TotalEnergies reports decline in Q1 profit

French energy giant TotalEnergies reported an 18% decline in adjusted net income for the first quarter of 2025, totaling $4.2 billion, slightly below analyst expectations. The decline was largely due to weaker oil prices and sluggish refining margins, even as oil and gas production rose by 4% year-on-year. Upstream profits fell 6%, reflecting the impact of lower crude prices despite increased output, according to a press release on the company’s website dated April 30, 2025.

The company’s refining and chemicals segment saw a significant 69% decline in income compared to the same period last year, affected by subdued demand and growing competition from new refineries in Asia and Africa. Meanwhile, earnings from marketing and services dropped by 6% year-on-year and 34% from the previous quarter, a decrease attributed to seasonal business patterns. However, LNG remained a bright spot, with earnings up by 6% from a year earlier, though still 10% lower than the last quarter.

Despite the earnings setback, TotalEnergies remains committed to returning value to shareholders, announcing up to $2 billion in share buybacks for the second quarter. The company also continues to differentiate itself from peers, like BP and Shell, by staying the course on expanding its renewable energy investments alongside its traditional oil and gas operations.