French oil company TotalEnergies has reported adjusted net income of $4.07bn in the third quarter of 2024 (Q3 2024), down 13% from $6.45bn during the same period in 2023.
Adjusted diluted net earnings per share were $1.74 for the quarter and $5.87 for the first nine months of 2024.
The decline was attributed to the decrease in oil prices and lower refining margins.
During the three months under review, the company’s revenues from sales were down 4% to $47.42bn from $49.18bn year-on-year.
Upstream production stood at 2.41 million barrels of oil equivalent per day (mboe/d).
TotalEnergies’ expenditures during the quarter decreased to $5.91bn from $6.34bn in Q3 2023.
The company reported a return on capital employed of 15.6%.
In the three months that ended 30 September, the company commenced production from the Mero-3 oilfield in Brazil, the Anchor oil project in the US and the Fenix gas project in Argentina.
The company also launched the GranMorgu project in Suriname, aiming to support a production growth target of 3% per year through 2030.
The integrated liquefied natural gas (LNG) segment achieved an adjusted net operating income of $1.1bn and cash flow of $0.9bn, with gas and LNG trading not fully capitalising on low market volatility.
The downstream segment faced a decrease in refining margins, resulting in an adjusted net operating income of $0.6bn and cash flow of $1.2bn, a roughly 40% drop quarter-to-quarter.
Marketing and trading activities helped to compensate for the decline in refining.
In the first three quarters, the company’s adjusted net income fell 23% to $13.85bn and revenue was $148.49bn.
TotalEnergies' net cash flow was $1.05bn for the quarter and $8.8bn for the first nine months of 2024.
The company repurchased 29.3 million shares for $2bn in Q3 and 88.1 million shares for $6bn in the first nine months of 2024.
European gas prices are expected to remain high, with TotalEnergies anticipating an average LNG selling price of around $10 per million British thermal units in Q4 2024.
Hydrocarbon production for Q4 is expected to be between 2.4 and 2.45mboe/d. The company confirms net investment guidance of $17–18bn in 2024.
