Polish state energy giant Orlen posts record half-year profit amid Middle East turmoil
Orlen has also this year seen its highest ever proportion of revenue from foreign markets.
Polish energy firm Orlen reported a record profit of 15.9 billion zloty for the first half of 2026, marking a significant increase from the 5.7 billion zloty earned in the same period last year. This surge in earnings was attributed to turbulent conditions in the Middle East, which led to a global rise in energy prices. Despite government measures designed to mitigate the impact on consumers, Orlen maintained some of the lowest fuel prices in Europe.
CEO Ireneusz Fąfara highlighted that the company prioritized fuel availability and competitive domestic prices while capitalizing on higher margins abroad, where revenue from foreign markets accounted for 35.7% of Orlen's total revenue, up from 33.8% the previous year. The bulk of this revenue came from operations in Germany, the Czech Republic, Lithuania, Austria, as well as from trading activities in markets like the Netherlands and Switzerland.
Orlen's market valuation reached a record high of €35.2 billion in March, surpassing Russian energy giant Gazprom. However, the company has become embroiled in a political dispute over a proposed windfall tax on excess fuel profits, which could have raised around 4 billion zloty. President Karol Nawrocki obstructed the tax by referring it to the constitutional court, a process that could take years.
Despite this obstruction, Orlen has expressed support for the tax, emphasizing its positive impact on the company, customers, and the nation. However, Fąfara cautioned that the company cannot unilaterally reduce pump prices without risking fuel shortages, as artificially low prices could encourage speculative exports and fuel tourism.
Written by urgent.news from Notes from Poland's reporting — not their text. Machine-written — it may contain errors, so check the original before relying on it.
