TotalEnergies SE (NYSE:TTE) stock is trading higher on Wednesday after the company reported first-quarter 2026 results.
Details
The French energy giant posted adjusted earnings of $2.45 per share, missing the $2.23 consensus estimate.
Revenue for the quarter came in at $54.16 billion, below the expectations of $61.93 billion.
Adjusted net income rose 29% year over year (Y/Y) to $5.4 billion. Adjusted EBITDA totaled $12.6 billion, up 19% Y/Y, in the quarter.
Cash flow from operations excluding working capital changes stood at $8.6 billion in the quarter.
Segment Performance
- Exploration & Production generated $2.58 billion in adjusted operating income, a 43% sequential (Q/Q) increase. This is due to a growth in the average liquids price and contribution of the new projects
- Integrated LNG earnings rose 43% Q/Q to $1.32 billion, led by 12% increase in LNG production and trading activities.
- Integrated Power posted a 3% Q/Q decrease in income to $545 million
- Refining & Chemicals saw income climb 60% Q/Q to $1.60 billion, driven by strong refinery performance that captured elevated margins in March, along with favorable trading conditions in crude and petroleum products.
- Marketing & Services fell 23% Q/Q to $262 million in the quarter.
Production Update
TotalEnergies reported hydrocarbon production of 2.55 million barrels of oil equivalent per day, flat Q/Q, in the quarter.
Net Power Production was roughly flat year-over-year at 11.7 terawatt hours, with gross installed renewable capacity reaching 35.6 gigawatts.
Share Repurchase & Dividend
The company raised its first interim FY2026 dividend by 5.9% to 90 cents euros per share, payable in October 2026.
The Board approved the continuation of share buybacks of up to $1.5 billion for the second quarter. It reaffirmed the goal of maintaining a payout ratio above 40% for the year.
Outlook
The company said Middle East disruptions have led to a 15% production shutdown in Qatar, Iraq, and the UAE and pushed oil prices toward $100 per barrel. The conflict has also lowered expectations for a 2026 hydrocarbon surplus.
TotalEnergies expects second-quarter 2026 production to grow around 4% (excluding geopolitical impacts) and reaffirmed its annual net investment guidance of $15 billion.
In addition, TotalEnergies completed the acquisition of a 50% stake in EPH's Western Europe flexible power platform, creating the second-largest flexible generation player, TTEP.
Following the EPH deal, Integrated Power is expected to add ~10 TWh of net output in 2026 and over $500 million in cash flow.
Refining utilization is forecast at 80%–85%, affected by reduced SATORP capacity and a planned turnaround at Donges.
TTE Price Action: TotalEnergies shares were up 0.64% at $91.61 at the time of publication on Wednesday, according to Benzinga Pro data.
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