TotalEnergies Reports 51% Surge in Q1 Net Income Amid Strong Trading Performance

TotalEnergies SE has reported a substantial rise in first-quarter net income, reaching $5.81 billion, a 51% increase compared to the $3.85 billion recorded in the same period last year. This growth was primarily fueled by elevated oil and gas prices and strong performance across its trading segments for crude oil, petroleum products, and LNG. Adjusted net operating income from business segments rose 31% year-over-year to $6.30 billion, while adjusted EBITDA climbed 19% to $12.55 billion. Total sales for the period increased to $54.16 billion, up from $52.25 billion in the prior year. On the operational front, hydrocarbon production remained nearly flat at 2,553 thousand barrels of oil equivalent per day (kboe/d). While oil production dipped 2%, gas production grew by 2%. The company noted that excluding the impacts of conflict in the Middle East, production actually grew by approximately 4% due to new project ramp-ups. To reward shareholders, the Board of Directors raised the first interim dividend by 5.9% to 0.90 euros per share, marking the highest dividend growth among oil and gas majors. Additionally, the company authorized $1.5 billion in share buybacks for the second quarter and confirmed a target payout ratio exceeding 40% for the year. Looking ahead, TotalEnergies anticipates average LNG selling prices of approximately $10/Mbtu in the second quarter of 2026. However, the company faces immediate operational headwinds, noting that production shutdowns in Qatar, Iraq, and the UAE represented roughly 15% of total production at the end of April.