ABSTRACT Regenerative agriculture (Reg) improves soil health, ecosystem services and economic performance, but its impact on olive groves remains underexplored. This study evaluates soil physical, chemical and biological properties, ecosystem services and economic outcomes in adjacent regenerative (Reg) and conventional (Conv) olive groves in southern Spain. After 6 years, Reg sites showed substantial improvements: water‐stable aggregates (+ 33%), soil moisture at field capacity (+ 33%), soil organic matter (+ 75%), extractable potassium (+ 46%) and culturable microbial populations (+ 18%) relative to Conv. Some indicators approached values of a nearby forest reference, for example, soil organic matter 5.9% versus 13.5% and Shannon microbial diversity 3.4 versus 3.4. Leaf nutrient concentrations were adequate in both groves, although nitrogen and phosphorus were near lower recommended thresholds. Areas with reduced vegetation cover in the Reg grove (RegB) had lower soil health indicators but remained comparable to Conv. Soil organic carbon stock was highest in RegG (7.9 Mg ha −1 ) and similar in RegB (5.3 Mg ha −1 ) and Conv (5.6 Mg ha −1 ). Regenerative management enhanced ecosystem services across all categories, particularly regulating and cultural services, while provisioning services were maintained. Economically, RA achieved higher gross income (2825 € vs. 2428 € per ha), net balance income (1340 € vs. 467 € per ha) and a superior B:C ratio (1.90 vs. 1.40) compared to Conv. These findings demonstrate that Reg improves soil functionality, supports multiple ecosystem services and increases economic returns, highlighting the importance of regenerative practices in olive groves.