TotalEnergies Reports Slight Q3 Earnings Decline Amid Lower Oil Prices

TotalEnergies reported a 2.4% decline in third-quarter earnings to $4.0 billion, meeting analyst expectations despite lower oil prices. The company offset this with increased upstream production, which rose 4%, and improved crude refining margins boosted by the EU ban on Russian oil imports, leading to a 10% rise in upstream earnings. Net debt decreased to $24.6 billion by the end of September and is expected to fall further as asset sales continue, although concerns about borrowing persist among investors. CEO Patrick Pouyanne highlighted that acquisitions will boost production and expressed optimism about higher oil prices and refining margins due to recent U.S. sanctions on major Russian oil companies. TotalEnergies also experienced an 18% drop in LNG earnings, but strong cash flow and operating performance support its $17–$17.5 billion investment plan for 2025. The company faces potential challenges from proposed French legislation that could increase levies on share buybacks, contributing to recent stock declines.