TotalEnergies Reports Decline in Earnings and Revenue for Q4

TotalEnergies SE has reported a decline in earnings with a net income of $3.96 billion for the fourth quarter. EPS fell to $1.70, lower than analyst expectations, impacting stock sentiment.

Date: 05-02-2025

AI Rating: 4

Net Income and EPS Analysis

TotalEnergies SE reported a fourth-quarter net income of $3.96 billion, which is a significant decrease from the $5.06 billion recorded in the previous year. This drop in net income could lead to a negative sentiment around the stock, as it indicates a downturn in profitability.

Earnings per share (EPS) also declined, falling from $2.09 to $1.70. This is below the analysts’ expectations of $1.82 per share. The reduction in EPS is usually viewed unfavorably by investors as it signifies a decrease in earnings attributable to each share, potentially affecting investor confidence.

Adjusted Net Income and Revenue Growth

The adjusted net income was reported at $4.41 billion, down from $5.23 billion a year ago. This decline, combined with a significant drop in sales from $59.24 billion to $52.51 billion, showcases a decrease in revenue growth, which investors typically monitor closely.

Production Levels

Hydrocarbon production declined to 2,427 kboe/d compared to 2,462 kboe/d in the previous year, indicating operational challenges. Although the company anticipates production to rise between 2.5 and 2.55 Mboe/d in the first quarter, the current decline does not project strongly in terms of future profitability.

Future Outlook

Despite the unfavorable quarterly results, TotalEnergies has confirmed its share buyback program of $2 billion per quarter and proposed a slight increase in dividends up to 3.22 euros per share. These factors could indicate a desire to maintain shareholder value despite current struggles.

Overall, the reported data reflects significant challenges in earnings and revenue that could negatively influence TotalEnergies' stock price moving forward.

Stocks: TTE