The two got a do-over after last year's infamous envelope flub.
And the Oscar goes to… the correct winner!
"This is the home stretch. Nothing could possibly go wrong. It’s Waterhouse under the bridge," host Jimmy Kimmel teased before introducing the Bonnie and Clyde co-stars.
"It's so nice seeing you again," Beatty joked. The nominees were presented, the camera flashed back to Beatty and Dunaway who were ready with the (right) envelope.
"And the Oscar goes to," he announced, double-checking the envelope, "The Shape of Water."
Beatty, 80, and Dunaway, 77, were responsible for the most dramatic Oscars moment in recent history, when they announced La La Land as the 2017 Best Picture winner instead of the real winner, Moonlight. It was later revealed that they were given the wrong envelope by auditors at PriceWaterhouseCoopers (PwC).
"I opened the envelope and it said, 'Emma Stone, La La Land,'" Beatty explained while still onstage after the snafu last year. "That's why I took such a long look at Faye and then you. I wasn't trying to be funny.”
The Academy didn’t take any chances this year, instituting new measures to prevent another envelope mix-up -- though Kimmel recently joked on Good Morning America that “the biggest safeguard there is that this company PricewaterhouseCoopers will literally have to go out of business if they do it a second time.”
“I think they'll have to be very, very careful,” he cracked.
See more in the video below.
Jimmy Kimmel Talks Epic Oscar Best Picture Flub, Says Warren Beatty Would Not Hand Over the Envelopes After