TotalEnergies (TTE) Q3 2024 earnings summary

Executive summary

• Maintained strategic focus on balanced growth in oil, gas, and integrated power, emphasizing cost discipline and a resilient balance sheet amid volatile markets.

• Adjusted net income for Q3 2024 was $4.1B, down 13% sequentially and 23% year-over-year; 9M 2024 adjusted net income was $13.9B, down 23% year-over-year.

• Net income for Q3 2024 was $2.3B, down 39% sequentially and 66% year-over-year; 9M 2024 net income was $11.8B, down 28% year-over-year.

• The integrated multi-energy model provided resilience amid volatile oil prices and sharply declining refining margins.

• Board approved a third interim dividend of €0.79/share for FY 2024 (+7% vs. 2023) and authorized $2B in Q4 share buybacks.

Financial highlights

• Adjusted net income for Q3 was $4.1 billion; $13.9 billion for the first nine months of 2024.

• Adjusted EBITDA for Q3 2024 was $10.0B, down 9% sequentially and 15% year-over-year; 9M 2024 was $32.6B, down 15% year-over-year.

• Cash flow from operations (CFFO) after nine months reached $23 billion, with full-year expectations around $30–31 billion.

• Q3 saw a $1.1 billion negative adjustment to net income due to impairments related to SunPower bankruptcy and South Africa asset exits.

• Gearing ratio increased to 12.9% at September 30, 2024, from 10.2% at June 30, 2024.

Outlook and guidance

• Q4 2024 production expected between 2.4–2.45 million barrels of oil equivalent per day, supported by project ramp-ups and resolution of disruptions.

• 2024 net investment guidance confirmed at $17–18 billion; similar range expected for 2025.

• Shareholder distributions remain strong, with $2 billion buybacks planned for Q1 2025 and annual target of $8 billion.

• Dividend growth up nearly 7% year-over-year and 20% above pre-COVID levels.

• Q4 2024 refining utilization rate anticipated above 85%, with a turnaround at Leuna refinery.