Total Energies has posted a sharp surge in second-quarter profits, powered by soaring oil and gas prices following Russia’s invasion of Ukraine.
The energy giant’s net income nearly trebled from a year ago to $9.8bn – with cash flow from operations climbing to $16.3bn.
However, its shares dropped three per cent, after its modest buyback plans disappointed investors.
Its plans for $2bn worth of buybacks in the third quarter were deemed conservative.
Jefferies analyst Giacomo Romeo explained: “Total Energies leaves the buyback unchanged at $2bn in third-quarter despite improving cash flow generation. We expected a 50 per cent increase quarter-on-quarter to $3bn, which we saw as fairly consensual.”
Total Energies has ridden the wave of rising demand following the end of lockdowns and painful shortages in supply after Russia’s invasion of Ukraine disrupted markets.
This has powered the profits for many of the world’s top oil companies, with Shell and Equinor also unveiling bumper profits.