Flame cutting is commonly used thermal cutting method in metal industry when processing thick steel plates. Cutting is performed with controlled flame and oxygen jet, which burns steel and forms cutting edge. Flame cutting process is based on controlled chemical reaction between steel and oxygen at elevated temperature. Flame cutting of thick wear-resistant steels is challenging while it can result in cracks on and under the cut edge. Flame cutting causes uneven temperature distribution in the plate, which can introduce residual stresses. In addition, heat affected zone (HAZ) is formed and there both volume and microstructural changes as well as hardness variations are taking place. Therefore flame cutting always causes thermal stress, shape changes and consequently residual stresses to the material. Material behaviour under thermal and mechanical loading depends on the residual stress state of the material. Due to this, it is important to be able to measure the residual stresses. The aim of this study was to examine residual stresses on the cutting edge as a function of different flame cutting parameters. Also resulting microstructures and hardness values were verified. Varying parameters were the cutting speed, preheating and post heating procedures. Flame cut samples were investigated with X-ray diffraction method to produce residual stress profiles of the heat affected surface layer. Results indicated that different cutting parameters provide different residual stress profiles and that these profiles can be modified by changing the cutting speed and pre-or post-treatment procedures. Cutting parameters also affect the depth of the reaustenized region in the surface. The results correlate well with the actual industrial flame cutting and thus they provide an effective tool for optimizing the flame cutting process parameters.