Brazil’s state-run oil giant Petrobras (NYSE: PBR) shocked the markets with a rare net loss of $2.9 billion in Q4 2024. The company attributed this significant downturn to the steep devaluation of the Brazilian real, which was the worst-performing major currency last year.
This unexpected loss marks a stark contrast to Petrobras’s typically robust earnings, as currency fluctuations weighed heavily on the company’s financial performance. The Brazilian real’s decline added pressure on Petrobras, which has substantial dollar-denominated liabilities.
Despite the challenging quarter, Petrobras maintains a focus on navigating market volatility, and analysts are closely watching how it adapts to fluctuating exchange rates and global oil prices moving forward.
