The Woodside Energy Group Ltd (ASX: WDS) share price is in focus after the ASX energy share announced its HY26 result.
Woodside is one of the largest oil and gas producers operating in Australia. It also has a global presence with multiple international projects.
FY26 half-year result
Here are the highlights for the six months to 30 June 2026:
- Operating revenue increased 13% to US$7.4 billion
- Underlying EBITDA (EBITDA explained) rose 1% to US$4.6 billion
- EBIT jumped 19% to US$2.16 billion
- Underlying net profit grew 7% to US$1.33 billion
- Reported net profit after tax soared 27% to US$1.67 billion
- Operating cashflow fell 10% to US$3 billion
- Free cashflow soared 159% to US$352 million
- Interim dividend hiked by 8% to US$0.57
What happened in this result?
Woodside said that the average realised price for its energy was US$74 per barrel of oil equivalent (BOE), representing a 20% rise year on year.
The company said that its total production volume was 13% lower than the first half of FY25, coming in at 86.5 million barrels of oil equivalent (MMboe).
Woodside said that its capital expenditure was 36% lower to US$1.6 billion, though exploration expenditure increased 42% to US$119 million.
The ASX energy share noted that its gearing was 20.6%, marginally outside of its target range between 10% to 20%, which was impacted by $655 million of new lease liabilities, a $419 million net cash outflows from hedge settlements and a $101 million increase in trade receivables.
It was pleased to note that it maintained high asset reliability, with operated LNG facilities achieving 98.7% reliability, Sangomar had 99.5% reliability and Shenzi had 99.1% reliability.
Project progress
The company noted that it has progressed its major projects during the period.
Scarborough is now 98% complete, Trion is 64% complete and Louisiana LNG is 28% complete.
These projects are going to be important drivers of future value for the business, giving it increased scale benefits and unlocking stronger production.
Outlook for the Woodside share price
The business tightened its production guidance for 2026. Woodside was expecting guidance of between 172 MMboe to 186 MMboe. It’s now expecting to produce between 174 MMboe to 185 MMboe.
Its short-term success may be dependent on what happens with energy prices, which could be influenced by how events play out in the Middle East.
I think Woodside is effectively building its operations and projects, but, environmental considerations aside, I wouldn’t say this is the most opportunistic time to buy into the ASX energy share. When energy prices are weaker would be a better time to pounce, in my view, so there are other ASX dividend shares I’d rather buy.
