TotalEnergies saw its net profit collapse in the third quarter to 2.1 billion euros due to the sharp decline in refining margins and the fall in oil prices, the group announced on Thursday.
“In a bearish oil environment, with sharply declining refining margins, TotalEnergies demonstrates the resilience of its integrated multi-energy model,” declared CEO Patrick Pouyanné, quoted in the results press release.
Compared to the second quarter, the world's 4th largest oil and gas major, which publishes in dollars, saw its net profit fall by 39% in the third quarter in American currency, to $2.3 billion. It fell by 65% compared to the third quarter of 2023.
Adjusted net profit stood at $4.1 billion over the period, compared to 4.3 expected according to the consensus calculated by FactSet and Bloomberg.
Net income for the first nine months of the year fell 28% to $11.8 billion year-on-year.
“In a context of modest global economic growth and geopolitical tensions in the Middle East, oil prices are volatile,” underlines TotalEnergies. It also indicates that European gas prices are remaining at sustained levels, in a context of anticipation of winter consumption.
TotalEnergies has decided to distribute a third interim dividend for the 2024 financial year, in the amount of 0.79 euros per share, an increase of almost 7% compared to 2023. The Board of Directors of the group has also authorized share buybacks of $2 billion in the fourth quarter of 2024, “in order to reach $8 billion over the year”, indicated Patrick Pouyanné.
