Press Release: Totalenergies SE: Second Quarter and First Half 2026 Results

Dow Jones14:06

In a high commodity price environment, TotalEnergies is leveraging its integrated model to deliver increasing cash flow and adjusted net income of $9.8 billion and $6 billion over the quarter

TotalEnergies is giving priority to deleveraging, with a gearing ratio down to 13%, and to increasing the dividend with a second quarter dividend at EUR0.90/share, up 5.9%

PARIS--(BUSINESS WIRE)--July 23, 2026-- 

Regulatory News:

TotalEnergies SE (Paris:TTE) $(TTE.UK)$ $(TTE)$:

 
                                               Change          Change 
                                        2Q26   vs 1Q26  1H26   vs 1H25 
-------------------------------------   ----  --------  ----  -------- 
Cash flow from operations excluding 
 working capital (CFFO)(1) (B$)         9.8     +14%    18.4    +35% 
Adjusted net income (TotalEnergies 
share)(1) 
    - in billions of dollars (B$)       6.0     +12%    11.4    +47% 
    - in dollars per share 
     (fully-diluted)                    2.68    +9%     5.14    +51% 
Net income (TotalEnergies share) (B$)   5.4     -6%     11.2    +72% 
Adjusted EBITDA(1) (B$)                 13.2    +5%     25.7    +27% 
--------------------------------------  ----  --------  ----  -------- 
 

The Board of Directors of TotalEnergies SE, chaired by CEO Patrick Pouyanné, met on July 22, 2026, to approve the 2(nd) quarter 2026 financial statements. On the occasion, Patrick Pouyanné said:

"In a high-price environment related to the Middle East conflict, TotalEnergies is leveraging its integrated model and portfolio diversification to post adjusted net income of $6.0 billion and cash flow of $9.8 billion in the second quarter, up almost 15% quarter-to-quarter.

Second quarter Oil & Gas production reached 2.395 Mboe/d, benefiting from organic production growth of more than 4% year-on-year, notably from the ramp-up of projects started last year (Mero 4 and Lapa SW in Brazil, Ballymore in the U.S. and Mabruk in Libya) which partly compensated for the impact of production losses in the Middle East to an average 210 kboe/d over the quarter. Despite a lower lifting level because of difficulties to access the Strait of Hormuz, Exploration & Production posted adjusted net operating income of $3.2 billion and cash flow of $5.8 billion, up by more than 25% over the quarter, capturing the increase in the average selling price of liquids (+$17.9/b compared to the first quarter 2026). The Company also kept its Upstream operating costs at $5/b.

The Integrated LNG segment achieved adjusted net operating income and cash flow of $0.8 billion in the second quarter of 2026, decreasing significantly due to the underperformance of gas trading in a broadly flat to declining market in Europe, whereas it had outperformed in the first quarter. The ECA LNG project, located on the Pacific coast of Mexico, started-up early July, strengthening the diversification of the LNG portfolio of the Company towards the Asian market. Moreover, the Company pursued its strategy of signing long term oil-indexed LNG contracts with Chugoku in Japan and Hangzhou Gas in China.

Integrated Power generated adjusted cash flow of $700 million, up strongly, by 25%, supported by the contribution, in line with expectations, of EPH assets since early May, net operating income is stable quarter-to-quarter.

Downstream posted cash flow of $2.9 billion, up sharply by 35% and adjusted net operating income of $2.3 billion, up 24% in the quarter, driven by the ability of the Refining & Chemicals segment to fully capture the increase in refining and petrochemical margins and the strong performance of crude oil and petroleum products trading activities, at the same level as in the first quarter of 2026. Downstream results also benefited from the outstanding results and cash flow of Marketing & Services activities.

Net investments in the second quarter amounted to $3.4 billion and $7.9 billion in the first half of 2026, consistent with the annual guidance of $15 billion. The gearing ratio stood at 13.1% at the end of the quarter, an improvement of 2.4 percentage points, benefiting from a $3.3 billion reduction in net debt.

Given the Company's strong cash flow generation in the first half of the year and its ability to deliver growth quarter after quarter, the Board of Directors confirmed the priority to the dividend and to the deleveraging of the Company. It has therefore decided the distribution of a second interim dividend of EUR0.90/share for fiscal year 2026, up 5.9% compared to 2025. The Board also authorized the continuation of share buybacks up to $1.5 billion for the third quarter."

1. Highlights (2)

Upstream

   --  United Arab Emirates: 
 
          --  Entry with a 10% stake into the Bab Gas Cap onshore concession 
             in Abu Dhabi 
 
          --  Final Investment Decision on the Umm Shaif Gas Cap project, 
             targeting over 600 MMcf/d of gas production by 2030 and the 
             monetization of associated condensates 
 
 
 
   --  Malaysia: Sale of a non-operated interest in the Marjoram gas field 
 
   --  Syria: Cooperation agreement with the Syrian Petroleum Company $(SPC)$ 
      for the exploration of offshore block 3 
 
   --  Egypt: Signature of a cooperation agreement with EGAS on offshore 
      exploration opportunities 
 
   --  Signing an agreement with Dell Technologies and NVIDIA for the 
      construction of Pangea 5, the next high-performance supercomputer, with a 
      computing power of 150 petaflops 

Integrated LNG

   --  Mexico (Pacific Coast): Start-up of ECA LNG plant 

Integrated Power

   --  Europe: Completion of the acquisition of 50% of a portfolio of flexible 
      power generation assets from EPH (UK, Italy, the Netherlands, France) 
 
   --  Kazakhstan: Final Investment Decision for the Mirrny project, a giant 
      onshore wind farm (1 GW) with batteries (600MWh) producing approximately 
      100 TWh of renewable electricity over 25 years 
 
   --  Philippines: Start-up of the construction of a 440 MWp solar power 
      plant, aiming for commissioning at the end of 2027 and a production of 
      13.5 TWh over 20 years 
 
   --  Europe: Sale of all distributed solar assets in seven European 
      countries 

Social and environmental responsibility

   --  Launch of MethaneLive, a new global methane emissions monitoring 
      center 
 
   --  Allocation of a fuel bonus of $200 (EUR200 in Europe) to its 100,000 
      employees* worldwide to offset the increase in energy prices 
 
   --  Success of the 2026 capital increase reserved for TotalEnergies' 
      employees 
 
   --  Maintaining consumer protection measures through the price cap on 
      gasoline and diesel in France for the duration of the Middle East 
      conflict 

2. Key figures from TotalEnergies' consolidated financial statements (1)

 
                                      In millions of 
                                      dollars, except 
                                      effective tax 
                                      rate, earnings 
                     2Q26             per share and                            1H26 
                      vs              number of                                 vs 
 2Q26       1Q26     1Q26    2Q25     shares               1H26       1H25     1H25 
-------    ------    ----    -----    ----------------    -------    ------    ---- 
                                      Adjusted EBITDA 
13,179     12,552    +5%     9,690    (1)                 25,731     20,194    +27% 
                                      Adjusted net 
                                      operating income 
                                      from business 
 6,871     6,300     +9%     4,390    segments            13,171     9,182     +43% 
                                          Exploration 
                                          & 
 3,231     2,576     +25%    1,974        Production       5,807     4,425     +31% 
                                          Integrated 
  807      1,318     -39%    1,041        LNG              2,125     2,335     -9% 
                                          Integrated 
  533       545      -2%      574         Power            1,078     1,080      - 
                                          Refining & 
 1,800     1,599     +13%     389         Chemicals        3,399      690      x4.9 
                                          Marketing & 
  500       262      +91%     412         Services          762       652      +17% 
                                      Contribution of 
                                      equity 
                                      affiliates to 
                                      adjusted net 
 1,156      709      +63%     702     income               1,865     1,417     +32% 
                                      Effective tax 
 39.3%     39.1%      -      41.5%    rate (3)             39.2%     41.4%      - 
                                      Adjusted net 
                                      income 
                                      (TotalEnergies 
 6,027     5,394     +12%    3,578    share) (1)          11,421     7,770     +47% 
                                      Adjusted 
                                      fully-diluted 
                                      earnings per 
                                      share (dollars) 
 2.68       2.45     +9%     1.57     (4)                  5.14       3.41     +51% 
                                      Adjusted 
                                      fully-diluted 
                                      earnings per 
                                      share (euros) 
 2.31       2.10     +10%    1.38     (5)                  4.41       3.12     +41% 
                                      Fully-diluted 
                                      weighted-average 
                                      shares 
 2,216     2,164     +2%     2,224    (millions)           2,187     2,236     -2% 
                                                                                - 
                                      Net income 
                                      (TotalEnergies 
 5,438     5,810     -6%     2,687    share)              11,248     6,538     +72% 
                                                                                - 
                                      Organic 
 4,694     4,650     +1%     4,819    investments (1)      9,344     9,320      - 
                                      Acquisitions net 
                                      of assets sales 
(1,247)    (172)      ns     1,813    (1)                 (1,419)    2,233      ns 
                                      Net investments 
 3,447     4,478     -23%    6,632    (1)                  7,925     11,553    -31% 
                                                                                - 
                                      Cash flow from 
                                      operations 
                                      excluding 
                                      working capital 
 9,804     8,576     +14%    6,618    (CFFO) (1)          18,380     13,610    +35% 
                                      Debt Adjusted 
                                      Cash Flow (DACF) 
10,188     8,979     +13%    6,943    (1)                 19,167     14,220    +35% 
                                      Cash flow from 
                                      operating 
10,858     3,361     x3.2    5,960    activities          14,219     8,523     +67% 
-------    ------    ----    -----    ----------------    -------    ------    ---- 
Gearing (1) of 13.1% at June 30, 2026 vs. 15.5% at March 31, 2024 and 17.9% at June 
30, 2025 
----------------------------------------------------------------------------------- 
 

3. Key figures of environment, greenhouse gas emissions and production

3.1 Environment -- liquids and gas price realizations, refining margins

 
                 2Q26                                                    1H26 
                   vs                                                      vs 
2Q26     1Q26     1Q26    2Q25                           1H26    1H25     1H25 
-----    ----    -----    ----    -------------------    ----    ----    ----- 
103.8    81.1    +28%     67.9    Brent ($/b)            92.3    71.9    +28% 
 2.9     3.5     -17%     3.5     Henry Hub ($/Mbtu)     3.2     3.7     -14% 
15.6     13.7    +14%     11.9    TTF ($/Mbtu)           14.7    13.2    +11% 
17.5     14.1    +24%     12.2    JKM ($/Mbtu)           15.8    13.1    +20% 
                                  Average price of 
                                  liquids (6),(7) 
                                  ($/b) Consolidated 
91.6     73.7    +24%     65.6    subsidiaries           82.2    68.7    +20% 
                                  Average price of 
                                  gas (6),(8) 
                                  ($/Mbtu) 
                                  Consolidated 
5.55     5.59     -1%     5.63    subsidiaries           5.57    6.13     -9% 
                                  Average price of 
                                  LNG (6),(9) 
                                  ($/Mbtu) 
                                  Consolidated 
                                  subsidiaries and 
10.20    8.48    +20%     9.10    equity affiliates      9.29    9.55     -3% 
13.5     11.4    +19%     4.7     European Refining      12.4    4.3     x2.9 
                                  Margin Marker $(ERM)$ 
                                  (6),(10) ($/b) 
-----    ----    -----    ----    -------------------    ----    ----    ----- 
 

3.2 Greenhouse gas emissions (11)

 
                2Q26                                                     1H26 
                  vs             Scope 1+2 emissions                       vs 
2Q26    1Q26     1Q26    2Q25    (12) (MtCO(2) e)        1H26    1H25     1H25 
----    ----    -----    ----    --------------------    ----    ----    ----- 
                                 Scope 1+2 from 
                                 operated facilities 
7.3     7.9      -8%     8.0     (1)                     15.1    16.4     -8% 
                                     of which Oil & 
6.4     6.9      -7%     7.1         Gas                 13.2    14.3     -8% 
0.9     1.0     -10%     0.9         of which CCGT       1.9     2.1     -10% 
                                 Scope 1+2 - ESRS 
10.2    10.4     -2%     10.6    share (1)               20.6    21.7     -5% 
----    ----    -----    ----    --------------------    ----    ----    ----- 
 
                2Q26                                                     1H26 
                  vs             Methane emissions                         vs 
2Q26    1Q26     1Q26    2Q25    (ktCH(4) )              1H26    1H25     1H25 
----    ----    -----    ----    --------------------    ----    ----    ----- 
                                 Methane emissions 
                                 from operated 
 4       4        -       6      facilities (1)           8       11     -27% 
----    ----    -----    ----    --------------------    ----    ----    ----- 
Estimated quarterly emissions. 
 

First half of 2026 Scope 3(13) Category 11 emissions are estimated at 163 Mt CO(2) e.

3.3 Production (14)

 
                  2Q26                                                             1H26 
                   vs                                                               vs 
2Q26     1Q26     1Q26    2Q25       Hydrocarbon production      1H26     1H25     1H25 
-----    -----    ----    -----    --------------------------    -----    -----    ---- 
                                   Hydrocarbon production 
2,395    2,553    -6%     2,503    (kboe/d)                      2,474    2,531    -2% 
                                       Oil (including 
1,298    1,326    -2%     1,343        bitumen) (kb/d)           1,312    1,349    -3% 
                                       Gas (including 
                                       condensates and 
                                       associated NGL) 
1,097    1,227    -11%    1,160        (kboe/d)                  1,162    1,182    -2% 
-----    -----    ----    -----    --------------------------    -----    -----    ---- 
 
                                   Hydrocarbon production 
2,395    2,553    -6%     2,503    (kboe/d)                      2,474    2,531    -2% 
1,410    1,481    -5%     1,506        Liquids (kb/d)            1,445    1,511    -4% 
5,330    5,799    -8%     5,395        Gas (Mcf/d)               5,563    5,524    +1% 
-----    -----    ----    -----    --------------------------    -----    -----    ---- 
 

Hydrocarbon production was 2,395 thousand barrels of oil equivalent per day in the second quarter of 2026, down 4% year-on-year, due to the following:

   --  +4% from project start-up and ramp-up of projects, including Mero-3, 
      Mero-4 and Lapa SW in Brazil, Anchor and Ballymore in the United States, 
      Begonia and Clov Phase 3 in Angola and Mabruk in Libya, 
 
   --  +3% due to improved plant availability, 
 
   --  -1% due to pricing effect, 
 
   --  -2% due to the natural decline of fields, 
 
   --  -8% due to the impact of the conflict in the Middle East. 

Excluding the impact of the conflict in the Middle East, production was up more than 4% year-on-year, driven by the ramp-up and start-up of new projects and improved facility availability.

4. Analysis of business segments

4.1 Exploration & Production

4.1.1 Production

 
                  2Q26                                                   1H26 
                    vs              Hydrocarbon                            vs 
2Q26     1Q26      1Q26    2Q25     production         1H26     1H25      1H25 
-----    -----    -----    -----    ---------------    -----    -----    ----- 
1,845    1,948     -5%     1,956    EP (kboe/d)        1,896    1,966     -4% 
                                        Liquids 
1,342    1,408     -5%     1,437        (kb/d)         1,375    1,440     -4% 
2,668    2,863     -7%     2,767        Gas (Mcf/d)    2,765    2,807     -1% 
-----    -----    -----    -----    ---------------    -----    -----    ----- 
 

4.1.2 Results

 
                                    In millions of 
                                    dollars, 
                  2Q26              except                               1H26 
                    vs              effective tax                          vs 
2Q26     1Q26      1Q26    2Q25     rate               1H26     1H25      1H25 
-----    -----    -----    -----    --------------    ------    -----    ----- 
                                    Adjusted net 
                                    operating 
3,231    2,576    +25%     1,974    income            5,807     4,425    +31% 
                                        including 
                                        adjusted 
                                        income 
                                        from 
                                        equity 
 137      139      -1%      176         affiliates     276       326     -15% 
                                    Effective tax 
45.4%    49.5%      -      50.1%    rate (15)         47.3%     49.7%      - 
 
                                    Organic 
                                    investments 
2,231    2,724    -18%     3,053    (1)               4,955     5,737    -14% 
                                    Acquisitions 
                                    net of assets 
(348)    (227)     ns       162     sales (1)         (575)      278      ns 
                                    Net 
                                    investments 
1,883    2,497    -25%     3,215    (1)               4,380     6,015    -27% 
 
                                    Cash flow from 
                                    operations 
                                    excluding 
                                    working 
                                    capital (CFFO) 
5,777    4,564    +27%     3,760    (1)               10,341    8,051    +28% 
                                    Cash flow from 
                                    operating 
5,546    2,969    +87%     3,675    activities        8,515     6,941    +23% 
-----    -----    -----    -----    --------------    ------    -----    ----- 
 

Adjusted net operating income was $3,231 million, up 25% in the quarter, reflecting in particular the increase in the average selling price of liquids (+$17.9/b compared to the first quarter of 2026, vs +$22.7/b for Brent, reflecting a larger off-take schedule at the end of the quarter, in a bearish oil market,) affected by the effects of accounting for production not lifted.

Exploration & Production cash flow from operations excluding working capital (CFFO) was $5,777 million, up 27% in the quarter, for the same reasons.

4.2 Integrated LNG

4.2.1 Production

 
                  2Q26             Hydrocarbon                            1H26 
                   vs              production for                          vs 
2Q26     1Q26     1Q26    2Q25     LNG                  1H26     1H25     1H25 
-----    -----    ----    -----    -----------------    -----    -----    ---- 
                                   Integrated LNG 
 550      605     -9%      547     (kboe/d)              578      565     +2% 
                                       Liquids 
 68       73      -8%      69          (kb/d)            70       71      -1% 
2,662    2,936    -9%     2,628        Gas (Mcf/d)      2,798    2,717    +3% 
-----    -----    ----    -----    -----------------    -----    -----    ---- 
 
                  2Q26                                                    1H26 
                   vs              Liquefied Natural                       vs 
2Q26     1Q26     1Q26    2Q25     Gas in Mt            1H26     1H25     1H25 
-----    -----    ----    -----    -----------------    -----    -----    ---- 
10.7     12.4     -13%    10.6     Overall LNG sales    23.1     21.2     +9% 
                                       incl. Sales 
                                       from equity 
 3.9      4.1     -6%      3.9         production*       8.0      7.9     +1% 
                                       incl. Sales 
                                       by 
                                       TotalEnergies 
                                       from equity 
                                       production 
                                       and third 
                                       party 
 9.8     10.9     -10%     9.4         purchases        20.7     18.8     +10% 
-----    -----    ----    -----    -----------------    -----    -----    ---- 
* The Company's equity production may be sold by TotalEnergies or by the joint 
ventures. 
 

Hydrocarbon production for LNG decreased by 9% quarter-to-quarter, mainly due to shut-in production in Qatar related to the Middle East conflict.

4.2.2 Results

 
                    2Q26                                                 1H26 
                     vs              In millions of                        vs 
2Q26      1Q26      1Q26    2Q25     dollars           1H26     1H25      1H25 
-----    -------    ----    -----    --------------    -----    -----    ----- 
                                     Average price 
                                     of LNG (6),(9) 
                                     ($/Mbtu) 
                                     Consolidated 
                                     subsidiaries 
                                     and equity 
10.20     8.48      +20%    9.10     affiliates        9.29     9.55      -3% 
 
                                     Adjusted net 
                                     operating 
 807      1,318     -39%    1,041    income            2,125    2,335     -9% 
                                         including 
                                         adjusted 
                                         income 
                                         from 
                                         equity 
 705       431      +64%     513         affiliates    1,136    1,048     +8% 
 
                                     Organic 
                                     investments 
 908       410      x2.2     743     (1)               1,318    1,495    -12% 
                                     Acquisitions 
                                     net of assets 
  4        92       -96%     110     sales (1)          96       250     -62% 
                                     Net 
                                     investments 
 912       502      +82%     853     (1)               1,414    1,745    -19% 
 
                                     Cash flow from 
                                     operations 
                                     excluding 
                                     working 
                                     capital (CFFO) 
 833      1,785     -53%    1,159    (1)               2,618    2,408     +9% 
                                     Cash flow from 
                                     operating 
2,137    (1,120)     ns      539     activities        1,017    2,282    -55% 
-----    -------    ----    -----    --------------    -----    -----    ----- 
* Sales in $ / Sales in volume for consolidated and equity affiliates. Does 
not include LNG trading activities. 
 

Adjusted net operating income and cash flow from operations excluding working capital (CFFO) for the Integrated LNG segment were $807 million and $833 million, respectively, significantly lower quarter-on-quarter, impacted by the underperformance of gas trading activities in an overall flat, and even bearish, European market, whereas the segment outperformed in the first quarter.

4.3 Integrated Power

4.3.1 Productions, capacities, clients and sales

 
                  2Q26                                                   1H26 
                    vs              Integrated                             vs 
2Q26     1Q26      1Q26    2Q25     Power              1H26     1H25      1H25 
-----    -----    -----    -----    ---------------    -----    -----    ----- 
                                    Net power 
                                    production 
14.8     11.7     +26%     11.6     (TWh) *            26.4     22.9     +16% 
                                        o/w 
                                        production 
                                        from 
 9.6      8.2     +18%      8.4         renewables     17.8     15.2     +17% 
                                        o/w 
                                        production 
                                        from gas 
                                        flexible 
 5.2      3.5     +47%      3.2         capacities      8.7      7.7     +12% 
                                    Portfolio of 
                                    power 
                                    generation net 
                                    installed 
                                    capacity (GW) 
33.4     26.8     +24%     24.0     **                 33.4     24.0     +39% 
                                        o/w 
21.1     19.8      +7%     17.4         renewables     21.1     17.4     +21% 
                                        o/w gas 
                                        flexible 
12.2      7.0     +74%      6.5         capacities     12.2      6.5     +88% 
                                    Portfolio of 
                                    renewable power 
                                    generation 
                                    gross capacity 
105.8    109.7     -4%     104.1    (GW) **,***        105.8    104.1     +2% 
                                        o/w 
                                        installed 
37.4     35.6      +5%     30.2         capacity       37.4     30.2     +24% 
                                    Clients power - 
                                    BtB and BtC 
 6.1      6.1       -       6.0     (Million) **        6.1      6.0      +2% 
                                    Clients gas - 
                                    BtB and BtC 
 2.7      2.7       -       2.7     (Million) **        2.7      2.7      -2% 
                                    Sales power - 
                                    BtB and BtC 
11.6     15.2     -23%     10.5     (TWh)              26.8     25.0      +7% 
                                    Sales gas - BtB 
14.5     31.5     -54%     14.9     and BtC (TWh)      46.0     50.6      -9% 
-----    -----    -----    -----    ---------------    -----    -----    ----- 
* Solar, wind, hydroelectric and gas flexible capacities. 
** End of period data. 
*** Includes 17.25% of Adani Green Energy Ltd's gross capacity, 50% of 
Clearway Energy Group's gross capacity and 49% of Casa dos Ventos' gross 
capacity. 
 

Net electricity production was 14.8 TWh, up 28% year-on-year, driven by an increase of nearly 15% in generation from renewable sources, reflecting growth in installed capacity, and by a 2 TWh increase in production from flexible gas-fired capacity resulting notably from the completion of the transaction with EPH.

Gross installed renewable electricity generation capacity reached 37.4 GW at the end of the second quarter of 2026, representing nearly 8 GW of additional capacity year-on-year.

4.3.2 Results

 
                  2Q26                                                   1H26 
                    vs              In millions of                         vs 
2Q26     1Q26      1Q26    2Q25     dollars            1H26     1H25      1H25 
-----    -----    -----    -----    ---------------    -----    -----    ----- 
                                    Adjusted net 
                                    operating 
 533      545      -2%      574     income             1,078    1,080      - 
                                        including 
                                        adjusted 
                                        income from 
                                        equity 
 168      52      x3.2      22          affiliates      220      66      x3.3 
 
                                    Organic 
                                    investments 
 920      823     +12%      421     (1)                1,743    1,066    +63% 
                                    Acquisitions 
                                    net of assets 
(749)    (77)      ns      1,568    sales (1)          (826)    1,806     ns 
                                    Net investments 
 171      746     -77%     1,989    (1)                 917     2,872    -68% 
 
                                    Cash flow from 
                                    operations 
                                    excluding 
                                    working capital 
 721      574     +26%      562     (CFFO) (1)         1,295    1,159    +12% 
                                    Cash flow from 
                                    operating 
(239)    (145)     ns       799     activities         (384)     400      ns 
-----    -----    -----    -----    ---------------    -----    -----    ----- 
 

Integrated Power segment adjusted net operating income was $533 million in the quarter, in line with the first quarter of 2026.

Integrated Power segment cash flow from operations excluding working capital (CFFO) amounted to $721 million, supported by the contribution, in line with expectations, of EPH assets since the closing of the transaction on April 29, 2026. It breaks down between production activities, including renewables and gas-fired power plants, for around 60%, and marketing activities, including B2B, B2C and trading, for around 40%.

4.4 Downstream (Refining & Chemicals and Marketing & Services)

4.4.1 Results

 
                  2Q26                                                   1H26 
                    vs              In millions of                         vs 
2Q26     1Q26      1Q26    2Q25     dollars            1H26     1H25      1H25 
-----    -----    -----    -----    ---------------    -----    -----    ----- 
                                    Adjusted net 
                                    operating 
2,300    1,861    +24%      801     income             4,161    1,342    x3.1 
 
                                    Organic 
                                    investments 
 540      654     -17%      532     (1)                1,194     918     +30% 
                                    Acquisitions 
                                    net of assets 
(156)     39       ns      (27)     sales (1)          (117)    (102)     ns 
                                    Net investments 
 384      693     -45%      505     (1)                1,077     816     +32% 
 
                                    Cash flow from 
                                    operations 
                                    excluding 
                                    working capital 
2,877    2,136    +35%     1,483    (CFFO) (1)         5,013    2,600    +93% 
                                    Cash flow from 
                                    operating 
4,114    2,632    +56%     1,515    activities         6,746     100     x67.5 
-----    -----    -----    -----    ---------------    -----    -----    ----- 
 

4.5 Refining & Chemicals

4.5.1 Refinery and petrochemicals throughput and utilization rates

 
                                    Refinery 
                  2Q26              throughput and                       1H26 
                    vs              utilization                            vs 
2Q26     1Q26      1Q26    2Q25     rate*              1H26     1H25      1H25 
-----    -----    -----    -----    ---------------    -----    -----    ----- 
                                    Total refinery 
                                    throughput 
1,426    1,624    -12%     1,589    (kb/d)             1,524    1,569     -3% 
 354      462     -23%      463         France          408      449      -9% 
                                        Rest of 
 684      677      +1%      632         Europe          680      629      +8% 
                                        Rest of 
 389      485     -20%      494         world           436      491     -11% 
                                    Utilization 
                                    rate based on 
 80%      92%               90%     crude only**        86%      89%       - 
-----    -----    -----    -----    ---------------    -----    -----    ----- 
* Based on distillation capacity at the beginning of the year 
 
 
                                    Petrochemicals 
                  2Q26              production and                       1H26 
                    vs              utilization                            vs 
2Q26     1Q26      1Q26    2Q25     rate               1H26     1H25      1H25 
-----    -----    -----    -----    ---------------    -----    -----    ----- 
1,100    1,183     -7%     1,164    Monomers* (kt)     2,283    2,414     -5% 
1,165    1,159      -      1,127    Polymers (kt)      2,324    2,300     +1% 
                                    Steam cracker 
                                    utilization 
 71%      74%               74%     rate**              73%      76%       - 
-----    -----    -----    -----    ---------------    -----    -----    ----- 
* Olefins. 
** Based on olefins production from steam crackers and their treatment 
capacity at the start of the year. 
 

Refinery throughput was down 12% quarter-on-quarter, notably due to the deliberate decision to maximize distillates production given the higher margins. It was also impacted by the planned shutdown at Donges in France, the events in early April that affected the SATORP refinery in Saudi Arabia which has reached 70% of its nominal capacity since beginning of May and an unplanned shutdown in June of Port Arthur refinery in the United States caused by a tropical storm.

4.5.2 Results

 
                  2Q26                                                   1H26 
                    vs             In millions of                          vs 
2Q26     1Q26      1Q26    2Q25    dollars           1H26      1H25       1H25 
-----    -----    -----    ----    --------------    -----    -------    ----- 
                                   European 
                                   Refining 
                                   Margin Marker 
13.5     11.4     +19%     4.7     (ERM) ($/b) *     12.4       4.3      x2.9 
 
                                   Adjusted net 
                                   operating 
1,800    1,599    +13%     389     income            3,399      690      x4.9 
 
                                   Organic 
                                   investments 
 366      518     -29%     333     (1)                884       569      +55% 
                                   Acquisitions 
                                   net of assets 
 (1)      75       ns      (24)    sales (1)          74       (24)       ns 
                                   Net 
                                   investments 
 365      593     -38%     309     (1)                958       545      +76% 
 
                                   Cash flow from 
                                   operations 
                                   excluding 
                                   working 
                                   capital (CFFO) 
2,030    1,716    +18%     772     (1)               3,746     1,405     x2.7 
                                   Cash flow from 
                                   operating 
3,565    1,564    x2.3     887     activities        5,129    (1,096)     ns 
-----    -----    -----    ----    --------------    -----    -------    ----- 
* This market indicator for European refining, calculated based on public 
market prices ($/b), uses a basket of crudes, petroleum product yields and 
variable costs representative of the European refining system of 
TotalEnergies. Does not include oil trading activities. 
 

Refining and Chemicals adjusted net operating income was $1,800 million for the quarter, demonstrating the segment's ability to capture higher refining and petrochemical margins, in a context where oil trading results were at the same strong level as the first quarter.

Cash flow from operations excluding working capital (CFFO) was $2,030 million, for the same reasons.

4.6 Marketing & Services

4.6.1 Petroleum product sales

 
                  2Q26                                                   1H26 
                    vs                                                     vs 
2Q26     1Q26      1Q26    2Q25     Sales in kb/d*     1H26     1H25      1H25 
-----    -----    -----    -----    ---------------    -----    -----    ----- 
                                    Total Marketing 
                                    & Services 
1,213    1,206     +1%     1,324    sales              1,210    1,295     -7% 
 732      686      +7%      790         Europe          709      753      -6% 
                                        Rest of 
 481      520      -8%      534         world           501      543      -8% 
-----    -----    -----    -----    ---------------    -----    -----    ----- 
* Excludes trading and bulk refining sales. 
 

Sales of petroleum products were down 8% compared to the second quarter of 2025, reflecting in particular the sale of the retail network in Burkina Faso in West Africa, and a drop in demand related to higher prices.

4.6.2 Results

 
                  2Q26                                                   1H26 
                    vs             In millions of                          vs 
2Q26     1Q26      1Q26    2Q25    dollars             1H26     1H25      1H25 
-----    -----    -----    ----    ----------------    -----    -----    ----- 
                                   Adjusted net 
                                   operating 
 500      262     +91%     412     income               762      652     +17% 
 
                                   Organic 
 174      136     +28%     199     investments (1)      310      349     -11% 
                                   Acquisitions net 
                                   of assets sales 
(155)    (36)      ns      (3)     (1)                 (191)    (78)      ns 
                                   Net investments 
 19       100     -81%     196     (1)                  119      271     -56% 
 
                                   Cash flow from 
                                   operations 
                                   excluding 
                                   working capital 
 847      420      x2      711     (CFFO) (1)          1,267    1,195     +6% 
                                   Cash flow from 
                                   operating 
 549     1,068    -49%     628     activities          1,617    1,196    +35% 
-----    -----    -----    ----    ----------------    -----    -----    ----- 
 

Marketing & Services segment adjusted net operating income was $500 million in the quarter, driven by the positive impact of the seasonality in Europe, and up 21% year-on-year reflecting higher unit margins.

Cash flow from operations excluding working capital (CFFO) amounted to $847 million in the second quarter of 2026, up 19% year-on-year for the same reasons.

5. TotalEnergies results

5.1 Adjusted net operating income from business segments

Segment adjusted net operating income was $6,871 million in the second quarter of 2026, compared to $6,300 million in the first quarter of 2026, mainly due to higher oil prices and refining and petrochemical margins as well as significant performance of crude oil and petroleum products trading activities.

5.2 Adjusted net income (1) (TotalEnergies share)

Adjusted net income (TotalEnergies share) was $6,027 million in the second quarter of 2026, compared with $5,394 million in the first quarter.

Adjusted net income excludes the after-tax inventory effect, non-recurring items, and effects of changes in fair-value.

Adjusting items to net income totaled -$0.6 billion in the second quarter, consisting mainly of -$0.4 billion in changes in inventories and fair value effects and restructuring charges.

TotalEnergies' average tax rate was 39.3% in the second quarter versus 39.1% in the first quarter of 2026.

5.3 Adjusted earnings per share

Adjusted diluted net earnings per share were as follows:

   --  $2.68 in the second quarter of 2026, based on a diluted weighted 
      average number of shares of 2,216 million, compared with $2.45 in the 
      first quarter of 2026, 
 
   --  $5.14 in the first half of 2026, based on diluted weighted average 
      number of shares of 2,187 million, compared with $3.41 a year ago. 

As of June 30, 2026, the number of diluted shares was 2,245 million.

TotalEnergies repurchased* the following:

   --  16.9 million shares in the second quarter of 2026, for an amount of 
      $1.5 billion, 
 
   --  26.3 million shares in the first half of 2026, for an amount of $2.25 
      billion. 

5.4 Acquisitions -- asset sales

Acquisitions amounted to $141 million in the second quarter of 2026, primarily related to the redetermination of ownership interests in the Johan Sverdrup field in Norway.

Divestments amounted to $1,388 million in the second quarter of 2026, mainly reflecting the disposal of the non-operated interest in the Marjoram gas field in Malaysia, the farm-down transactions on battery storage projects in Germany and the divestment of non-core activities in Gas Renewables and Power and Marketing & Services.

5.5 Net cash flow (1)

TotalEnergies' net cash flow was $6,357 million in the second quarter of 2026, compared to $4,098 million in the previous quarter, considering the $1,228 million increase in cash flow from operations excluding working capital (CFFO), combined with a $1,031 million reduction in net investments over the quarter.

Cash flow from operating activities was $10,858 million in the second quarter of 2026, for a cash flow from operations excluding working capital (CFFO) of $9,804 million, taking into account the $1.2 billion decrease in working capital, mainly reflecting the impact of the decrease in hydrocarbon prices at the end of the quarter, particularly on inventories.

5.6 Profitability

Return on equity was 15.9% for the twelve months ended June 30, 2026.

 
In millions of 
dollars               July 1, 2025   April 1, 2025   July 1, 2024 
------------------- 
                      June 30, 2026  March 31, 2026  June 30, 2025 
-------------------   -------------  --------------  ------------- 
Adjusted net income 
 (1)                     19,477          17,043         16,535 
Average adjusted 
 shareholders' 
 equity                  122,739        118,641         117,441 
Return on equity 
 $(ROE)$                    15.9%          14.4%           14.1% 
--------------------  -------------  --------------  ------------- 
 

Return on average capital employed (1) was 13.9% for the twelve months ended June 30, 2026.

 
In millions of 
dollars               July 1, 2025   April 1, 2025   July 1, 2024 
------------------- 
                      June 30, 2026  March 31, 2026  June 30, 2025 
-------------------   -------------  --------------  ------------- 
Adjusted net 
 operating income 
 (1)                     21,608          19,158         18,184 
Average capital 
 employed (1)            155,138        151,105         146,456 
ROACE (1)                 13.9%          12.7%           12.4% 
--------------------  -------------  --------------  ------------- 
 

6. TotalEnergies SE statutory accounts

Net income for TotalEnergies SE, the parent company, was EUR3,618 million in the second quarter of 2026 compared to EUR2,684 million in the first quarter of 2026.

7. Annual 2026 Sensitivities (16)

 
                                      Estimated impact 
                                      on adjusted net   Estimated impact 
                                         operating        on cash flow 
                         Change            income       from operations 
-----------------   ----------------  ----------------  ---------------- 
                     +/- 0.1 $ per 
Dollar                    EUR            -/+ 0.1 B$          0 B$ 
Average liquids 
 price (17)            +/- 10 $/b        +/- 2.3 B$        +/- 2.8 B$ 
European gas price 
 - TTF                +/- 2 $/Mbtu       +/- 0.4 B$        +/- 0.4 B$ 
European Refining 
 Margin Marker 
 (ERM)                 +/- 1 $/b         +/- 0.3 B$        +/- 0.4 B$ 
------------------  ----------------  ----------------  ---------------- 
 

8. Outlook

Oil prices navigate above $80/b at the start of the third quarter, in very volatile markets reacting to the evolution of the security situation in the Strait of Hormuz.

Global refining margins are at historically high levels in an unprecedented context combining unavailability of Russian refining capacity, the disruption of the supply from the Middle East to Asian refineries and global inventories at historical lows.

European gas prices on the forward markets are around $16-20/Mbtu in the third quarter, in a context where inventories in Europe are low and need to recover before the winter season. Continuing tensions in the Middle East, their impact on LNG production in Qatar (close to 20% of world market) and competition between LNG demand in Europe and Asia should support prices in the coming months. Given the evolution of oil and gas prices in recent months and the lag effect on pricing formulas, TotalEnergies anticipates an average LNG selling price above $11.5/Mbtu in the third quarter of 2026.

Excluding the impact of the conflict in the Middle East, third-quarter production is expected to grow in line with the guidance of 3% annual growth compared to 2025. In the Middle East, the impact of the conflict is estimated between 5% and 10% of the Company's total production due to the ramp-up and gradual restart of production in the region. However, the situation remains very volatile, and the level of production land effective lifting remains conditional on the ability to export through the Strait of Hormuz.

The refinery utilization rate is expected to be between 80% and 85% in the third quarter, taking into account the SATORP capacity reduction in Saudi Arabia, which runs since early May at 70% of its nominal capacity, and should return to its nominal capacity at the end of the third quarter of 2026.

The Company confirms its planned investments for the year for a net amount of $15 billion over 2026, in line with the annual guidance.

To listen to the conference call with Chairman & CEO Patrick Pouyanné and CFO Jean-Pierre Sbraire today at 1:00 pm (Paris time), please log on to totalenergies.com or dial +33 (0) 1 70 91 87 04, +44 (0) 12 1281 8004 or +1 718 705 8796. The conference replay will be available on the Company's website totalenergies.com after the event.

* * * *

9. Operating information by segment

9.1 Company's production (Exploration & Production + Integrated LNG)

 
                                    Combined 
                                    liquids and gas 
                  2Q26              production by                        1H25 
                    vs              region                                 vs 
2Q26     1Q26      1Q26    2Q25     (kboe/d)           1H25     1H24      1H24 
-----    -----    -----    -----    ---------------    -----    -----    ----- 
 517      570      -9%      522     Europe              544      547      -1% 
 414      431      -4%      424     Africa              423      424       - 
                                    Middle East and 
 671      777     -14%      850     North Africa        723      849     -15% 
 513      487      +5%      436     Americas            500      430     +16% 
 280      288      -3%      271     Asia-Pacific        284      281      +1% 
-----    -----    -----    -----    ---------------    -----    -----    ----- 
                                    Total 
2,395    2,553     -6%     2,503    production         2,474    2,531     -2% 
                                        includes 
                                        equity 
 375      356      +5%      374         affiliates      365      382      -4% 
-----    -----    -----    -----    ---------------    -----    -----    ----- 
 
                  2Q26              Liquids                              1H26 
                    vs              production by                          vs 
2Q26     1Q26      1Q26    2Q25     region (kb/d)      1H26     1H25      1H25 
-----    -----    -----    -----    ---------------    -----    -----    ----- 
 202      209      -3%      203     Europe              205      209      -2% 
 286      299      -4%      309     Africa              292      310      -6% 
                                    Middle East and 
 537      615     -13%      673     North Africa        576      677     -15% 
 283      259      +9%      217     Americas            271      210     +29% 
 102      99       +3%      104     Asia-Pacific        101      105      -4% 
-----    -----    -----    -----    ---------------    -----    -----    ----- 
                                    Total 
1,410    1,481     -5%     1,506    production         1,445    1,511     -4% 
                                        includes 
                                        equity 
 120      131      -8%      158         affiliates      126      161     -22% 
-----    -----    -----    -----    ---------------    -----    -----    ----- 
 
                  2Q26              Gas production                       1H26 
                    vs              by region                              vs 
2Q26     1Q26      1Q26    2Q25     (Mcf/d)            1H26     1H25      1H25 
-----    -----    -----    -----    ---------------    -----    -----    ----- 
1,693    1,944    -13%     1,720    Europe             1,818    1,819      - 
 656      670      -2%      579     Africa              663      573     +16% 
                                    Middle East and 
 736      884     -17%      973     North Africa        810      947     -14% 
1,275    1,263     +1%     1,214    Americas           1,268    1,225     +4% 
 970     1,038     -7%      909     Asia-Pacific       1,004     960      +5% 
-----    -----    -----    -----    ---------------    -----    -----    ----- 
                                    Total 
5,330    5,799     -8%     5,395    production         5,563    5,524     +1% 
                                        includes 
                                        equity 
1,374    1,222    +12%     1,173        affiliates     1,298    1,205     +8% 
-----    -----    -----    -----    ---------------    -----    -----    ----- 
 

9.2 Downstream (Refining & Chemicals and Marketing & Services)

 
                                    Petroleum 
                  2Q26              product sales                        1H26 
                    vs              by region                              vs 
2Q26     1Q26      1Q26    2Q25     (kb/d)             1H26     1H25      1H25 
-----    -----    -----    -----    ---------------    -----    -----    ----- 
1,704    1,766     -3%     1,904    Europe             1,739    1,790     -3% 
 445      531     -16%      616     Africa              489      617     -21% 
1,141    1,134     +1%     1,057    Americas           1,143    1,065     +7% 
 721      986     -27%      856     Rest of world       857      901      -5% 
-----    -----    -----    -----    ---------------    -----    -----    ----- 
                                    Total 
                                    consolidated 
4,011    4,416     -9%     4,432    sales              4,228    4,373     -3% 
                                        Includes 
 343      361      -5%      379         bulk sales      352      362      -3% 
                                        Includes 
2,455    2,849    -14%     2,729        trading        2,666    2,716     -2% 
-----    -----    -----    -----    ---------------    -----    -----    ----- 
 
                  2Q26              Petrochemicals                       1H26 
                    vs              production*                            vs 
2Q26     1Q26      1Q26    2Q25     (kt)               1H26     1H25      1H25 
-----    -----    -----    -----    ---------------    -----    -----    ----- 
1,030     989      +4%      832     Europe             2,019    1,816    +11% 
 734      676      +9%      750     Americas           1,410    1,444     -2% 
                                    Middle East and 
 501      677     -26%      709     Asia               1,178    1,454    -19% 
-----    -----    -----    -----    ---------------    -----    -----    ----- 
* Olefins, polymers. 
 

9.3 Integrated Power

9.3.1 Net power production

 
                                  2Q26                                          1Q26 
              --------------------------------------------  -------------------------------------------- 
Net power 
production           Onshore  Offshore                             Onshore  Offshore 
(TWh)         Solar   Wind      Wind    Gas  Others  Total  Solar   Wind      Wind    Gas  Others  Total 
-----------   -----  -------  --------  ---  ------  -----  -----  -------  --------  ---  ------  ----- 
France         0.3     0.2      0.0     0.6   0.0     1.2    0.2     0.4       -      1.2   0.0     1.7 
Rest of 
 Europe        0.2     0.4      0.2     2.7   0.4     3.9    0.1     0.6      0.4     1.5   0.1     2.6 
Africa         0.0      -        -       -    0.1     0.1    0.0      -        -       -    0.1     0.2 
Middle East    0.4      -        -      0.3    -      0.7    0.2      -        -      0.2    -      0.4 
North 
 America       1.3     0.6       -      1.4    -      3.4    0.9     0.6       -      0.7    -      2.2 
South 
 America       0.1     1.0       -       -     -      1.1    0.2     0.9       -       -     -      1.0 
India          3.1     0.7       -       -     -      3.8    2.8     0.3       -       -     -      3.1 
Pacific Asia   0.4     0.0      0.1      -     -      0.5    0.3     0.0      0.2      -     -      0.5 
------------  -----  -------  --------  ---  ------  -----  -----  -------  --------  ---  ------  ----- 
Total          5.9     2.9      0.3     5.2   0.5    14.8    4.7     2.7      0.6     3.5   0.2    11.7 
------------  -----  -------  --------  ---  ------  -----  -----  -------  --------  ---  ------  ----- 
 

9.3.2 Installed power generation net capacity

 
                                  2Q26                                           1Q26 
              ---------------------------------------------  -------------------------------------------- 
Installed 
power 
generation 
net 
capacity             Onshore  Offshore                              Onshore  Offshore 
(GW) (18)     Solar   Wind      Wind    Gas   Others  Total  Solar   Wind      Wind    Gas  Others  Total 
-----------   -----  -------  --------  ----  ------  -----  -----  -------  --------  ---  ------  ----- 
France         0.8     0.6      0.0     2.7    0.2     4.3    0.8     0.6       -      2.7   0.2     4.2 
Rest of 
 Europe        0.8     1.1      0.3     7.3    0.4     9.8    0.6     1.0      0.3     2.1   0.1     4.1 
Africa         0.1      -        -       -     0.1     0.2    0.1      -        -       -    0.1     0.2 
Middle East    0.6      -        -      0.3     -      1.0    0.7      -        -      0.3    -      1.0 
North 
 America       3.1     0.9       -      2.0    0.5     6.5    3.1     0.9       -      2.0   0.5     6.5 
South 
 America       0.9     1.2       -       -      -      2.1    0.5     1.2       -       -     -      1.7 
India          7.2     0.7       -       -     0.3     8.1    7.0     0.6       -       -    0.1     7.7 
Pacific Asia   1.2     0.0      0.2      -      -      1.4    1.2     0.0      0.2      -     -      1.4 
------------  -----  -------  --------  ----  ------  -----  -----  -------  --------  ---  ------  ----- 
Total         14.8     4.4      0.5     12.2   1.5    33.4   14.0     4.3      0.5     7.0   1.1    26.8 
------------  -----  -------  --------  ----  ------  -----  -----  -------  --------  ---  ------  ----- 
 

9.3.3 Power generation gross capacity from renewables

 
                                 2Q26                                    1Q26 
                --------------------------------------  -------------------------------------- 
Installed 
power 
generation 
gross 
capacity from 
renewables 
(GW)                   Onshore  Offshore                       Onshore  Offshore 
(19),(20)       Solar   Wind      Wind    Other  Total  Solar   Wind      Wind    Other  Total 
-------------   -----  -------  --------  -----  -----  -----  -------  --------  -----  ----- 
France           1.4     0.9      0.0      0.2    2.5    1.3     0.9      0.0      0.2    2.4 
Rest of Europe   0.9     1.8      1.1      0.5    4.4    0.7     1.7      1.1      0.3    3.8 
Africa           0.4     0.0      0.0      0.4    0.7    0.3     0.0      0.0      0.4    0.7 
Middle East      1.6     0.0      0.0      0.0    1.6    1.6     0.0      0.0      0.0    1.6 
North America    7.8     2.3      0.0      1.2   11.3    7.8     2.3      0.0      1.2   11.3 
South America    1.2     1.9      0.0      0.0    3.0    0.6     1.8      0.0      0.0    2.4 
India           10.3     0.7      0.0      0.3   11.2   10.1     0.7      0.0      0.1   10.8 
Asia-Pacific     1.9     0.0      0.6      0.0    2.6    1.9     0.0      0.6      0.0    2.5 
--------------  -----  -------  --------  -----  -----  -----  -------  --------  -----  ----- 
Total           25.4     7.6      1.8      2.5   37.4   24.3     7.4      1.8      2.1   35.6 
--------------  -----  -------  --------  -----  -----  -----  -------  --------  -----  ----- 
 
                                 2Q26                                    1Q26 
                --------------------------------------  -------------------------------------- 
Power 
generation 
gross 
capacity from 
renewables in 
construction 
(GW)                   Onshore  Offshore                       Onshore  Offshore 
(19),(20)       Solar   Wind      Wind    Other  Total  Solar   Wind      Wind    Other  Total 
-------------   -----  -------  --------  -----  -----  -----  -------  --------  -----  ----- 
France           0.1     0.1      0.0      0.0    0.3    0.1     0.1      0.0      0.0    0.3 
Rest of Europe   0.7     0.1      0.8      0.7    2.3    0.9     0.1      0.8      0.4    2.1 
Africa           0.2     0.2      0.0      0.0    0.3    0.2     0.2      0.0      0.0    0.4 
Middle East      1.3     0.2      0.0      0.0    1.5    1.4     0.2      0.0      0.0    1.7 
North America    1.8     0.4      0.0      0.3    2.5    0.8     0.1      0.0      0.3    1.2 
South America    0.7     0.8      0.0      0.3    1.7    1.1     0.3      0.0      0.3    1.7 
India            0.3     0.0      0.0      0.0    0.3    0.3     0.0      0.0      0.0    0.3 
Asia-Pacific     0.5     0.0      0.0      0.0    0.5    0.1     0.0      0.0      0.0    0.1 
--------------  -----  -------  --------  -----  -----  -----  -------  --------  -----  ----- 
Total            5.6     1.8      0.8      1.3    9.6    4.9     1.0      0.8      1.0    7.7 
--------------  -----  -------  --------  -----  -----  -----  -------  --------  -----  ----- 
 
                                 2Q26                                    1Q26 
                --------------------------------------  -------------------------------------- 
Power 
generation 
gross 
capacity from 
renewables in 
development 
(GW)                   Onshore  Offshore                       Onshore  Offshore 
(19),(20)       Solar   Wind      Wind    Other  Total  Solar   Wind      Wind    Other  Total 
-------------   -----  -------  --------  -----  -----  -----  -------  --------  -----  ----- 
France           0.9     0.5      1.5      0.0    2.8    0.8     0.5      1.5      0.0    2.8 
Rest of Europe   3.7     1.9      14.3     4.3   24.3    5.2     2.0      14.3     4.2   25.7 
Africa           1.1     0.5      0.0      0.0    1.6    1.1     0.5      0.0      0.0    1.6 
Middle East      0.8     0.0      0.0      0.0    0.8    1.2     0.0      0.0      0.0    1.2 
North America   10.8     3.1      0.0      4.9   18.8   10.8     3.7      4.1      5.0   23.6 
South America    0.7     1.0      0.0      0.0    1.8    0.7     1.7      0.0      0.0    2.5 
India            1.4     0.0      0.0      0.0    1.4    1.5     0.0      0.0      0.0    1.5 
Asia-Pacific     2.6     1.1      2.6      1.1    7.3    2.7     1.1      2.6      1.1    7.5 
--------------  -----  -------  --------  -----  -----  -----  -------  --------  -----  ----- 
Total           21.9     8.1      18.4    10.4   58.8   23.9     9.6      22.5    10.3   66.4 
--------------  -----  -------  --------  -----  -----  -----  -------  --------  -----  ----- 
 

10. Alternative Performance Measures (Non-GAAP measures)

10.1 Adjustment items to net income (TotalEnergies share)

 
2Q26      1Q26      2Q25     In millions of dollars          1H26       1H25 
-----    -------    -----    ---------------------------    -------    ------- 
                             Net income (TotalEnergies 
5,438     5,810     2,687    share)                         11,248      6,538 
-----    -------    -----    ---------------------------    -------    ------- 
                             Special items affecting net 
                             income (TotalEnergies 
(268)    (1,031)    (340)    share)                         (1,299)     (448) 
                                 Gain (loss) on asset 
(17)       252        -          sales                        235         - 
(30)      (22)        -          Restructuring charges       (52)         - 
  -      (1,148)    (209)        Impairments                (1,148)     (209) 
(221)     (113)     (131)        Other                       (334)      (239) 
                             After-tax inventory effect 
                             : FIFO vs. replacement 
(290)     1,507     (268)    cost                            1,217      (346) 
                             Effect of changes in fair 
(31)      (60)      (283)    value                           (91)       (438) 
                             Total adjustments affecting 
(589)      416      (891)    net income                      (173)     (1,232) 
-----    -------    -----    ---------------------------    -------    ------- 
6,027     5,394     3,578    Adjusted net income            11,421      7,770 
                             (TotalEnergies share) 
-----    -------    -----    ---------------------------    -------    ------- 
 

10.2 Reconciliation of adjusted EBITDA with consolidated financial statements

10.2.1 Reconciliation of net income (TotalEnergies share) to adjusted EBITDA

 
                    2Q26                                                        1H26 
                     vs              In millions of                              vs 
 2Q26      1Q26     1Q26    2Q25     dollars                 1H26      1H25     1H25 
------    ------    ----    -----    -------------------    ------    ------    ---- 
                                     Net income 
                                     (TotalEnergies 
5,438     5,810     -6%     2,687    share)                 11,248    6,538     +72% 
                                     Less: adjustment 
                                     items to net income 
                                     (TotalEnergies 
 589      (416)      ns      891     share)                  173      1,232     -86% 
                                     Adjusted net income 
                                     (TotalEnergies 
6,027     5,394     +12%    3,578    share)                 11,421    7,770     +47% 
                                     Adjusted items 
                                         Add: 
                                         non-controlling 
  45        78      -42%     60          interests           123       130      -5% 
                                         Add: income 
3,365     3,324     +1%     2,328        taxes              6,689     5,033     +33% 
                                         Add: 
                                         depreciation, 
                                         depletion and 
                                         impairment of 
                                         tangible assets 
                                         and mineral 
3,075     3,097     -1%     3,106        interests          6,172     6,104     +1% 
                                         Add: 
                                         amortization 
                                         and impairment 
                                         of intangible 
  95        90      +6%      96          assets              185       179      +3% 
                                         Add: financial 
                                         interest on 
 817       791      +3%      816         debt               1,608     1,541     +4% 
                                         Less: financial 
                                         income and 
                                         expense from 
                                         cash & cash 
(245)     (222)      ns     (294)        equivalents        (467)     (563)      ns 
13,179    12,552    +5%     9,690    Adjusted EBITDA        25,731    20,194    +27% 
------    ------    ----    -----    -------------------    ------    ------    ---- 
 

10.2.2 Reconciliation of revenues from sales to adjusted EBITDA and net income (TotalEnergies share)

 
                        2Q26                                                               1H26 
                         vs                 In millions of                                  vs 
  2Q26        1Q26      1Q26      2Q25      dollars                  1H26        1H25      1H25 
--------    --------    ----    --------    -------------------    --------    --------    ---- 
                                            Adjusted items 
 57,334      49,516     +16%     44,676     Revenues from sales    106,850      92,575     +15% 
                                            Purchases, net of 
                                            inventory 
(37,734)    (29,119)     ns     (28,533)    variation              (66,853)    (59,096)     ns 
                                            Other operating 
(7,954)     (8,563)      ns     (7,588)     expenses               (16,517)    (15,130)     ns 
  (95)       (133)       ns       (97)      Exploration costs       (228)       (178)       ns 
  338         185       +83%      544       Other income             523         791       -34% 
                                            Other expense, 
                                            excluding 
                                            amortization and 
                                            impairment of 
 (164)       (114)       ns      (233)      intangible assets       (278)       (449)       ns 
                                            Other financial 
  482         294       +64%      422       income                   776         716       +8% 
                                            Other financial 
 (184)       (223)       ns      (203)      expense                 (407)       (452)       ns 
                                            Net income (loss) 
                                            from equity 
 1,156        709       +63%      702       affiliates              1,865       1,417      +32% 
 13,179      12,552     +5%      9,690      Adjusted EBITDA         25,731      20,194     +27% 
                                            Adjusted items 
                                                Less: 
                                                depreciation, 
                                                depletion and 
                                                impairment of 
                                                tangible assets 
                                                and mineral 
(3,075)     (3,097)      ns     (3,106)         interests          (6,172)     (6,104)      ns 
                                                Less: 
                                                amortization of 
                                                intangible 
  (95)        (90)       ns       (96)          assets              (185)       (179)       ns 
                                                Less: financial 
                                                interest on 
 (817)       (791)       ns      (816)          debt               (1,608)     (1,541)      ns 
                                                Add: financial 
                                                income and 
                                                expense from 
                                                cash & cash 
  245         222       +10%      294           equivalents          467         563       -17% 
                                                Less: income 
(3,365)     (3,324)      ns     (2,328)         taxes              (6,689)     (5,033)      ns 
                                                Less: 
                                                non-controlling 
  (45)        (78)       ns       (60)          interests           (123)       (130)       ns 
                                            Add: adjustment 
                                            (TotalEnergies 
 (589)        416        ns      (891)      share)                  (173)      (1,232)      ns 
                                            Net income 
                                            (TotalEnergies 
 5,438       5,810      -6%      2,687      share)                  11,248      6,538      +72% 
--------    --------    ----    --------    -------------------    --------    --------    ---- 
 

10.3 Investments -- Divestments

Reconciliation of Cash flow used in investing activities to Net investments

 
                    2Q26                                                             1H26 
                     vs                                                               vs 
 2Q26      1Q26     1Q26    2Q25     In millions of dollars      1H26       1H25     1H25 
-------    -----    ----    -----    -----------------------    -------    ------    ---- 
                                     Cash flow used in 
                                     investing activities ( 
 3,276     4,312    -24%    6,689    a )                         7,588     11,494    -34% 
                                     Other transactions with 
                                     non-controlling 
   -         -       ns       -      interests ( b )               -         -        ns 
                                     Organic loan repayment 
                                     from equity affiliates 
  57        49      +16%     54      ( c )                        106        60      +77% 
                                     Change in debt from 
                                     renewable projects 
  50        14      x3.6    (221)    financing ( d ) **           64       (221)      ns 
                                     Capex linked to 
                                     capitalized leasing 
  63        75      -16%     90      contracts ( e )              138       198      -30% 
                                     Expenditures related to 
   1        28      -96%     20      carbon credits ( f )         29         22      +32% 
                                     Net investments ( a + b 
                                     + c + d + e + f = g - i 
 3,447     4,478    -23%    6,632    + h )                       7,925     11,553    -31% 
                                     of which acquisitions 
                                     net of assets sales ( 
(1,247)    (172)     ns     1,813    g-i )                      (1,419)    2,233      ns 
  141       392     -64%    2,106        Acquisitions ( g )       533      2,942     -82% 
 1,388      564     x2.5     293         Asset sales ( i )       1,952      709      x2.8 
                                             Change in debt 
                                             (partner share) 
                                             and capital 
                                             gains from 
                                             renewable 
  68       (18)      ns      67              project sales        50         67      -25% 
                                     of which organic 
 4,694     4,650    +1%     4,819    investments ( h )           9,344     9,320      - 
                                         Capitalized 
  88        73      +20%     37          exploration              162       148      +9% 
                                         Increase in 
  452       301     +50%     425         non-current loans        753       993      -24% 
(1,017)    (276)     ns     (256)        Repayment of           (1,293)    (359)      ns 
                                         non-current loans, 
                                         excluding organic 
                                         loan repayment from 
                                         equity affiliates 
  118       (4)      ns     (154)        Change in debt from      114      (154)      ns 
                                         renewable projects 
                                         (TotalEnergies 
                                         share) 
-------    -----    ----    -----    -----------------------    -------    ------    ---- 
* Cash flows used in investing activities do not include increases in property, plant and 
equipment arising from Apache's carry arrangement on the GranMorgu project in offshore 
Block 58 in Suriname, which resulted in specific supplier financing recognised as 
financial debt. These increases amounted to $218 million in the first quarter of 2026, 
$153 million in the second quarter of 2026 and $371 million in the first half of 2026. 
Payments to these suppliers are classified as financing cash flows. 
** Change in debt from renewable projects (TotalEnergies share and partner share). 
 
 

10.4 Cash flow

Reconciliation of Cash flow from operating activities to Cash flow from operations excluding working capital (CFFO), to DACF and to Net cash flow

 
                     2Q26                                                     1H26 
                      vs              In millions of                           vs 
 2Q26      1Q26      1Q26    2Q25     dollars            1H26       1H25      1H25 
------    -------    ----    -----    --------------    -------    -------    ---- 
                                      Cash flow from 
                                      operating 
                                      activities ( a 
10,858     3,361     x3.2    5,960    )                 14,219      8,523     +67% 
                                          (Increase) 
                                          decrease 
                                          in working 
                                          capital ( 
1,667     (6,993)     ns     (246)        b ) *         (5,326)    (4,562)     ns 
                                          Inventory 
                                          effect ( c 
(506)      1,849      ns     (272)        )              1,343      (379)      ns 
                                          Capital 
                                          gain from 
                                          renewable 
                                          project 
                                          sales ( d 
  50        22       x2.3     86          )               72         86       -16% 
                                          Organic 
                                          loan 
                                          repayments 
                                          from 
                                          equity 
                                          affiliates 
  57        49       +16%     54          ( e )           106        60       +77% 
                                      Cash flow from 
                                      operations 
                                      excluding 
                                      working 
                                      capital (CFFO) 
                                      ( f = a - b - 
9,804      8,576     +14%    6,618    c + d + e )       18,380     13,610     +35% 
                                      Financial 
(384)      (403)      ns     (325)    charges            (787)      (610)      ns 
                                      Debt Adjusted 
                                      Cash Flow 
10,188     8,979     +13%    6,943    (DACF)            19,167     14,220     +35% 
 
                                      Organic 
                                      investments ( 
4,694      4,650     +1%     4,819    g )                9,344      9,320      - 
                                      Free cash flow 
                                      after organic 
                                      investments ( 
5,110      3,926     +30%    1,799    f - g )            9,036      4,290     x2.1 
 
                                      Net 
                                      investments ( 
3,447      4,478     -23%    6,632    h )                7,925     11,553     -31% 
                                      Net cash flow 
6,357      4,098     +55%    (14)     ( f - h )         10,455      2,057     x5.1 
------    -------    ----    -----    --------------    -------    -------    ---- 
* Changes in working capital are presented excluding the mark-to-market effect of 
Integrated LNG and Integrated Power segments' contracts. 
 

10.5 Gearing ratio

 
In millions of dollars                06/30/2026  03/31/2026  06/30/2025 
-----------------------------------   ----------  ----------  ---------- 
Current borrowings *                    11,229      10,596      12,570 
Other current financial liabilities      209         243         861 
Current financial assets * , **        (3,720)     (3,837)     (4,872) 
Net financial assets classified as 
 held for sale *                         114          3           41 
Non-current financial debt *            41,157      43,468      39,161 
Non-current financial assets *         (1,601)     (1,731)     (1,410) 
Cash and cash equivalents              (27,678)    (25,693)    (20,424) 
Net debt ( a )                          19,710      23,049      25,927 
 
Shareholders' equity (TotalEnergies 
 share)                                128,408     122,541     116,642 
Non-controlling interests               2,545       2,696       2,360 
Shareholders' equity (b)               130,953     125,237     119,002 
 
Gearing = a / ( a+b )                   13.1%       15.5%       17.9% 
 
Leases (c)                              8,904       8,491       8,907 
Gearing including leases ( a+c ) / ( 
 a+b+c )                                17.9%       20.1%       22.6% 
------------------------------------  ----------  ----------  ---------- 
* Excludes leases receivables and leases debts. 
** Including initial margins held as part of the Company's activities on 
organized markets. 
 

10.6 Return on average capital employed

 
Twelve 
months 
ended June 
30, 2026 
              Exploration                          Refining   Marketing 
In millions        &       Integrated  Integrated      &          & 
of dollars    Production      LNG        Power     Chemicals  Services   Company 
-----------   -----------  ----------  ----------  ---------  ---------  ------- 
Adjusted net 
 operating 
 income          9,781       3,899       2,213       5,087      1,483    21,608 
Capital 
 employed at 
 06/30/2025     67,042       44,300      27,033      8,827      7,325    152,732 
Capital 
 employed at 
 06/30/2026     68,125       47,755      30,870      6,066      5,907    157,544 
ROACE            14.5%        8.5%        7.6%       68.3%      22.4%     13.9% 
------------  -----------  ----------  ----------  ---------  ---------  ------- 
 

10.7 Pay-out

 
In millions of dollars                               1H26   1H25   2025 
--------------------------------------------------   -----  -----  ----- 
Dividend paid (parent company shareholders)          4,217  3,745  8,121 
Repayment of treasury shares excluding fees and 
 taxes                                               2,245  3,726  7,496 
 
Payout ratio                                          33%    54%    55% 
---------------------------------------------------  -----  -----  ----- 
 

GLOSSARY

Acquisitions net of assets sales is a non-GAAP financial measure and its most directly comparable IFRS measure is Cash flow used in investing activities. Acquisitions net of assets sales refer to acquisitions minus assets sales (including other operations with non-controlling interests). This indicator can be a valuable tool for decision makers, analysts and shareholders alike because it illustrates the allocation of cash flow used for growing the Company's asset base via external growth opportunities.

Adjusted EBITDA (Earnings Before Interest, Tax, Depreciation and Amortization) is a non-GAAP financial measure and its most directly comparable IFRS measure is Net Income. It refers to the adjusted earnings before depreciation, depletion and impairment of tangible and intangible assets and mineral interests, income tax expense and cost of net debt, i.e., all operating income and contribution of equity affiliates to net income. This indicator can be a valuable tool for decision makers, analysts and shareholders alike to measure and compare the Company's profitability with utility companies (energy sector).

Adjusted net income (TotalEnergies share) is a non-GAAP financial measure and its most directly comparable IFRS measure is Net Income (TotalEnergies share). Adjusted Net Income (TotalEnergies share) refers to Net Income (TotalEnergies share) less adjustment items to Net Income (TotalEnergies share). Adjustment items are inventory valuation effect, effect of changes in fair value, and special items. This indicator can be a valuable tool for decision makers, analysts and shareholders alike to evaluate the Company's operating results and to understand its operating trends by removing the impact of non-operational results and special items.

Adjusted net operating income is a non-GAAP financial measure and its most directly comparable IFRS measure is Net Income. Adjusted Net Operating Income refers to Net Income before net cost of net debt, i.e., cost of net debt net of its tax effects, less adjustment items. Adjustment items are inventory valuation effect, effect of changes in fair value, and special items. Adjusted Net Operating Income can be a valuable tool for decision makers, analysts and shareholders alike to evaluate the Company's operating results and understanding its operating trends, by removing the impact of non-operational results and special items and is used to evaluate the Return on Average Capital Employed (ROACE) as explained below.

Capital Employed is a non-GAAP financial measure. They are calculated at replacement cost and refer to capital employed (balance sheet) less inventory valuations effect. Capital employed (balance sheet) refers to the sum of the following items: (i) Property, plant and equipment, intangible assets, net, (ii) Investments & loans in equity affiliates, (iii) Other non-current assets, (iv) Working capital which is the sum of: Inventories, net, Accounts receivable, net, other current assets, Accounts payable, Other creditors and accrued liabilities, (v) Provisions and other non-current liabilities and (vi) Assets and liabilities classified as held for sale. Capital Employed can be a valuable tool for decision makers, analysts and shareholders alike to provide insight on the amount of capital investment used by the Company or its business segments to operate. Capital Employed is used to calculate the Return on Average Capital Employed (ROACE).

Cash Flow From Operations excluding working capital (CFFO) is a non-GAAP financial measure and its most directly comparable IFRS measure is Cash flow from operating activities. Cash Flow From Operations excluding working capital is defined as cash flow from operating activities before changes in working capital at replacement cost, excluding the mark-to-market effect of Integrated LNG and Integrated Power contracts, including capital gain from renewable projects sales and including organic loan repayments from equity affiliates.

This indicator can be a valuable tool for decision makers, analysts and shareholders alike to help understand changes in cash flow from operating activities, excluding the impact of working capital changes across periods on a consistent basis and with the performance of peer companies in a manner that, when viewed in combination with the Company's results prepared in accordance with GAAP, provides a more complete understanding of the factors and trends affecting the Company's business and performance. This performance indicator is used by the Company as a base for its cash flow allocation and notably to guide on the share of its cash flow to be allocated to the distribution to shareholders.

Debt adjusted cash flow (DACF) is a non-GAAP financial measure and its most directly comparable IFRS measure is Cash flow from operating activities. DACF is defined as Cash Flow From Operations excluding working capital (CFFO) without financial charges. This indicator can be a valuable tool for decision makers, analysts and shareholders alike because it corresponds to the funds theoretically available to the Company for investments, debt repayment and distribution to shareholders, and therefore facilitates comparison of the Company's results of operations with those of other registrants, independent of their capital structure and working capital requirements.

ESRS perimeter: the GHG emissions within the ESRS perimeter correspond to 100% of the emissions from operated sites, plus the equity share of emissions from non-operated and financially consolidated assets excluding equity affiliates.

Free cash flow after Organic Investments is a non-GAAP financial measure and its most directly comparable IFRS measure is Cash flow from operating activities. Free cash flow after Organic Investments, refers to Cash Flow From Operations excluding working capital minus Organic Investments. Organic Investments refer to Net Investments excluding acquisitions, asset sales and other transactions with non-controlling interests. This indicator can be a valuable tool for decision makers, analysts and shareholders alike because it illustrates operating cash flow generated by the business post allocation of cash for Organic Investments.

Gearing is a non-GAAP financial measure and its most directly comparable IFRS measure is the ratio of total financial liabilities to total equity. Gearing is a Net-debt-to-capital ratio, which is calculated as the ratio of Net debt excluding leases to (Equity + Net debt excluding leases). This indicator can be a valuable tool for decision makers, analysts and shareholders alike to assess the strength of the Company's balance sheet.

Normalized Gearing: indicator defined as the gearing excluding the impact of seasonal variations, notably on working capital.

Net cash flow (or free cash-flow) is a non-GAAP financial measure and its most directly comparable IFRS measure is Cash flow from operating activities. Net cash flow refers to Cash Flow From Operations excluding working capital minus Net Investments. Net cash flow can be a valuable tool for decision makers, analysts and shareholders alike because it illustrates cash flow generated by the operations of the Company post allocation of cash for Organic Investments and Acquisitions net of assets sales (acquisitions - assets sales - other operations with non-controlling interests). This performance indicator corresponds to the cash flow available to repay debt and allocate cash to shareholder distribution or share buybacks.

Net investments is a non-GAAP financial measure and its most directly comparable IFRS measure is Cash flow used in investing activities. Net Investments refer to Cash flow used in investing activities including other transactions with non-controlling interests, including change in debt from renewable projects financing, including expenditures related to carbon credits, including capex linked to capitalized leasing contracts and excluding organic loan repayment from equity affiliates. This indicator can be a valuable tool for decision makers, analysts and shareholders alike to illustrate the cash directed to growth opportunities, both internal and external, thereby showing, when combined with the Company's cash flow statement prepared under IFRS, how cash is generated and allocated for uses within the organization. Net Investments are the sum of Organic Investments and Acquisitions net of assets sales each of which is described in the Glossary.

Organic investments is a non-GAAP financial measure and its most directly comparable IFRS measure is Cash flow used in investing activities. Organic investments refers to Net Investments, excluding acquisitions, asset sales and other operations with non-controlling interests. Organic Investments can be a valuable tool for decision makers, analysts and shareholders alike because it illustrates cash flow used by the Company to grow its asset base, excluding sources of external growth.

Operated perimeter: activities, sites and industrial assets of which TotalEnergies SE or one of its subsidiaries has operational control, i.e. has the responsibility of the conduct of operations on behalf of all its partners. For the operated perimeter, the environmental indicators are reported 100%, regardless of the Company's equity interest in the asset.

Payout is a non-GAAP financial measure. Payout is defined as the ratio of the dividends and share buybacks for cancellation to the Cash Flow From Operations excluding working capital. This indicator can be a valuable tool for decision makers, analysts and shareholders as it provides the portion of the Cash Flow From Operations excluding working capital distributed to the shareholder.

Return on Average Capital Employed (ROACE) is a non-GAAP financial measure. ROACE is the ratio of Adjusted Net Operating Income to average Capital Employed at replacement cost between the beginning and the end of the period. This indicator can be a valuable tool for decision makers, analysts and shareholders alike to measure the profitability of the Company's average Capital Employed in its business operations and is used by the Company to benchmark its performance internally and externally with its peers.

Disclaimer:

Unless otherwise stated, the terms "TotalEnergies", "TotalEnergies company" and "Company" in this document are used to designate TotalEnergies SE and the consolidated entities directly or indirectly controlled by TotalEnergies SE. Likewise, the words "we", "us" and "our" may also be used to refer to these entities or their employees. The entities in which TotalEnergies SE directly or indirectly owns a shareholding are separate and independent legal entities. The term "Corporation" as used in this document exclusively refers to TotalEnergies SE, which is the parent company of the Company.

This document does not constitute the half-year financial report, which will be separately published in accordance with article L. 451-1-2-III of the French Code monétaire et financier and applicable UK law, and available on the website totalenergies.com. This press release presents the results for the second quarter of 2026 and half-year of 2026 from the consolidated financial statements of TotalEnergies SE as of June 30, 2026 (unaudited). The consolidated financial statements of TotalEnergies SE as of June 30, 2026 have been subject to a limited review by the Statutory Auditors. The notes to the consolidated financial statements (unaudited) are available on the Corporations' website www.totalenergies.com.

This document may contain forward-looking statements (including forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995), notably with respect to the financial condition, results of operations, business activities and strategy of TotalEnergies and expectations regarding returns to stockholders, including with respect to future dividends and share buybacks. This document may also contain statements regarding the perspectives, objectives, areas of improvement and goals of TotalEnergies SE, including with respect to climate change and carbon neutrality. An ambition expresses an outcome desired by TotalEnergies, it being specified that the means to be deployed do not depend solely on TotalEnergies.

These forward-looking statements may generally be identified by the use of the future or conditional tense or forward-looking words such as "will", "should", "could", "would", "may", "likely", "might", "envisions", "intends", "anticipates", "believes", "considers", "plans", "expects", "thinks", "targets", "commits", "aims" or similar terminology. Such forward-looking statements included in this document are based on economic data, estimates and assumptions prepared in a given economic, competitive and regulatory environment and considered to be reasonable by TotalEnergies as of the date of this document.

These forward-looking statements are not historical data and should not be interpreted as assurances that the perspectives, objectives or goals announced will be achieved. They are uncertain and may evolve or be modified with a significant difference between the actual results and those initially estimated, due to the uncertainties notably related to the economic, financial, competitive and regulatory environment, or due to the occurrence of risk factors, such as, notably, the price fluctuations in crude oil and natural gas, the evolution of the demand and price of petroleum products, the changes in production results and reserves estimates, the ability to achieve cost reductions and operating efficiencies without unduly disrupting business operations, changes in laws and regulations including those related to the environment and climate, currency fluctuations, technological innovations, meteorological conditions and events, as well as socio-demographic, economic and political developments, changes in market conditions, loss of market share and changes in consumer preferences, pandemics, and other risk factors described from time to time in the Corporation regulatory filings, including its Universal Registration Document filed with the French Autorité des Marchés Financiers, its Annual Report on Form 20 F filed with the United States Securities and Exchange Commission ("SEC") and its other reports filed or furnished with the SEC.

Future interim or final annual dividends payments beyond the interim dividend payable on January 5(th) , 2027 (or January 22(nd) , 2027, for holders on the U.S. register) have not yet, respectively, been decided by the Board of Directors or approved by shareholders at a General Meeting. Management's expectations with respect to such future dividends are "forward-looking statements" and are non-binding. The Board of Directors retains full discretion to decide to distribute an interim dividend and to set the amount and date of the distribution and decide on the dividend to be submitted for approval by shareholders at a General Meeting, based on a number of factors, including TotalEnergies' financial results, balance sheet strength, cash and liquidity requirements, future prospects, commodity prices, and other factors deemed relevant by the Board.

Readers are cautioned not to consider forward-looking statements as certain, but as an expression of the Corporation's views only as of the date this document is published.

TotalEnergies SE and its subsidiaries have no obligation, make no commitment and expressly disclaim any responsibility to investors or any stakeholder to update or revise, particularly as a result of new information or future events, any forward-looking information or statement, objectives or trends contained in this document. In addition, the Corporation has not verified and is under no obligation to verify any third-party data contained in this document or used in the estimates and assumptions or, more generally, forward-looking statements published in this document. The information on risk factors that could have a significant adverse effect on TotalEnergies' business, financial condition, including its operating income and cash flow, reputation, outlook or the value of financial instruments issued by TotalEnergies is provided in the most recent version of the Universal Registration Document which is filed by TotalEnergies SE with the French Autorité des Marchés Financiers and the annual report on Form 20-F filed with the SEC.

Additionally, the developments of climate change and other environmental or social-related issues in this document are based on various frameworks and the interests of various stakeholders which are subject to evolve independently of our will. Moreover, our disclosures on such issues, including disclosures on climate change and other environmental or social-related issues, may include information that is not necessarily "material" under US securities laws for SEC reporting purposes or under applicable securities law.

In addition to IFRS measures, certain alternative performance indicators are presented, such as performance indicators excluding the adjustment items described below (adjusted net operating income, adjusted net income), net cash flow, free cash flow after organic investments, normalized gearing, return on equity (ROE), return on average capital employed (ROACE), gearing ratio, cash flow from operations excluding working capital, debt adjusted cash flow, and the payout ratio. These indicators are meant to facilitate the analysis of the financial performance of TotalEnergies and the comparison of income between periods. They allow investors to track the measures used internally to manage and measure the performance of TotalEnergies.

Financial information by business segment is reported in accordance with the internal reporting system and shows internal segment information that is used to manage and measure the performance of TotalEnergies. TotalEnergies measures performance at the segment level on the basis of adjusted net operating income.

These adjustment items include:

(i) Special items

Due to their unusual nature or particular significance, certain transactions qualifying as "special items" are excluded from the business segment figures. In general, special items relate to transactions that are significant, infrequent, or unusual. However, in certain instances, transactions such as restructuring costs or assets disposals, which are not considered to be representative of the normal course of business, may qualify as special items although they may have occurred in prior years or are likely to occur in following years.

(ii) The inventory valuation effect

In accordance with IAS 2, TotalEnergies values inventories of petroleum products in its financial statements according to the First-In, First-Out (FIFO) method and other inventories using the weighted-average cost method. Under the FIFO method, the cost of inventory is based on the historic cost of acquisition or manufacture rather than the current replacement cost. In volatile energy markets, this can have a significant distorting effect on the reported income. Accordingly, the adjusted results of the Refining & Chemicals and Marketing & Services segments are presented according to the replacement cost method. This method is used to assess the segments' performance and facilitate the comparability of the segments' performance with those of its main competitors.

In the replacement cost method, which approximates the Last-In, First-Out (LIFO) method, the variation of inventory values in the statement of income is, depending on the nature of the inventory, determined using either the month-end prices differential between one period and another or the average prices of the period rather than the historical value. The inventory valuation effect is the difference between the results under the FIFO and the replacement cost methods.

(iii) Effect of changes in fair value

The effect of changes in fair value presented as an adjustment item reflects, for trading inventories and storage contracts, differences between internal measures of performance used by TotalEnergies' Executive Committee and the accounting for these transactions under IFRS.

IFRS requires that trading inventories be recorded at their fair value using period-end spot prices. In order to best reflect the management of economic exposure through derivative transactions, internal indicators used to measure performance include valuations of trading inventories based on forward prices.

TotalEnergies, in its trading activities, enters into storage contracts, whose future effects are recorded at fair value in TotalEnergies' internal economic performance. IFRS precludes recognition of this fair value effect.

Furthermore, TotalEnergies enters into derivative instruments to risk manage certain operational contracts or assets. Under IFRS, these derivatives are recorded at fair value while the underlying operational transactions are recorded as they occur. Internal indicators defer the fair value on derivatives to match with the transaction occurrence.

The adjusted results (adjusted net operating income, adjusted net income) are defined as replacement cost results, adjusted for special items, excluding the effect of changes in fair value.

Euro amounts presented for the fully adjusted-diluted earnings per share represent dollar amounts converted at the average euro-dollar (EUR-$) exchange rate for the applicable period and are not the result of financial statements prepared in euros.

Cautionary Note to U.S. Investors -- U.S. investors are urged to consider closely the disclosure in the Form 20-F of TotalEnergies SE, File Ndeg 1-10888, available from us at 2, place Jean Millier -- Arche Nord Coupole/Regnault -- 92078 Paris-La Défense Cedex, France, or at the Corporation website totalenergies.com. You can also obtain this form from the SEC by calling 1-800-SEC-0330 or on the SEC's website sec.gov.

 
(1)     Refer to Glossary pages 23 & 24 for the definitions and further 
        information on alternative performance measures (Non-GAAP measures) 
        and to page 19 and following for reconciliation tables. 
(2)     Some of the transactions mentioned in the highlights remain subject to 
        the agreement of the authorities or to the fulfilment of conditions 
        precedent under the terms of the agreements 
*       Commitment regarding employees (subject to being employed on May 1, 
        2026) of all 100%-owned companies as well as employees of companies 
        more than 50%-owned, if approved by their governance bodies. 
(3)     Effective tax rate = (tax on adjusted net operating income) / 
        (adjusted net operating income -- income from equity affiliates -- 
        dividends received from investments -- impairment of goodwill + tax on 
        adjusted net operating income). 
(4)     In accordance with IFRS rules, adjusted fully diluted earnings per 
        share corresponds to the ratio between the adjusted net income 
        (TotalEnergies' share), reduced by the coupon on perpetual 
        subordinated notes and the weighted average diluted number of shares 
        outstanding during the period, excluding shares held by TotalEnergies 
        SE. 
(5)     Average EUR-$ exchange rate: 1.1629 in the 2(nd) quarter 2026, 1.1703 
        in the 1(st) quarter 2026, 1.1338 in the 2(nd) quarter 2025, 1.1666 in 
        the 1(st) half 2026 and 1.0927 in the 1(st) half 2025. 
(6)     Does not include oil, gas and LNG trading activities, respectively. 
(7)     Sales in $ / Sales in volume for consolidated affiliates. 
(8)     Sales in $ / Sales in volume for consolidated affiliates. 
(9)     Sales in $ / Sales in volume for consolidated and equity affiliates. 
(10)    This market indicator for European refining, calculated based on 
        public market prices ($/b), uses a basket of crudes, petroleum product 
        yields and variable costs representative of the European refining 
        system of TotalEnergies. 
(11)    The seven greenhouse gases in the Kyoto protocol, namely CO(2) , CH(4) 
        , N(2) O, HFCs, PFCs, SF(6) and NF(3) , with their respective 100-year 
        time horizon GWP (Global Warming Potential) as described in the most 
        recent IPCC report. HFCs, PFCs, SF(6) and NF(3) are virtually absent 
        from the Company's emissions and are not accounted for by the 
        Company. 
(12)    Scope 1+2 GHG emissions are defined as the sum of direct emissions of 
        GHG from sites or activities that are included in the scope of 
        reporting for climate change-related indicators and indirect emissions 
        resulting from the production of electricity, steam, heat or cooling, 
        purchased or acquired, and consumed by the sites or activities 
        included in the scope of reporting for climate change-related 
        indicators, net from potential energy sales, excluding purchased 
        industrial gases (H(2) ). If not stated otherwise, TotalEnergies 
        reports Scope 2 GHG emissions according to the market-based method 
        defined by the GHG Protocol. 
(13)    If not stated otherwise, TotalEnergies reports Scope 3 GHG emissions, 
        category 11, which correspond to indirect GHG emissions related to the 
        direct use phase emissions of sold products over their expected 
        lifetime (i.e., the scope 1 and scope 2 emissions of end users that 
        occur from the combustion of fuels) in accordance with the definition 
        of the GHG Protocol Corporate Value Chain (Scope 3) Accounting and 
        Reporting Standard Supplement. The Company follows the oil & gas 
        industry reporting guidelines published by IPIECA, which comply with 
        the GHG Protocol methodologies. In order to avoid double counting, 
        this methodology accounts for the largest volume in the oil and gas 
        value chains, i.e. the higher of the two production volumes or sales 
        for end use. The highest point for each value chain for the year 2026 
        will be determined with regard to the achievement over the whole year, 
        with TotalEnergies providing estimates as the quarters progress. A 
        stoichiometric emission factor (oxidation of molecules to carbon 
        dioxide) is applied to these sales or production to obtain an emission 
        volume. In accordance with the Technical Guidance for Calculating 
        Scope 3 Emissions Supplement to the Corporate Value Chain (Scope 3) 
        Accounting and Reporting Standard which defines end users as both 
        consumers and business customers that use final products, and with 
        IPIECA's Estimating petroleum industry value chain (Scope 3) 
        greenhouse gas emissions guidelines, under which reporting of 
        emissions from fuel purchased for resale to non-end users (e.g. 
        traded) is optional, TotalEnergies does not report emissions 
        associated with trading activities. 
(14)    Company production = E&P production + Integrated LNG production. 
(15)    Effective tax rate = (tax on adjusted net operating income) / 
        (adjusted net operating income -- income from equity affiliates -- 
        dividends received from investments -- impairment of goodwill + tax on 
        adjusted net operating income). 
*       Net of fees and taxes, including coverage of employees share grant 
        plans. 
(16)    Sensitivities are revised once per year upon publication of the 
        previous year's fourth quarter results. Sensitivities are estimates 
        based on assumptions about TotalEnergies' portfolio in 2026. Actual 
        results could vary significantly from estimates based on the 
        application of these sensitivities. The impact of the $-EUR 
        sensitivity on adjusted net operating income is essentially 
        attributable to Refining & Chemicals. 
(17)    In a 60-70 $/b Brent environment. 
(18)    End-of-period data. 
(19)    Includes 17.25% of the gross capacities of Adani Green Energy Limited, 
        50% of Clearway Energy Group and 49% of Casa dos Ventos. 
(20)    End-of-period data. 
 

TotalEnergies financial statements

Second quarter and first half 2026 consolidated accounts, IFRS

Consolidated statement of income

TotalEnergies

(unaudited)

 
                                   2nd quarter  1st quarter  2nd quarter 
(M$)(a)                                   2026         2026         2025 
--------------------------------   -----------  -----------  ----------- 
Sales                                   61,771       54,163       49,627 
---------------------------------  -----------  -----------  ----------- 
Excise taxes                           (4,674)      (4,647)      (4,951) 
---------------------------------  -----------  -----------  ----------- 
    Revenue from sales                  57,097       49,516       44,676 
---------------------------------  -----------  -----------  ----------- 
Purchases, net of inventory 
 variation                            (38,308)     (27,347)     (29,158) 
---------------------------------  -----------  -----------  ----------- 
Other operating expenses               (8,038)      (8,675)      (7,834) 
---------------------------------  -----------  -----------  ----------- 
Exploration costs                         (95)        (133)         (97) 
---------------------------------  -----------  -----------  ----------- 
Depreciation, depletion and 
 impairment of tangible assets 
 and mineral interests                 (3,075)      (3,206)      (3,258) 
---------------------------------  -----------  -----------  ----------- 
Other income                               330          471          544 
---------------------------------  -----------  -----------  ----------- 
Other expense                            (279)      (1,225)        (287) 
---------------------------------  -----------  -----------  ----------- 
Financial interest on debt               (817)        (791)        (816) 
---------------------------------  -----------  -----------  ----------- 
Financial income and expense from 
 cash & cash equivalents                   245          222          327 
---------------------------------  -----------  -----------  ----------- 
    Cost of net debt                     (572)        (569)        (489) 
---------------------------------  -----------  -----------  ----------- 
Other financial income                     482          294          429 
---------------------------------  -----------  -----------  ----------- 
Other financial expense                  (184)        (223)        (203) 
---------------------------------  -----------  -----------  ----------- 
Net income (loss) from equity 
 affiliates                              1,271          817          529 
---------------------------------  -----------  -----------  ----------- 
Income taxes                           (3,154)      (3,788)      (2,106) 
---------------------------------  -----------  -----------  ----------- 
Consolidated net income                  5,475        5,932        2,746 
---------------------------------  -----------  -----------  ----------- 
TotalEnergies share                      5,438        5,810        2,687 
---------------------------------  -----------  -----------  ----------- 
Non-controlling interests                   37          122           59 
---------------------------------  -----------  -----------  ----------- 
Earning per share ($)                     2.44         2.68         1.18 
---------------------------------  -----------  -----------  ----------- 
Diluted earnings per share ($)            2.41         2.64         1.17 
---------------------------------  -----------  -----------  ----------- 
(a) Except for per share amounts. 
 

Consolidated statement of comprehensive income

TotalEnergies

(unaudited)

 
                                   2nd quarter  1st quarter  2nd quarter 
(M$)                                      2026         2026         2025 
--------------------------------   -----------  -----------  ----------- 
Consolidated net income                  5,475        5,932        2,746 
---------------------------------  -----------  -----------  ----------- 
Other comprehensive income 
--------------------------------   -----------  -----------  ----------- 
Actuarial gains and losses                  21            1           16 
---------------------------------  -----------  -----------  ----------- 
Change in fair value of 
 investments in equity 
 instruments                              (29)          112           52 
---------------------------------  -----------  -----------  ----------- 
Tax effect                                 (7)         (25)         (20) 
---------------------------------  -----------  -----------  ----------- 
Currency translation adjustment 
 generated by the parent company         (857)      (1,792)        5,808 
---------------------------------  -----------  -----------  ----------- 
Items not potentially 
 reclassifiable to profit and 
 loss                                    (872)      (1,704)        5,856 
---------------------------------  -----------  -----------  ----------- 
Currency translation adjustment            573        1,904      (4,692) 
---------------------------------  -----------  -----------  ----------- 
Cash flow hedge                            454          937          165 
---------------------------------  -----------  -----------  ----------- 
Variation of foreign currency 
 basis spread                                1            4            4 
---------------------------------  -----------  -----------  ----------- 
Share of other comprehensive 
 income of equity affiliates, net 
 amount                                     63          155        (174) 
---------------------------------  -----------  -----------  ----------- 
Other                                        2            1           -- 
---------------------------------  -----------  -----------  ----------- 
Tax effect                               (113)        (235)         (49) 
---------------------------------  -----------  -----------  ----------- 
Items potentially reclassifiable 
 to profit and loss                        980        2,766      (4,746) 
---------------------------------  -----------  -----------  ----------- 
Total other comprehensive income 
 (net amount)                              108        1,062        1,110 
---------------------------------  -----------  -----------  ----------- 
Comprehensive income                     5,583        6,994        3,856 
---------------------------------  -----------  -----------  ----------- 
    -- TotalEnergies share               5,531        6,884        3,752 
---------------------------------  -----------  -----------  ----------- 
    -- Non-controlling interests            52          110          104 
---------------------------------  -----------  -----------  ----------- 
 

Consolidated statement of income

TotalEnergies

(unaudited)

 
(M$)(a)                                       1st half 2026  1st half 2025 
-------------------------------------------   -------------  ------------- 
Sales                                               115,934        101,881 
--------------------------------------------  -------------  ------------- 
Excise taxes                                        (9,321)        (9,306) 
--------------------------------------------  -------------  ------------- 
    Revenue from sales                              106,613         92,575 
--------------------------------------------  -------------  ------------- 
Purchases, net of inventory variation              (65,655)       (60,013) 
--------------------------------------------  -------------  ------------- 
Other operating expenses                           (16,713)       (15,398) 
--------------------------------------------  -------------  ------------- 
Exploration costs                                     (228)          (178) 
--------------------------------------------  -------------  ------------- 
Depreciation, depletion and impairment of 
 tangible assets and mineral interests              (6,281)        (6,256) 
--------------------------------------------  -------------  ------------- 
Other income                                            801            791 
--------------------------------------------  -------------  ------------- 
Other expenses                                      (1,504)          (578) 
--------------------------------------------  -------------  ------------- 
Financial interest on debt                          (1,608)        (1,541) 
--------------------------------------------  -------------  ------------- 
Financial income and expenses from cash & 
 cash equivalents                                       467            617 
--------------------------------------------  -------------  ------------- 
    Cost of net debt                                (1,141)          (924) 
--------------------------------------------  -------------  ------------- 
Other financial income                                  776            747 
--------------------------------------------  -------------  ------------- 
Other financial expense                               (407)          (452) 
--------------------------------------------  -------------  ------------- 
Net income (loss) from equity affiliates              2,088          1,192 
--------------------------------------------  -------------  ------------- 
Income taxes                                        (6,942)        (4,839) 
--------------------------------------------  -------------  ------------- 
Consolidated net income                              11,407          6,667 
--------------------------------------------  -------------  ------------- 
TotalEnergies share                                  11,248          6,538 
--------------------------------------------  -------------  ------------- 
Non-controlling interests                               159            129 
--------------------------------------------  -------------  ------------- 
Earnings per share ($)                                 5.11           2.88 
--------------------------------------------  -------------  ------------- 
Diluted earnings per share ($)                         5.06           2.85 
--------------------------------------------  -------------  ------------- 
(a) Except for per share amounts. 
 

Consolidated statement of comprehensive income

TotalEnergies

(unaudited)

 
(M$)                                          1st half 2026  1st half 2025 
-------------------------------------------   -------------  ------------- 
Consolidated net income                              11,407          6,667 
--------------------------------------------  -------------  ------------- 
Other comprehensive income 
-------------------------------------------   -------------  ------------- 
Actuarial gains and losses                               22             16 
--------------------------------------------  -------------  ------------- 
Change in fair value of investments in 
 equity instruments                                      83             64 
--------------------------------------------  -------------  ------------- 
Tax effect                                             (32)           (19) 
--------------------------------------------  -------------  ------------- 
Currency translation adjustment generated by 
 the parent company                                 (2,649)          8,690 
--------------------------------------------  -------------  ------------- 
Items not potentially reclassifiable to 
 profit and loss                                    (2,576)          8,751 
--------------------------------------------  -------------  ------------- 
Currency translation adjustment                       2,477        (6,709) 
--------------------------------------------  -------------  ------------- 
Cash flow hedge                                       1,391          (668) 
--------------------------------------------  -------------  ------------- 
Variation of foreign currency basis spread                5             19 
--------------------------------------------  -------------  ------------- 
Share of other comprehensive income of 
 equity affiliates, net amount                          218          (274) 
--------------------------------------------  -------------  ------------- 
Other                                                     3              7 
--------------------------------------------  -------------  ------------- 
Tax effect                                            (348)            156 
--------------------------------------------  -------------  ------------- 
Items potentially reclassifiable to profit 
 and loss                                             3,746        (7,469) 
--------------------------------------------  -------------  ------------- 
Total other comprehensive income (net 
 amount)                                              1,170          1,282 
--------------------------------------------  -------------  ------------- 
Comprehensive income                                 12,577          7,949 
--------------------------------------------  -------------  ------------- 
    -- TotalEnergies share                           12,415          7,759 
--------------------------------------------  -------------  ------------- 
    -- Non-controlling interests                        162            190 
--------------------------------------------  -------------  ------------- 
 

Consolidated balance sheet

TotalEnergies

 
                      June 30,    March 31,     December      June 30, 
                          2026         2026     31, 2025          2025 
(M$)               (unaudited)  (unaudited)                (unaudited) 
----------------   -----------  -----------  -----------  ------------ 
ASSETS 
Non-current 
assets 
----------------   -----------  -----------  -----------  ------------ 
Intangible 
 assets, net            35,631       36,387       37,345        36,687 
-----------------  -----------  -----------  -----------  ------------ 
Property, plant 
 and equipment, 
 net                   117,889      116,240      114,694       116,153 
-----------------  -----------  -----------  -----------  ------------ 
Equity 
 affiliates: 
 investments and 
 loans                  44,663       39,123       38,090        36,657 
-----------------  -----------  -----------  -----------  ------------ 
Other investments        2,099        2,097        1,914         2,176 
-----------------  -----------  -----------  -----------  ------------ 
Non-current 
 financial 
 assets                  2,702        2,877        3,270         2,691 
-----------------  -----------  -----------  -----------  ------------ 
Deferred income 
 taxes                   2,939        2,986        3,358         3,550 
-----------------  -----------  -----------  -----------  ------------ 
Other non-current 
 assets                  2,573        2,640        2,915         4,057 
-----------------  -----------  -----------  -----------  ------------ 
Total non-current 
 assets                208,496      202,350      201,586       201,971 
-----------------  -----------  -----------  -----------  ------------ 
Current assets 
----------------   -----------  -----------  -----------  ------------ 
Inventories, net        21,373       23,932       16,663        17,275 
-----------------  -----------  -----------  -----------  ------------ 
Accounts 
 receivables, 
 net                    21,184       22,977       18,559        21,254 
-----------------  -----------  -----------  -----------  ------------ 
Other current 
 assets                 28,976       33,877       20,437        24,160 
-----------------  -----------  -----------  -----------  ------------ 
Current financial 
 assets                  4,039        4,173        3,332         5,183 
-----------------  -----------  -----------  -----------  ------------ 
Cash and cash 
 equivalents            27,678       25,693       26,202        20,424 
-----------------  -----------  -----------  -----------  ------------ 
Assets classified 
 as held for 
 sale                    2,015        1,560        4,276         2,550 
-----------------  -----------  -----------  -----------  ------------ 
Total current 
 assets                105,265      112,212       89,469        90,846 

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