TotalEnergies posts 21% drop in full-year revenue on decrease crude costs

Poster and emblem on the Coupole Tower, compagny Whole’s head workplace renamed TotalEnergies in 2021 within the La Protection enterprise district west of Paris in Courbevoie, France on 7 June 2024.

Antoine Boureau | Afp | Getty Pictures

French oil main TotalEnergies on Wednesday reported a pointy drop in full-year earnings, in opposition to a backdrop of decrease crude costs and weak gasoline demand.

The oil and gasoline large posted full-year 2024 adjusted web revenue of $18.3 billion, reflecting a 21% fall from $23.2 billion a yr earlier.

Analysts had anticipated TotalEnergies’ full-year 2024 adjusted web revenue to return in at $18.2 billion, in accordance with an LSEG-compiled consensus.

The power main reported better-than-expected fourth-quarter adjusted web revenue of $4.4 billion.

The outcomes buck a pattern of consecutive quarterly losses. TotalEnergies’ adjusted web revenue had dropped for 5 straight quarters to notch a three-year low in September final yr.

In a buying and selling replace printed final month, TotalEnergies stated its fourth-quarter outcomes would doubtless profit from a slight enhance in hydrocarbon manufacturing, stronger gasoline buying and selling and a modest enhance in refining margins.

Paris-listed shares of TotalEnergies are up round 6.8% year-to-date.

The world’s prime oil and gasoline corporations have seen income fall from document ranges in 2022, when Russia’s full-scale invasion of Ukraine prompted worldwide benchmark Brent crude to leap to almost $140 per barrel.

Oil costs have since cooled amid faltering international demand, with Brent crude futures averaging $80 per barrel in 2024 — about $2 per barrel lower than through the earlier yr, in accordance with the U.S. Vitality Data Administration.

Vitality giants have reported combined fourth-quarter and full-year outcomes amid weaker refining margins and decrease crude costs.

U.S. oil large Exxon Mobil beat Wall Road’s estimate for fourth-quarter revenue final week, whereas U.S. oil producer Chevron and Britain’s Shell each missed analyst forecasts.

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