TotalEnergies (TTE) Q1 2025 earnings summary

Executive summary

• Delivered robust Q1 2025 results amid heightened macroeconomic and geopolitical uncertainty, with resilient performance across oil, gas, and electricity segments, though adjusted net income fell 18% year-over-year to $4.2B due to lower prices and weak refining margins.

• Achieved nearly 4% year-on-year oil and gas production growth to 2,558 kboe/d, driven by new projects in Brazil, US, Malaysia, Argentina, and Denmark.

• Integrated Power production increased 18% year-over-year, with renewables and flexible gas capacity expansion.

• Maintained strong cost discipline, with OpEx per barrel below $5 and CapEx secured through lump sum EPC contracts.

• Shareholder returns remain robust: interim dividend up 7.6% to €0.85/share and $2B share buybacks executed in Q1, with another $2B planned for Q2.

Financial highlights

• Adjusted net income of $4.2 billion and cash flow from operations (CFO) of $7 billion in Q1 2025, both down year-over-year.

• Adjusted EBITDA was $10.5B, down 9% year-over-year; net income (TotalEnergies share) was $3.9B, down 33% year-over-year.

• Net investments totaled $4.9 billion in Q1, up 38% year-over-year, with organic investments at $4.5B.

• Gearing at 14.3%, normalized to 11% excluding seasonality.

• Interim dividend at EUR 0.85 per share, up 20% versus pre-COVID level; $2 billion of share buybacks executed in Q1.

Outlook and guidance

• Q2 production expected to grow 2%-3% year-on-year, with full-year 2025 production growth guidance reiterated at more than 3% over 2024.

• Oil prices remain volatile ($60–$70/b) amid OPEC+ production changes and US tariffs; refining and petrochemical margins expected to stay weak.

• Gas prices in Europe expected to remain elevated in Q2 2025; LNG average selling price guidance set at $9–$9.5/Mbtu.

• Annual CapEx guidance maintained at $17-$17.5 billion, with $4.5B for low-carbon energies.

• Committed to maintaining at least 40% of cash flow from operations for shareholder distributions through cycles.