TotalEnergies (TTE) Q4 2025 earnings summary

Executive summary

• Achieved robust energy production growth in 2025, with upstream production up 4–5% and integrated power net production up 17–20% year-over-year, exceeding targets and supporting long-term expansion.

• Maintained strong operational discipline, with OpEx per barrel at $5 and CapEx at $17.1 billion, supporting resilient free cash flow.

• Advanced major projects in Namibia and the US, expanded LNG and power deals, and scaled up integrated power and datacenter solutions with major PPAs.

• Achieved significant emissions reductions, with methane emissions down 65% since 2020 and Scope 1+2 CO2 emissions down 38% vs. 2015.

• Dividend for 2025 increased 5.6%, with $7.5 billion in share buybacks and a payout ratio near 55%.

Financial highlights

• Adjusted net income for 2025 was $15.6 billion; IFRS net income was $13.1 billion.

• Cash flow from operations totaled $27.8 billion, with $6.2 billion from downstream and $2.6 billion from integrated power.

• Return on equity was 13.6% and ROACE was 12.6%, both best-in-class among peers.

• Gearing at year-end was 14.7%, targeting ~15% for end-2026.

• Ordinary dividend per share increased by 5.6% in euros and 13.3% in US dollars for 2025.

Outlook and guidance

• 2026 targets include 5% global energy growth, 3% oil & gas growth, and >60 TWh electricity net production.

• CapEx guidance set at ~$15 billion, with flexibility to reduce further if needed.

• Free cash flow expected to exceed $11 billion at $60/bbl oil and $10/mmbtu gas, with dividend and buyback guidance maintained.

• Integrated power expected to be free cash flow positive and contribute to dividends by 2026 or 2027.

• Continued focus on cost savings, targeting $12.5 billion in cumulative savings and maintaining gearing at 15%.