Japan's Eneos ups FY26 net profit forecast 48% on stronger oil prices

In a significant boost to its fiscal 2026 outlook, Japan's largest oil refiner, Eneos Holdings, has raised its net profit forecast by an impressive 48% to 615 billion yen ($3.87 billion). This forecast increase comes after the company's initial May prediction of 415 billion yen.

The surge in the projected net profit is primarily attributed to stronger-than-expected oil prices, both for crude oil and overseas petroleum product prices. Despite this upbeat outlook, Eneos has also recorded a substantial impairment loss of 111.8 billion yen in the second quarter of fiscal 2026. This impairment was primarily linked to goodwill from its 2022 acquisition of Japan Renewable Energy, resulting in a 111.8 billion yen impairment loss.

For the first half of fiscal 2026, which covers the period from April to September, Eneos's net profit rose nearly eightfold from the previous year, reaching 511.9 billion yen. This strong performance is a testament to the company's resilience and ability to adapt to the evolving energy market dynamics.