemex's refineries processed 1.14 million barrels a day of crude oil in the quarter, a 44% increase from a year earlier. Production of petroleum products rose 42% to 1.18 million barrels a day. Gasoline production increased to 433,000 barrels a day from 295,000 barrels a day, and diesel output rose to 293,000 barrels a day from 172,000 barrels a day.

Pemex's financial debt ended the year at $85.2 billion, down from $100.3 billion at the end of September following substantial financial support from the federal government.

Write to Anthony Harrup at anthony.harrup@wsj.com

(END) Dow Jones Newswires

February 27, 2026 12:07 ET (17:07 GMT)

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