TotalEnergies delivers robust results in
line with its objectives and confirms the relevance of its strategy
in an uncertain environment
7.1% ordinary dividend increase - 46%
Payout
19% ROACE in 2023, at the top of the
majors
Regulatory News:
TotalEnergies SE (Paris:TTE) (LSE:TTE) (NYSE:TTE):
4Q23
Change vs 3Q23
2023
Change vs 2022
Net income (TotalEnergies share) (B$)
5.1
-24%
21.4
+4%
Adjusted net income (TotalEnergies share)(1)
- in billions of dollars (B$)
5.2
-19%
23.2
-36%
- in dollars per share
2.16
-18%
9.40
-33%
Adjusted EBITDA(1) (B$)
11.7
-10%
50.0
-30%
Cash flow from operationsexcluding working capital (CFFO)(1) (B$)
8.5
-9%
35.9
-21%
Cash flow from operating activities (B$)
16.2
+70%
40.7
-14%
Gearing(1) of 5.0% at December 31, 2023 vs.12.3% at September 30,
2023
The Board of Directors of TotalEnergies SE, chaired by CEO
Patrick Pouyanné, met on February 6, 2024, to approve the fourth
quarter 2023 financial statements. On the occasion, Patrick
Pouyanné said:
“In an uncertain environment, TotalEnergies’ balanced transition
strategy, which combines growth in Oil & Gas, in particular in
LNG, and Integrated Power, delivered strong results in 2023, in
line with its objectives. During the fourth quarter, TotalEnergies
generated adjusted net income of $5.2 billion and cash flow of $8.5
billion. IFRS net income was $5.1 billion.
In 2023 TotalEnergies reported adjusted net income of $23.2
billion and cash flow of $35.9 billion. 2023 IFRS net income was
$21.4 billion (€19.8 billion), up 4% year-on-year. This year the
Company once again achieved top tier 20% return on equity and 19%
return on average capital employed. TotalEnergies invested $16.8
billion, including 35% for low-carbon energies mainly in power.
Ordinary dividends increased by 7.1% and the Company completed $9
billion in buybacks of its shares, of which $1.5 billion was linked
to the Canadian asset disposals. The Company further reduced net
debt, achieving 5% gearing, including a $5 billion positive
contribution of working capital. Payout increased to an attractive
46.0% in 2023. In addition, TotalEnergies ensured balanced profit
sharing with its employees around the world and in particular in
France (average 5% wage increase*, value sharing bonus* of at least
€2k and support for employees in their energy transition**) and
with its customers through rebates (€1.99 per liter price cap and
renewal of the rebate on gas and power prices to private
customers).
In the Oil & Gas business, fourth quarter production was
2.46 Mboe/d, which benefited from 7% LNG production growth
quarter-to-quarter. In a softening Brent environment, Exploration
& Production delivered a strong quarter, with adjusted net
operating income of $2.8 billion and cash flow of $4.7 billion.
Operating costs decreased to 5.1 $/boe thanks to the divestment of
high-cost Canadian oil sands assets. Full-year 2023 total
production increased 2% year-on-year (excluding Novatek), driven by
strong LNG production growth of 9%, and Exploration &
Production generated strong adjusted net operating income of $10.9
billion and cash flow of $19.1 billion. TotalEnergies’ exploration
successes continued in Namibia, Suriname, and Nigeria. The Company
reports a reserves replacement ratio of 141% in 2023 and a proved
reserves life index of 12 years as of December 31, demonstrating
the strength of its project portfolio.
Integrated LNG results remain robust with fourth quarter
adjusted net operating income of $1.5 billion and cash flow of $1.8
billion, up 8% and 7% quarter-over-quarter, respectively, and
driven by higher production and strengthening prices. For full year
2023, Integrated LNG generated annual adjusted net operating income
of $6.2 billion and cash flow of $7.3 billion, which is lower than
the exceptional results in 2022 but higher than 2021 thanks to
growth in its portfolio.
During the fourth quarter, Integrated Power continued its
profitable growth with higher adjusted net operating income and
cash flow of $527 million and $705 million, respectively. Full-year
2023 cash flow totaled $2.2 billion, which is more than double
compared to 2022. Integrated Power achieved an ROACE of 9.8% in
2023, demonstrating the relevance of the Company’s integrated
business model. TotalEnergies announced several acquisitions,
further enhancing its Integrated Power business model in the US and
in Europe: 1.5 GW of flexible CCGT capacity in Texas and a
renewable energy aggregator (9 GW) and a battery storage developer
(2 GW) in Germany.
Downstream adjusted net operating income was $939 million and
cash-flow was $1.7 billion in the fourth quarter, which reflects
the decrease in refining margins and weak chemicals demand in
Europe. Full-year 2023 adjusted net operating income of $6.1
billion and cash flow of $8.2 billion were supported by good
availability in Europe and still attractive refining margins,
although lower compared to historic levels in 2022.
In view of the structural cash flow growth and share buybacks
executed in 2023 (5.9% of the share capital), the Board of
Directors will propose at the Shareholders’ Meeting to be held on
May 24, 2024, the distribution of a final 2023 dividend of
€0.79/share, resulting in an increase of 7.1% for the ordinary 2023
dividend, compared to the ordinary 2022 dividend, to €3.01/share.
Furthermore, the Board of Directors confirmed a shareholder return
policy for 2024 targeting >40% CFFO payout, which will combine
an increase in interim dividends of 6.8% to €0.79/share and $2
billion of share buybacks in the first quarter of 2024, which will
remain the base level for quarterly buybacks in the current
environment.”
1. Highlights(2)
Social and environmental
responsibility
- Release of the TotalEnergies Energy Outlook 2023 on the
evolution of the global energy system
- COP28
- Support from TotalEnergies to the objectives of tripling the
amount of renewable energies production capacity and doubling
energy efficiency by 2030, as well as slashing methane emissions
within that time frame.
- Membership in the Oil & Gas Decarbonization Charter
(OGDC)
- Backing of the World Bank’s Global Flaring and Methane
Reduction Trust Fund
- AUSEA technology sharing initiative with Petrobras (Brazil),
SOCAR (Azerbaijan), Sonangol (Angola) and NNPC (Nigeria) to measure
methane emissions
- Release of the third edition of the Human Rights Briefing
Paper
- Launch of third-party assessment of the land acquisition
program related to Tilenga and EACOP projects
- Sharing value with employees in France
- Approval of a wage agreement for 2024 to share value with
employees in France (5% raise and more than 2k€ value sharing
bonus) applicable to employees covered by the Common Corpus of
Employee Relations Agreements (SSC)
- Commitment to support the Company’s employees with their energy
transition*
Upstream
- Closing of the sale of Surmont to ConocoPhillips for up to $3.3
billion and other Canadian assets to Suncor for around $1.3
billion
- Production start-up of the second phase of the Mero field, in
Brazil
- Acquisition of additional interest in Namibia block 2913B and
block 2912
- Award of a new offshore exploration license in Suriname
- Launch of an innovative subsea technology to separate and
reinject CO2-rich gas at the Mero field in Brazil
- Agreement with OMV to acquire 50% of SapuraOMV, an independent
gas producer, in Malaysia
Downstream
- Closing of divestment of retail networks in Europe to
Couche-Tard for around $3.8 billion
- Sale to Prax Group of a minority stake in Natref refinery in
South Africa
Integrated LNG
- Commissioning of an LNG floating regasification terminal in the
Port of Le Havre, in France
- Extension of partnership with Oman LNG by 10 years and with
Qalhat LNG by 5 years
Integrated Power
- US
- Acquisition of 1.5 GW of flexible power generation capacity in
Texas
- Attentive Energy One project awarded a 25-year contract to
supply 1.4 GW of renewable electricity to New York and Attentive
Energy Two awarded a 20-year contract to supply 1.3 GW of renewable
electricity to New Jersey
- Signature with LyondellBasell of a 15 year-Power Purchase
Agreement
- Europe
- Acquisition of Quadra Energy, a German renewable energy
aggregator
- Acquisition of Kyon Energy, a leading German battery storage
developer
- Partial farm down to PTTEP of 25.5% of the Seagreen offshore
wind farm for $689 million, in the UK
- Expansion of collaboration with European Energy to develop
offshore wind in three Nordic countries
- Acquisition of 200 high power charging sites from Wenea in
Spain
- Acquisition of three start-ups in the electricity business as
part of the TotalEnergies On program
2. Key figures from TotalEnergies’ consolidated financial
statements(1)
4Q23
3Q23
4Q22
4Q23 vs 4Q22
In millions of dollars, except effective tax rate,earnings per
share and number of shares
2023
2022
2023 vs 2022
11,696
13,062
15,997
-27%
Adjusted EBITDA (1)
50,030
71,578
-30%
5,724
6,808
8,238
-31%
Adjusted net operating income from business segments
25,107
38,475
-35%
2,802
3,138
3,528
-21%
Exploration & Production
10,942
17,479
-37%
1,456
1,342
2,408
-40%
Integrated LNG
6,200
11,169
-44%
527
506
481
+10%
Integrated Power
1,853
975
+90%
633
1,399
1,487
-57%
Refining & Chemicals
4,654
7,302
-36%
306
423
334
-8%
Marketing & Services
1,458
1,550
-6%
597
662
1,873
-68%
Contribution of equity affiliates to adjusted net income
3,000
8,254
-64%
37.7%
33.4%
41.4%
Effective tax rate (3)
37.5%
40.9%
5,226
6,453
7,561
-31%
Adjusted net income (TotalEnergies share) (1)
23,176
36,197
-36%
2.16
2.63
2.97
-27%
Adjusted fully-diluted earnings per share (dollars) (4)
9.40
13.94
-33%
2.02
2.41
2.93
-31%
Adjusted fully-diluted earnings per share (euros) (5)
8.70
13.24
-34%
2,387
2,423
2,522
-5%
Fully-diluted weighted-average shares (millions)
2,434
2,572
-5%
5,063
6,676
3,264
+55%
Net income (TotalEnergies share)
21,384
20,526
+4%
6,139
4,283
3,935
+56%
Organic investments (1)
18,126
11,852
+53%
(5,404)
808
(133)
ns
Net acquisitions (1)
(1,289)
4,451
ns
735
5,091
3,802
-81%
Net investments (1)
16,837
16,303
+3%
8,500
9,340
9,135
-7%
Cash flow from operations excluding working capital (CFFO) (1)
35,946
45,729
-21%
8,529
9,551
9,361
-9%
Debt Adjusted Cash Flow (DACF) (1)
36,451
47,025
-22%
16,150
9,496
5,618
x2.9
Cash flow from operating activities
40,679
47,367
-14%
3. Key figures of environment, greenhouse gas emissions and
production
3.1 Environment – liquids and gas price realizations,
refining margins
4Q23
3Q23
4Q22
4Q23 vs 4Q22
2023
2022
2023 vs 2022
84.3
86.7
88.8
-5%
Brent ($/b)
82.6
101.3
-18%
2.9
2.7
6.1
-52%
Henry Hub ($/Mbtu)
2.7
6.5
-59%
13.3
10.6
32.3
-59%
NBP ($/Mbtu)
12.6
32.4
-61%
15.2
12.5
30.5
-50%
JKM ($/Mbtu)
13.8
33.8
-59%
80.2
78.9
80.6
-1%
Average price of liquids (6),(7) ($/b)Consolidated subsidiaries
76.2
91.3
-17%
6.17
5.47
12.74
-52%
Average price of gas (6),(8) ($/Mbtu)Consolidated subsidiaries
6.64
13.15
-50%
10.28
9.56
14.83
-31%
Average price of LNG (6),(9) ($/Mbtu)Consolidated subsidiaries and
equity affiliates
10.76
15.90
-32%
50.1
95.1
73.6
-32%
Variable cost margin - Refining Europe, VCM (6),(10) ($/t)
69.3
94.1
-26%
3.2 Greenhouse gas emissions (11)
4Q23
3Q23
4Q22
4Q23 vs 4Q22
Scope 1+2 emissions (MtCO2e)
2023
2022
2023 vs 2022
7.9
8.5
10.1
-22%
Scope 1+2 from operated facilities (12)
34.6
39.7
-13%
7.2
7.5
8.3
-13%
of which Oil & Gas
30.3
32.5
-7%
0.7
1.0
1.8
-62%
of which CCGT
4.3
7.2
-40%
11.5
12.1
14.7
-22%
Scope 1+2 - equity share
48.9
56.1
-13%
Estimated quarterly emissions.
Scope 1+2 emissions from operated installations were down 22%
year-on-year in the fourth quarter 2023, thanks to the continuous
decline in flaring emissions on Exploration & Production
facilities and the exceptional use of gas-fired power plants in
2022.
2023 methane emissions from operated facilities were down 19%
compared to 2022 mainly due continuous decrease in flaring and of
fugitive emissions on Exploration & Production and were down
47% compared to the 2020 reference level.
4Q23
3Q23
4Q22
4Q23 vs 4Q22
Methane emissions (ktCH4)
2023
2022
2023 vs 2022
9
7
11
-21%
Methane emissions from operated facilities
34
42
-19%
11
9
10
+12%
Methane emissions - equity share
40
47
-14%
Estimated quarterly emissions.
Scope 3 emissions (MtCO2e)
2023
2022
Scope 3 from Oil, Biofuels and Gas Worldwide (13)
355
389
3.3 Production(14)
4Q23
3Q23
4Q22
4Q23 vs 4Q22
Hydrocarbon production
2023
2022
2023 vs 2022
2,462
2,476
2,812
-12%
Hydrocarbon production (kboe/d)
2,483
2,765
-10%
1,341
1,399
1,357
-1%
Oil (including bitumen) (kb/d)
1,388
1,307
+6%
1,121
1,077
1,455
-23%
Gas (including condensates and associated NGL) (kboe/d)
1,095
1,458
-25%
2,462
2,476
2,812
-12%
Hydrocarbon production (kboe/d)
2,483
2,765
-10%
1,506
1,561
1,570
-4%
Liquids (kb/d)
1,550
1,519
+2%
5,158
4,921
6,681
-23%
Gas (Mcf/d)
5,028
6,759
-26%
2,462
2,476
2,475
-1%
Hydrocarbon production excluding Novatek (kboe/d)
2,483
2,437
+2%
Hydrocarbon production was 2,462 thousand barrels of oil
equivalent per day in the fourth quarter 2023, down 1%
quarter-over-quarter. Fourth quarter benefited from LNG production
growth, which partially compensated for the Canadian oil sands
assets disposals that were effective this quarter.
Hydrocarbon production was 2,483 thousand barrels of oil
equivalent per day in 2023, up 2% year-on-year (excluding Novatek)
and was comprised of:
- +4% due to start-ups and ramp-ups, including Johan Sverdrup
Phase 2 in Norway, Mero 1 in Brazil, Ikike in Nigeria, Block 10 in
Oman, and Absheron in Azerbaijan,
- +1% due to improved security conditions in Nigeria and
Libya,
- +1% due to lower planned maintenance and unplanned shutdowns,
including at the Kashagan field in Kazakhstan,
- -1% portfolio effect related to the end of the Bongkot
operating licenses in Thailand, exit from Termokarstovoye in
Russia, disposal of the Canadian oil sands assets and effective
withdrawal from Myanmar, partially offset by the entries in the
producing fields of SARB Umm Lulu in the United Arab Emirates, of
Sépia and Atapu in Brazil, of Ratawi in Iraq, and the increased
participation in the Waha concessions in Libya,
- -3% due to the natural field declines.
4. Analysis of business segments
4.1 Exploration & Production
4.1.1 Production
4Q23
3Q23
4Q22
4Q23 vs 4Q22
Hydrocarbon production
2023
2022
2023 vs 2022
1,998
2,043
2,309
-13%
EP (kboe/d)
2,034
2,296
-11%
1,448
1,507
1,512
-4%
Liquids (kb/d)
1,492
1,466
+2%
2,946
2,865
4,261
-31%
Gas (Mcf/d)
2,900
4,492
-35%
1,998
2,043
2,030
-2%
EP excluding Novatek (kboe/d)
2,034
2,025
-
4.1.2 Results
4Q23
3Q23
4Q22
4Q23 vs 4Q22
In millions of dollars, except effective tax rate
2023
2022
2023 vs 2022
2,802
3,138
3,528
-21%
Adjusted net operating income
10,942
17,479
-37%
130
125
316
-59%
including adjusted income from equity affiliates
539
1,335
-60%
47.7%
44.6%
54.4%
Effective tax rate (15)
50.0%
50.8%
3,117
2,557
2,219
+40%
Organic investments (1)
10,232
7,507
+36%
(4,306)
(514)
105
ns
Net acquisitions (1)
(2,706)
2,520
ns
(1,189)
2,043
2,324
ns
Net investments (1)
7,526
10,027
-25%
4,690
5,165
4,988
-6%
Cash flow from operations excluding working capital (CFFO) (1)
19,126
26,080
-27%
5,708
4,240
4,035
+41%
Cash flow from operating activities
18,531
27,654
-33%
Exploration & Production adjusted net operating income
was:
- $2,802 million in the fourth quarter 2023, down 11%
quarter-to-quarter primarily driven by lower oil prices,
- $10,942 million in 2023, down 37% year-on-year, mainly due to
lower oil and gas prices.
Cash flow from operations excluding working capital (CFFO)
was:
- $4,690 million in the fourth quarter 2023, down 9%
quarter-to-quarter, primarily driven by lower oil prices,
- $19,126 million in 2023, down 27% year-on-year, mainly due to
lower oil and gas prices.
4.2 Integrated LNG
4.2.1 Production
4Q23
3Q23
4Q22
4Q23 vs 4Q22
Hydrocarbon production for LNG
2023
2022
2023 vs 2022
464
433
503
-8%
Integrated LNG (kboe/d)
449
469
-4%
58
54
58
-2%
Liquids (kb/d)
58
53
+10%
2,212
2,056
2,420
-9%
Gas (Mcf/d)
2,128
2,267
-6%
464
433
445
+4%
Integrated LNG excluding Novatek (kboe/d)
449
413
+9%
4Q23
3Q23
4Q22
4Q23 vs 4Q22
Liquefied Natural Gas in Mt
2023
2022
2023 vs 2022
11.8
10.5
12.7
-7%
Overall LNG sales
44.3
48.1
-8%
4.0
3.7
4.4
-10%
incl. Sales from equity production*
15.2
17.0
-10%
10.8
9.4
11.4
-6%
incl. Sales by TotalEnergies from equity production and third party
purchases
40.1
42.8
-6%
* The Company’s equity production may be sold by TotalEnergies
or by the joint ventures.
Hydrocarbon production for LNG (excluding Novatek) was up 7%
quarter-to-quarter, reflecting lower unplanned shutdowns. For
full-year 2023, hydrocarbon production for LNG (excluding Novatek)
was up 9% compared to 2022 due to increased supply to NLNG in
Nigeria and higher availability of Ichthys LNG in Australia and
Snøvhit in Norway.
In the fourth quarter 2023, LNG sales increased 13%
quarter-to-quarter, mainly due to higher production and higher spot
volumes.
For full-year 2023, LNG sales were down 8% compared to 2022,
mainly due to lower spot volumes related to lower demand in Europe
as a result of a milder winter weather and high inventories.
4.2.2 Results
4Q23
3Q23
4Q22
4Q23 vs 4Q22
In millions of dollars
2023
2022
2023 vs 2022
1,456
1,342
2,408
-40%
Adjusted net operating income
6,200
11,169
-44%
500
385
1,213
-59%
including adjusted income from equity affiliates
2,103
5,637
-63%
790
495
195
x4.1
Organic investments (1)
2,063
519
x4
48
84
19
x2.5
Net acquisitions (1)
1,096
(47)
ns
838
579
214
x3.9
Net investments (1)
3,159
472
x6.7
1,763
1,648
2,688
-34%
Cash flow from operations excluding working capital (CFFO) (1)
7,293
9,784
-25%
2,702
872
134
x20.2
Cash flow from operating activities
8,442
9,604
-12%
Integrated LNG adjusted net operating income was $1,456 million
in the fourth quarter 2023, up 8% quarter-to-quarter, reflecting
the evolution of prices and production volumes. For full-year 2023,
Integrated LNG adjusted net operating income was $6,200 million,
down 37% year-on-year (excluding Novatek), mainly due to the
exceptional environment in 2022 linked to the energy crisis in
Europe resulting from the Russia-Ukraine conflict.
Cash flow from operations excluding working capital (CFFO) for
Integrated LNG was $1,763 million in the fourth quarter 2023, up 7%
quarter-to-quarter, reflecting the evolution of prices and
production volumes.
Integrated LNG CFFO was down 25% year-on-year (excluding
Novatek), mainly due to lower LNG prices that were partially offset
by high margins captured in 2022 on LNG cargoes delivered in
2023.
4.3 Integrated Power
4.3.1 Capacities, productions, clients and sales
4Q23
3Q23
4Q22
4Q23 vs 4Q22
Integrated Power
2023
2022
2023 vs 2022
8.0
8.9
9.4
-16%
Net power production (TWh) *
33.4
33.2
+1%
5.5
5.4
3.3
+65%
o/w power production from renewables
18.9
10.4
+82%
2.5
3.5
6.1
-59%
o/w CCGT
14.5
22.8
-36%
17.3
15.9
12.0
+44%
Portfolio of power generation net installed capacity (GW) **
17.3
12.0
+44%
13.0
11.6
7.7
+69%
o/w renewables
13.0
7.7
+69%
4.3
4.3
4.3
-
o/w CCGT
4.3
4.3
-
80.1
80.5
69.0
+16%
Portfolio of renewable power generation gross capacity (GW) **,***
80.1
69.0
+16%
22.4
20.2
16.8
+33%
o/w installed capacity
22.4
16.8
+33%
5.9
6.0
6.1
-3%
Clients power - BtB and BtC (Million) **
5.9
6.1
-3%
2.8
2.8
2.7
+1%
Clients gas - BtB and BtC (Million) **
2.8
2.7
+1%
13.9
11.2
14.6
-5%
Sales power - BtB and BtC (TWh)
52.1
55.3
-6%
30.7
13.8
28.1
+9%
Sales gas - BtB and BtC (TWh)
100.9
96.3
+5%
* Solar, wind, hydroelectric and combined-cycle gas turbine
(CCGT) plants.
** End of period data.
*** Includes 20% of Adani Green Energy Ltd’s gross capacity
effective first quarter 2021, 50% of Clearway Energy Group’s gross
capacity effective third quarter 2022 and 49% of Casa dos Ventos’
gross capacity effective first quarter 2023.
Net power production was 8.0 TWh in the fourth quarter 2023,
down 10% quarter-to-quarter due to lower CCGT generation. For the
full-year 2023, net power production was 33.4 TWh, up 1%
year-on-year as lower generation from flexible capacity, whose
utilization rate was exceptional in 2022 due to the energy crisis
in Europe, was more than compensated by growing electricity
generation from renewables that is related to the integration of
100% of Total Eren and contribution from Clearway in the US and
Casa dos Ventos in Brazil.
Gross installed renewable power generation capacity reached more
than 22 GW at the end of the fourth quarter 2023, up by more than 2
GW quarter-to-quarter, including 1.3 GW installed in the US
(Clearway, Danish) and 0.5 GW from the creation of a new 50/50 JV
with AGEL in India. In 2023, gross installed renewable capacity
grew by nearly 6 GW.
4.3.2 Results
4Q23
3Q23
4Q22
4Q23 vs 4Q22
In millions of dollars
2023
2022
2023 vs 2022
527
506
481
+10%
Adjusted net operating income
1,853
975
+90%
21
37
88
-76%
including adjusted income from equity affiliates
137
201
-32%
674
578
455
+48%
Organic investments (1)
2,582
1,385
+86%
532
1,354
(230)
ns
Net acquisitions (1)
2,363
2,136
+11%
1,206
1,932
225
x5.4
Net investments (1)
4,945
3,521
+40%
705
516
439
+61%
Cash flow from operations excluding working capital (CFFO) (1)
2,152
970
x2.2
638
1,936
861
-26%
Cash flow from operating activities
3,573
66
x54.1
Integrated Power adjusted net operating income was:
- $527 million in the fourth quarter 2023, up 10% year-on-year
and up 4% quarter-to-quarter due to performance of its integrated
electricity portfolio,
- $1,853 million in 2023, up 90% year-on-year, demonstrating the
performance of its integrated business model along the power value
chain: renewables, CCGT, trading, and B2B & B2C marketing.
Integrated Power cash flow from operations excluding working
capital (CFFO) was:
- $705 million in the fourth quarter 2023, up 61% year-on-year
and 37% quarter-to-quarter, as the fourth quarter further benefited
from dividend distributions from equity affiliates,
- $2,152 million in 2023, more than twice 2022 CFFO, with all the
segments of the value chain contributing to growth.
4.4 Downstream (Refining & Chemicals and Marketing &
Services)
4.4.1 Results
4Q23
3Q23
4Q22
4Q23 vs 4Q22
In millions of dollars
2023
2022
2023 vs 2022
939
1,822
1,821
-48%
Adjusted net operating income
6,112
8,852
-31%
1,504
625
1,023
+47%
Organic investments (1)
3,105
2,354
+32%
(1,679)
(115)
(28)
ns
Net acquisitions (1)
(2,042)
(159)
ns
(175)
510
995
ns
Net investments (1)
1,063
2,195
-52%
1,692
2,205
1,681
+1%
Cash flow from operations excluding working capital (CFFO) (1)
8,171
10,069
-19%
6,584
2,266
939
x7
Cash flow from operating activities
9,914
11,787
-16%
4.5 Refining & Chemicals
4.5.1 Refinery and petrochemicals throughput and utilization
rates
4Q23
3Q23
4Q22
4Q23 vs 4Q22
Refinery throughput and utilization rate*
2023
2022
2023 vs 2022
1,381
1,489
1,389
-1%
Total refinery throughput (kb/d)
1,436
1,472
-2%
444
489
312
+42%
France
414
348
+19%
582
589
580
-
Rest of Europe
592
623
-5%
355
410
497
-29%
Rest of world
431
501
-14%
79%
84%
77%
Utilization rate based on crude only**
81%
82%
* Includes refineries in Africa reported in the Marketing &
Services segment.
** Based on distillation capacity at the beginning of the
year.
4Q23
3Q23
4Q22
4Q23 vs 4Q22
Petrochemicals production and utilization rate
2023
2022
2023 vs 2022
1,114
1,330
1,095
+2%
Monomers* (kt)
4,896
5,005
-2%
985
1,070
917
+7%
Polymers (kt)
4,130
4,549
-9%
60%
75%
66%
Steam cracker utilization rate**
69%
76%
* Olefins.
** Based on olefins production from steam crackers and their
treatment capacity at the start of the year.
Refining throughput was:
- down 7% quarter-on-quarter mainly due to turnarounds at Satorp
and Antwerp and the gradual restart of the Port Arthur
refinery,
- down 2% year-on-year in 2023 mainly due to a slightly lower
refinery utilization rate reflecting the major turnaround schedule
of the year.
Petrochemicals production was:
- down 16% quarter-on-quarter for monomers and 8% for polymers
due to weak demand for chemicals mainly in Europe impacting steam
cracker utilization rate,
- down 2% year-on-year in 2023 for monomers and 9% for polymers
for the same reasons, with monomers partially compensated by the
ramp up of ethane cracker unit in Port Arthur in the US.
4.5.2 Results
4Q23
3Q23
4Q22
4Q23 vs 4Q22
In millions of dollars
2023
2022
2023 vs 2022
633
1,399
1,487
-57%
Adjusted net operating income
4,654
7,302
-36%
1,002
386
585
+71%
Organic investments (1)
2,040
1,319
+55%
(11)
(97)
(5)
ns
Net acquisitions (1)
(118)
(38)
ns
991
289
580
+71%
Net investments (1)
1,922
1,281
+50%
1,173
1,618
1,144
+3%
Cash flow from operations excluding working capital (CFFO) (1)
5,853
7,704
-24%
4,825
2,060
232
x20.8
Cash flow from operating activities
7,957
8,663
-8%
Refining & Chemicals adjusted net operating income was
- $633 million in the fourth quarter 2023, down 55% sequentially
due to lower refining margins, turnarounds at Satorp in Saudi
Arabia, the Port Arthur refinery in the US and at the Antwerp
refinery in Belgium, and weak petrochemical demand, particularly in
Europe,
- $4,654 million in full-year 2023, down 36% year-on-year, due to
the decrease in refining margins and refining throughput.
Cash flow from operations excluding working capital (CFFO)
was
- $1,173 million in the fourth quarter 2023, down 28%
sequentially for the same reasons as above, although partially
offset by dividends received from equity affiliates during the
fourth quarter,
- $5,853 million in full-year 2023 down 24% year-on-year for the
same reasons.
4.6 Marketing & Services
4.6.1 Petroleum product sales
4Q23
3Q23
4Q22
4Q23 vs 4Q22
Sales in kb/d*
2023
2022
2023 vs 2022
1,341
1,399
1,450
-7%
Total Marketing & Services sales
1,375
1,468
-6%
755
792
816
-8%
Europe
776
824
-6%
587
608
634
-7%
Rest of world
599
644
-7%
* Excludes trading and bulk refining sales.
Sales of petroleum products were down year-on-year by 7% in the
fourth quarter and by 6% in full-year 2023 due to the lower
industrial and commercial demand mainly in Europe and the disposal
of 50% of the fuel distribution business in Egypt, which were
partially offset by recovery in the aviation business.
4.6.2 Results
4Q23
3Q23
4Q22
4Q23 vs 4Q22
In millions of dollars
2023
2022
2023 vs 2022
306
423
334
-8%
Adjusted net operating income
1,458
1,550
-6%
502
239
438
+15%
Organic investments (1)
1,065
1,035
+3%
(1,668)
(18)
(23)
ns
Net acquisitions (1)
(1,924)
(121)
ns
(1,166)
221
415
ns
Net investments (1)
(859)
914
ns
519
587
537
-3%
Cash flow from operations excluding working capital (CFFO) (1)
2,318
2,365
-2%
1,759
206
707
x2.5
Cash flow from operating activities
1,957
3,124
-37%
Marketing & Services adjusted net operating income was $306
million for the fourth quarter and $1,458 million for the full-year
2023, decreasing 8% and 6%, respectively, year-on-year due to lower
sales.
Cash flow from operations excluding working capital (CFFO)
decreased by 3% year-on-year to $519 million in the fourth quarter
2023 and by 2% year-on-year to $2,318 million in full-year
2023.
5. TotalEnergies results
5.1 Adjusted net operating income from business segments
Adjusted net operating income from business segments was:
- $5,724 million in the fourth quarter 2023, compared to $6,808
million in the third quarter 2023 mainly due to lower oil prices
and refining margins,
- $25,107 million in 2023, compared to $38,475 million in 2022
due to lower oil & gas prices and lower refining margins
compared to the exceptional environment in 2022.
5.2 Adjusted net income(1) (TotalEnergies share)
TotalEnergies adjusted net income was $5,226 million in the
fourth quarter 2023 versus $6,453 million in the third quarter
2023, for the same reasons.
Adjustments to net income(1) were ($163) million in the fourth
quarter 2023, consisting mainly of:
- $1.8 billion gain on asset sales, including the sale of our
retail network in Germany and of our Canadian assets,
- ($1.0) billion related to asset impairments, primarily related
to mature upstream assets in Congo and timing effect of taxes at Al
Shaheen in Qatar,
- ($0.3) billion in inventory effects and effects of changes in
fair value,
- ($0.6) billion in other adjustments, primarily related to the
devaluation of the Argentine peso and the CCGT Infra-Marginal
Income Contribution in France
For the full-year 2023, these items amounted to ($1,792)
million, consisting mainly of:
- $2.0 billion gain on asset sales, including the sale of our
retail network in Germany and of our Canadian assets,
- ($2.2) billion related to asset impairments, primarily related
to upstream assets in Kenya and upstream mature assets in Congo, as
well as Al Shaheen in Qatar for timing effect of taxes, the Yunlin
offshore wind project in Taiwan, divestment projects of
Naphtachimie to INEOS and the Natref refinery in South Africa, as
well as client portfolios related to goodwills from gas & power
marketing activities in Belgium, Spain, and France,
- ($0.7) billion in inventory effects and effects of changes in
fair value,
- ($0.9) billion in other adjustments, notably the revaluation of
Total Eren’s previously held equity interest, the devaluation of
the Argentine peso, the CCGT Infra-Marginal Income Contribution in
France and the exceptional European solidarity contribution.
TotalEnergies’ average tax rate was:
- 37.7% in the fourth quarter 2023 versus 33.4% in the third
quarter 2023, mainly related to the Canadian oil sands assets
disposals and to the higher relative weight of highly taxed North
Sea assets in Exploration & Production,
- 37.5% in 2023 versus 40.9% in 2022, mainly due to the lower
relative weight of Exploration & Production in Company results,
in line with the evolution of oil and gas prices.
5.3 Adjusted earnings per share
Adjusted diluted net earnings per share were:
- $2.16 in the fourth quarter 2023, based on 2,387 million
weighted average diluted shares, compared to $2.63 in the third
quarter 2023,
- $9.40 in 2023, based on 2,434 million weighted average diluted
shares, compared to $13.94 in 2022.
As of December 31, 2023, the number of diluted shares was 2,373
million.
As part of its shareholder return policy, TotalEnergies
repurchased:
- 43.7 million shares for cancellation in the fourth quarter 2023
for $2.9 billion,
- 142.6 million shares for cancellation in 2023 for $9.0
billion.
5.4 Acquisitions – asset sales
Acquisitions were:
- $698 million in the fourth quarter 2023, primarily related to
Integrated Power, including the creation of a new joint venture
with AGEL in India and the acquisition of 50% of R�nesans Enerji in
Turkey,
- $6,428 million in 2023, mainly related to the above items, as
well as the acquisition of the remaining 70.4% of Total Eren, a 20%
interest in the SARB and Umm Lulu concession in the United Arab
Emirates, the acquisition of a 6.25% stake in the NFE LNG project
and 9.375% in NFS LNG project in Qatar, and a 34% stake in a joint
venture with Casa dos Ventos in Brazil.
Divestments were:
- $6,102 million in the fourth quarter 2023, primarily due to the
sale of our Canadian assets to ConocoPhillips and Suncor and the
sale of our retail network in Germany to Alimentation
Couche-Tard,
- $7,717 million in 2023, due to the above items as well as the
sale of a 40% interest to ADNOC in Block 20 in Angola and a partial
farm down in an offshore wind project off the coast of New York and
New Jersey in the US.
5.5 Net cash flow(1)
TotalEnergies' net cash flow was:
- $7,765 million in the fourth quarter 2023 compared to $4,249
million in the third quarter, reflecting the $840 million decrease
in CFFO that was more than offset by the $4,356 million decrease in
net investments to $735 million in the fourth quarter 2023,
- $19,109 million in 2023 compared to $29,426 million in 2022,
reflecting the $9,783 million decrease in CFFO and the $534 million
increase in net investments to $16,837 million in 2023.
2023 cash flow from operating activities was $40,679 million
versus CFFO of $35,946 million, which reflects positive variation
from a working capital release of $4.8 billion, of which around $2
billion is related to exceptional fiscal debt variations that are
mainly due to the change of the gas and power price cap
compensation system in France and the disposal of our German retail
network to Alimentation Couche Tard.
5.6 Profitability
Return on equity was 20.4% for the twelve months ended December
31, 2023.
In millions of dollars
January 1, 2023
October 1, 2022
January 1, 2022
December 31, 2023
September 30, 2023
December 31, 2022
Adjusted net income (1)
23,450
25,938
36,657
Average adjusted shareholders' equity
115,006
116,529
112,831
Return on equity (ROE)
20.4%
22.3%
32.5%
Return on average capital employed(1) was 18.9% for the twelve
months ended December 31, 2023.
In millions of dollars
January 1, 2023
October 1, 2022
January 1, 2022
December 31, 2023
September 30, 2023
December 31, 2022
Adjusted net operating income (1)
24,684
27,351
38,212
Average capital employed (1)
130,517
135,757
135,312
ROACE (1)
18.9%
20.1%
28.2%
6. TotalEnergies SE statutory accounts
Net income for TotalEnergies SE, the parent company, amounted to
€11,232 million in 2023, compared to €7,835 million in 2022.
7. Annual 2024 Sensitivities(16)
Change Estimated impact on adjustednet operating
income Estimated impact on cash flow from operations
Dollar +/- 0.1 $ per € -/+ 0.1 B$ ~0 B$ Average liquids price (17)
+/- 10 $/b +/- 2.3 B$ +/- 2.8 B$ European gas price - NBP / TTF +/-
2 $/Mbtu +/- 0.4 B$ +/- 0.4 B$ European Refining Margin Marker
(ERM) +/- 10 $/t +/- 0.4 B$ +/- 0.5 B$
8. Outlook
At the start of 2024, Brent prices are navigating around 80 $/b
in an uncertain economic environment. Oil markets are facing
geopolitical tensions in the Middle East on one hand and non-OPEC
production growth balanced by OPEC+ policy on the other hand.
According to the IEA, global oil demand is anticipated to grow 1.2
Mb/d in 2024, which is in line with the average annual demand
growth rate during 2000-2023 of 1.2%/yr.
LNG markets should remain in tension due to very limited LNG
capacity additions expected in 2024 (2%) and growing demand thanks
to lower LNG prices. TotalEnergies expects LNG sales above 40 Mt
over the year. Given the evolution of oil and gas prices in recent
months and the lag effect on price formulas, TotalEnergies
anticipates that its average LNG selling price should be stable
around $10/Mbtu in the first quarter 2024.
First quarter 2024 expected hydrocarbon production should be
above 2.4 Mboe/d due to the start-up of Mero 2 in Brazil and the
disposals of Canadian upstream assets, effective during fourth
quarter 2023. For 2024, TotalEnergies anticipates hydrocarbon
production will grow 2% compared to 2023 excluding Canada.
Production will benefit from several additional project start-ups,
including Tyra in Denmark and Anchor in the US.
Full-year refining utilization rate is expected to increase to
above 85% in 2024 with no major turnarounds planned.
Momentum continues in Integrated Power growth in 2024 with cash
flow before working capital (CFFO) forecasted to increase to
between $2.5 and $3 billion. The increase is supported by net
electricity generation increase to >45 TWh in the context of
renewables gross installed capacity increasing by ~6 GW to 28
GW.
In 2024, TotalEnergies expects net investments of $17-18
billion, of which $5 billion dedicated to Integrated Power.
Confident in the strong fundamentals of the Company, which
celebrates its 100 year anniversary in 2024, the Board of Directors
confirmed a shareholder return policy for 2024 targeting >40%
CFFO payout, which will combine an increase in interim dividends of
6.8% to €0.79/share and $2 billion of share buybacks in the first
quarter of 2024, in line with the following cash flow allocation
priorities:
- a sustainable ordinary dividend through cycles, that was not
cut during the Covid crisis, and whose increase is supported by
underlying cash flow growth,
- investments to support of a strategy balanced between the
various energies,
- maintaining a strong balance sheet,
- buybacks to share surplus cash flow generated at high
prices.
* * * *
To listen to the conference call with CEO Patrick Pouyanné and
CFO Jean-Pierre Sbraire today at 10:30am (Paris time), please log
on to totalenergies.com or dial
+33 (0) 1 70 37 71 66, +44 (0) 33 0551 0200 or +1 786 697 3501. 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)
4Q23
3Q23
4Q22
4Q23 vs 4Q22
Combined liquids and gasproduction by region (kboe/d)
2023
2022
2023 vs 2022
592
550
918
-35%
Europe
565
918
-38%
451
459
477
-5%
Africa
471
474
-1%
788
781
703
+12%
Middle East and North Africa
764
687
+11%
376
445
442
-15%
Americas
426
425
-
256
241
272
-6%
Asia-Pacific
257
262
-2%
2,462
2,476
2,812
-12%
Total production
2,483
2,765
-10%
331
327
670
-51%
includes equity affiliates
335
682
-51%
4Q23
3Q23
4Q22
4Q23 vs 4Q22
Liquids production by region (kb/d)
2023
2022
2023 vs 2022
236
229
282
-16%
Europe
232
280
-17%
328
335
358
-8%
Africa
348
358
-3%
629
627
565
+11%
Middle East and North Africa
612
552
+11%
207
268
259
-20%
Americas
251
238
+6%
106
102
106
-1%
Asia-Pacific
107
91
+18%
1,506
1,561
1,570
-4%
Total production
1,550
1,519
+2%
141
156
199
-29%
includes equity affiliates
150
203
-26%
4Q23
3Q23
4Q22
4Q23 vs 4Q22
Gas production by region (Mcf/d)
2023
2022
2023 vs 2022
1,921
1,733
3,412
-44%
Europe
1,801
3,426
-47%
612
619
592
+3%
Africa
614
584
+5%
881
844
745
+18%
Middle East and North Africa
833
739
+13%
941
989
1,030
-9%
Americas
975
1,049
-7%
803
736
902
-11%
Asia-Pacific
805
961
-16%
5,158
4,921
6,681
-23%
Total production
5,028
6,759
-26%
1,027
933
2,535
-60%
includes equity affiliates
1,004
2,581
-61%
9.2 Downstream (Refining & Chemicals and Marketing &
Services)
4Q23
3Q23
4Q22
4Q23 vs 4Q22
Petroleum product sales by region (kb/d)
2023
2022
2023 vs 2022
1,789
1,838
1,665
+7%
Europe
1,734
1,732
-
610
621
743
-18%
Africa
624
732
-15%
1,055
946
740
+43%
Americas
942
836
+13%
697
624
558
+25%
Rest of world
652
591
+10%
4,151
4,029
3,706
+12%
Total consolidated sales
3,953
3,891
+2%
402
407
388
+4%
Includes bulk sales
405
411
-1%
2,408
2,222
1,868
+29%
Includes trading
2,173
2,012
+8%
4Q23
3Q23
4Q22
4Q23 vs 4Q22
Petrochemicals production* (kt)
2023
2022
2023 vs 2022
845
1,018
835
+1%
Europe
3,936
4,196
-6%
528
611
477
+11%
Americas
2,366
2,387
-1%
725
771
700
+4%
Middle East and Asia
2,724
2,971
-8%
* Olefins, polymers.
9.3 Integrated Power
9.3.1 Net power production
4Q23
3Q23
Net power production (TWh)
Solar
Onshore Wind
Offshore Wind
Gas
Others
Total
Solar
Onshore Wind
Offshore Wind
Gas
Others
Total
France
0.1
0.3
-
1.6
0.0
2.0
0.2
0.1
-
2.0
0.0
2.3
Rest of Europe
0.0
0.5
0.6
0.6
0.1
1.8
0.1
0.4
0.1
1.1
0.0
1.7
Africa
0.0
0.0
-
-
-
0.0
0.0
0.0
-
-
-
0.0
Middle East
0.2
-
-
0.3
-
0.4
0.2
-
-
0.5
-
0.7
North America
0.4
0.5
-
-
-
0.9
0.6
0.4
-
-
-
1.1
South America
0.1
0.9
-
-
-
1.0
0.1
0.9
-
-
-
1.0
India
1.3
0.2
-
-
-
1.5
1.4
0.4
-
-
-
1.7
Pacific Asia
0.3
0.0
0.1
-
-
0.4
0.4
0.0
0.0
-
-
0.4
Total
2.4
2.3
0.7
2.5
0.1
8.0
3.0
2.2
0.2
3.5
0.0
8.9
9.3.2 Installed power generation net capacity
4Q23
3Q23
Installed power generation net capacity (GW) (19)
Solar
Onshore Wind
Offshore Wind
Gas
Others
Total
Solar
Onshore Wind
Offshore Wind
Gas
Others
Total
France
0.5
0.3
-
2.6
0.1
3.6
0.5
0.3
-
2.6
0.1
3.5
Rest of Europe
0.2
0.9
0.6
1.4
0.1
3.2
0.2
0.9
0.6
1.4
0.0
3.1
Africa
0.1
0.0
-
-
0.0
0.1
0.1
0.0
-
-
0.0
0.1
Middle East
0.4
-
-
0.3
-
0.7
0.4
-
-
0.3
-
0.7
North America
2.0
0.8
-
-
0.2
3.0
1.5
0.8
-
-
0.0
2.3
South America
0.4
0.8
-
-
-
1.2
0.5
0.7
-
-
-
1.2
India
3.8
0.5
-
-
-
4.3
3.5
0.4
-
-
-
3.9
Pacific Asia
1.0
0.0
0.1
-
0.0
1.1
1.0
0.0
0.1
-
0.0
1.0
Total
8.5
3.4
0.7
4.3
0.5
17.3
7.6
3.2
0.6
4.3
0.2
15.9
9.3.3 Power generation gross capacity from renewables
4Q23
3Q23
Installed power generation gross capacity from renewables (GW)
(20),(21)
Solar
Onshore Wind
Offshore Wind
Other
Total
Solar
Onshore Wind
Offshore Wind
Other
Total
France
0.9
0.6
-
0.1
1.6
0.8
0.6
-
0.1
1.6
Rest of Europe
0.2
1.1
1.1
0.2
2.6
0.2
1.1
1.1
0.0
2.4
Africa
0.1
0.0
-
0.0
0.2
0.1
0.0
-
0.0
0.2
Middle East
1.2
-
-
-
1.2
1.2
-
-
-
1.2
North America
4.9
2.1
-
0.5
7.5
3.9
2.1
-
0.1
6.2
South America
0.4
1.2
-
-
1.6
0.4
1.2
-
-
1.6
India
5.4
0.5
-
-
5.9
5.1
0.4
-
-
5.5
Asia-Pacific
1.5
0.0
0.3
0.0
1.8
1.4
0.0
0.2
0.0
1.6
Total
14.6
5.5
1.4
0.8
22.4
13.1
5.5
1.3
0.3
20.2
4Q23
3Q23
Power generation gross capacity from renewables in construction
(GW) (20),(21)
Solar
Onshore Wind
Offshore Wind
Other
Total
Solar
Onshore Wind
Offshore Wind
Other
Total
France
0.2
0.0
0.0
0.0
0.2
0.2
0.0
0.0
0.0
0.3
Rest of Europe
0.4
0.0
-
0.1
0.5
0.4
0.0
-
0.0
0.5
Africa
0.0
-
-
0.0
0.0
0.0
-
-
0.0
0.0
Middle East
0.1
-
-
-
0.1
0.1
-
-
-
0.1
North America
1.4
0.1
-
0.2
1.7
2.3
0.1
-
0.5
3.0
South America
0.0
0.4
-
0.0
0.4
0.1
0.1
-
-
0.2
India
0.6
-
-
-
0.6
0.4
0.1
-
-
0.4
Asia-Pacific
0.0
0.0
0.4
-
0.4
0.1
0.0
0.5
-
0.6
Total
2.8
0.6
0.4
0.3
4.1
3.8
0.3
0.5
0.6
5.2
4Q23
3Q23
Power generation gross capacity from renewables in development
(GW) (20),(21)
Solar
Onshore Wind
Offshore Wind
Other
Total
Solar
Onshore Wind
Offshore Wind
Other
Total
France
0.7
0.4
-
0.0
1.2
0.9
0.5
-
0.0
1.4
Rest of Europe
4.6
0.3
7.4
0.1
12.4
4.6
0.5
7.4
0.1
12.6
Africa
1.1
0.3
-
0.3
1.7
1.2
0.3
-
0.0
1.5
Middle East
1.5
0.7
-
-
2.2
1.7
0.7
-
-
2.4
North America
8.2
3.4
4.1
5.4
21.1
8.3
3.3
4.1
5.2
20.9
South America
1.4
0.8
-
0.4
2.6
1.4
1.3
-
0.4
3.0
India
4.7
0.2
-
-
4.9
4.0
0.1
-
-
4.1
Asia-Pacific
2.9
0.4
2.9
1.3
7.5
3.4
1.3
2.9
1.6
9.2
Total
25.3
6.5
14.4
7.5
53.7
25.6
7.9
14.4
7.2
55.2
10. Alternative Performance Measures (Non-GAAP
measures)
10.1 Adjustment items to net income (TotalEnergies
share)
4Q23
3Q23
4Q22
In millions of dollars
2023
2022
5,063
6,676
3,264
Net income (TotalEnergies share)
21,384
20,526
180
(749)
(5,585)
Special items affecting net income (TotalEnergies share)
(1,105)
(17,310)
1,844
-
-
Gain (loss) on asset sales
2,047
1,391
(51)
-
(14)
Restructuring charges
(56)
(42)
(1,023)
(614)
(3,845)
Impairments
(2,166)
(15,743)
(590)
(135)
(1,726)
Other *
(930)
(2,916)
(535)
607
(705)
After-tax inventory effect : FIFO vs. replacement cost
(699)
501
192
365
1,993
Effect of changes in fair value
12
1,138
(163)
223
(4,297)
Total adjustments affecting net income
(1,792)
(15,671)
5,226
6,453
7,561
Adjusted net income (TotalEnergies share)
23,176
36,197
* Other adjustment items for net income in the fourth quarter
amounted to ($590) million mainly due to the impact of the European
solidarity contribution and of the Electricity Generation
Infra-Marginal Income Contribution in France and of the devaluation
of the Argentine peso. Other adjustment items for net income for
the year amounted to ($930) million including $388 million of
revaluation of Total Eren’s previously held equity interest and
($1,318) million mainly due to the impact of the European
solidarity contribution and of the Electricity Generation
Infra-Marginal Income Contribution in France and of the devaluation
of the Argentine peso.
10.2 Reconciliation of adjusted EBITDA with consolidated
financial statements
10.2.1 Reconciliation of net income (TotalEnergies share) to
adjusted EBITDA
4Q23
3Q23
4Q22
4Q23 vs 4Q22
In millions of dollars
2023
2022
2023 vs 2022
5,063
6,676
3,264
+55%
Net income (TotalEnergies share)
21,384
20,526
+4%
163
(223)
4,297
-96%
Less: adjustment items to net income (TotalEnergies share)
1,792
15,671
-89%
5,226
6,453
7,561
-31%
Adjusted net income (TotalEnergies share)
23,176
36,197
-36%
Adjusted items
57
82
210
-73%
Add: non-controlling interests
274
460
-40%
3,004
3,130
4,530
-34%
Add: income taxes
12,939
20,565
-37%
3,060
2,967
3,204
-4%
Add: depreciation, depletion and impairment of tangible assets and
mineral interests
12,012
12,316
-2%
115
88
111
+4%
Add: amortization and impairment of intangible assets
394
400
-2%
660
726
719
-8%
Add: financial interest on debt
2,820
2,386
+18%
(426)
(384)
(338)
ns
Less: financial income and expense from cash & cash equivalents
(1,585)
(746)
ns
11,696
13,062
15,997
-27%
Adjusted EBITDA
50,030
71,578
-30%
10.2.2 Reconciliation of revenues from sales to adjusted EBITDA
and net income (TotalEnergies share)
4Q23
3Q23
4Q22
4Q23 vs 4Q22
In millions of dollars
2023
2022
2023 vs 2022
Adjusted items
54,765
54,413
63,884
-14%
Revenues from sales
218,945
263,206
-17%
(36,651)
(34,738)
(42,755)
ns
Purchases, net of inventory variation
(142,247)
(171,049)
ns
(6,956)
(7,346)
(7,027)
ns
Other operating expenses
(29,808)
(28,745)
ns
(174)
(245)
(250)
ns
Exploration costs
(575)
(574)
ns
169
142
636
-73%
Other income
504
1,349
-63%
(150)
64
(480)
ns
Other expense, excluding amortization and impairment of intangible
assets
(288)
(1,142)
ns
276
296
266
+4%
Other financial income
1,221
812
+50%
(180)
(186)
(150)
ns
Other financial expense
(722)
(533)
ns
597
662
1,873
-68%
Net income (loss) from equity affiliates
3,000
8,254
-64%
11,696
13,062
15,997
-27%
Adjusted EBITDA
50,030
71,578
-30%
Adjusted items
(3,060)
(2,967)
(3,204)
ns
Less: depreciation, depletion and impairment of tangible assets and
mineral interests
(12,012)
(12,316)
ns
(115)
(88)
(111)
ns
Less: amortization of intangible assets
(394)
(400)
ns
(660)
(726)
(719)
ns
Less: financial interest on debt
(2,820)
(2,386)
ns
426
384
338
+26%
Add: financial income and expense from cash & cash equivalents
1,585
746
x2.1
(3,004)
(3,130)
(4,530)
ns
Less: income taxes
(12,939)
(20,565)
ns
(57)
(82)
(210)
ns
Less: non-controlling interests
(274)
(460)
ns
(163)
223
(4,297)
ns
Add: adjustment (TotalEnergies share)
(1,792)
(15,671)
ns
5,063
6,676
3,264
+55%
Net income (TotalEnergies share)
21,384
20,526
+4%
10.3 Investments – Divestments (TotalEnergies share)
Reconciliation of Cash flow used in investing activities to Net
investments
4Q23
3Q23
4Q22
4Q23 vs 4Q22
In millions of dollars
2023
2022
2023 vs 2022
632
4,987
3,681
-83%
Cash flow used in investing activities ( a )
16,454
15,116
+9%
-
-
(50)
-100%
Other transactions with non-controlling interests ( b )
-
(50)
-100%
3
(17)
335
-99%
Organic loan repayment from equity affiliates ( c )
(2)
1,630
ns
(3)
43
(233)
ns
Change in debt from renewable projects financing ( d ) *
78
(589)
ns
71
64
61
+16%
Capex linked to capitalized leasing contracts ( e )
259
177
+46%
32
14
8
x4
Expenditures related to carbon credits ( f )
48
19
x2.5
735
5,091
3,802
-81%
Net investments ( a + b + c + d + e + f = g - i + h )
16,837
16,303
+3%
(5,404)
808
(133)
ns
of which net acquisitions ( g-i )
(1,289)
4,451
ns
698
1,992
292
x2.4
Acquisitions ( g )
6,428
5,872
+9%
6,102
1,184
425
x14.4
Asset sales ( i )
7,717
1,421
x5.4
-
(43)
109
-100%
Change in debt from renewable projects (partner share)
(81)
279
ns
6,139
4,283
3,935
+56%
of which organic investments ( h )
18,126
11,852
+53%
214
346
287
-25%
Capitalized exploration
1,094
669
+64%
683
422
210
x3.3
Increase in non-current loans
1,845
954
+93%
(91)
(120)
(259)
ns
Repayment of non-current loans, excluding organic loan repayment
from equity affiliates
(524)
(1,082)
ns
(3)
-
(124)
ns
Change in debt from renewable projects (TotalEnergies share)
(3)
(310)
ns
* Change in debt from renewable projects (TotalEnergies share
and partner share).
10.4 Cash flow (TotalEnergies share)
Reconciliation of Cash flow from operating activities to Cash
flow from operations excluding working capital (CFFO), to DACF and
to Net cash flow
4Q23
3Q23
4Q22
4Q23 vs 4Q22
In millions of dollars
2023
2022
2023 vs 2022
16,150
9,496
5,618
x2.9
Cash flow from operating activities ( a )
40,679
47,367
-14%
8,377
(582)
(2,247)
ns
(Increase) decrease in working capital ( b ) *
5,526
2,831
+95%
(724)
764
(895)
ns
Inventory effect ( c )
(714)
501
ns
(0)
43
40
ns
Capital gain from renewable project sales ( d )
81
64
+25%
3
(17)
335
-99%
Organic loan repayments from equity affiliates ( e )
(2)
1,630
ns
8,500
9,340
9,135
-7%
Cash flow from operations excluding working capital (CFFO) ( f =
a - b - c + d + e )
35,946
45,729
-21%
(29)
(211)
(226)
ns
Financial charges
(505)
(1,296)
ns
8,529
9,551
9,361
-9%
Debt Adjusted Cash Flow (DACF)
36,451
47,025
-22%
6,139
4,283
3,935
+56%
Organic investments ( g )
18,126
11,852
+53%
2,361
5,058
5,200
-55%
Free cash flow after organic investments ( f - g )
17,820
33,877
-47%
735
5,091
3,802
-81%
Net investments ( h )
16,837
16,303
+3%
7,765
4,249
5,333
+46%
Net cash flow ( f - h )
19,109
29,426
-35%
* Changes in working capital are presented excluding the
mark-to-market effect of Integrated LNG and Integrated Power
sectors’ contracts.
10.5 Gearing ratio
In millions of dollars
12/31/2023
09/30/2023
12/31/2022
Current borrowings *
7,869
15,193
14,065
Other current financial liabilities
446
415
488
Current financial assets * , **
(6,256)
(6,585)
(8,556)
Net financial assets classified as held for sale *
17
(44)
(38)
Non-current financial debt *
32,722
33,947
36,987
Non-current financial assets *
(1,229)
(1,519)
(1,303)
Cash and cash equivalents
(27,263)
(24,731)
(33,026)
Net debt ( a )
6,306
16,676
8,617
Shareholders’ equity (TotalEnergies share)
116,753
115,767
111,724
Non-controlling interests
2,700
2,657
2,846
Shareholders' equity (b)
119,453
118,424
114,570
Gearing = a / ( a+b )
5.0%
12.3%
7.0%
Leases (c)
8,275
8,277
8,096
Gearing including leases ( a+c ) / ( a+b+c )
10.9%
17.4%
12.7%
* 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
Full-year 2023
In millions of dollars
Exploration &
Production
Integrated LNG
Integrated Power
Refining &
Chemicals
Marketing &
Services
Company
Adjusted net operating income
10,942
6,200
1,853
4,654
1,458
24,684
Capital employed at 12/31/2022
65,784
33,671
16,225
7,438
7,593
128,811
Capital employed at 12/31/2023
63,870
36,048
21,511
6,043
7,674
132,222
ROACE
16.9%
17.8%
9.8%
69.0%
19.1%
18.9%
10.7 Payout
In millions of dollars
2023
9M23
2022
Dividend paid (parent company shareholders) ( a )
7,517
5,648
9,986
Repayment of treasury shares
9,167
6,203
7,711
of which buy-backs ( b )
9,000
6,082
7,019
Cash flow from operations excluding working capital (CFFO) (c)
35,946
27,446
45,729
Payout ratio = ( a+b ) / c
46.0%
42.7%
37.2%
GLOSSARY
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.
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.
Net acquisitions is a non-GAAP financial measure and its
most directly comparable IFRS measure is Cash flow used in
investing activities. Net Acquisitions 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.
Net 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
Net Acquisitions (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 Net Acquisitions 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.
Payout is a non-GAAP financial measure. Payout is defined
as the ratio of the dividends and share buybacks 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:
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.
This press release presents the results for the fourth quarter
of 2023 and the full year of 2023 from the consolidated financial
statements of TotalEnergies SE as of December 31, 2023 (unaudited).
The audit procedures by the Statutory Auditors are underway. The
consolidated financial statements (unaudited) are available on the
website totalenergies.com. This document does not constitute the
annual financial report (rapport financier annuel) within the
meaning of article L.451.1.2 of the French monetary and financial
code (code monétaire et financier).
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 industrial strategy of TotalEnergies. This document may also
contain statements regarding the perspectives, objectives, areas of
improvement and goals of TotalEnergies, including with respect to
climate change and carbon neutrality (net zero emissions). 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 “envisions”, “intends”,
“anticipates”, “believes”, “considers”, “plans”, “expects”,
“thinks”, “targets”, “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 may prove to be
inaccurate in the future, 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, as well as economic and political developments,
changes in market conditions, loss of market share and changes in
consumer preferences, or pandemics such as the COVID-19 pandemic.
Additionally, certain financial information is based on estimates
particularly in the assessment of the recoverable value of assets
and potential impairments of assets relating thereto. Neither
TotalEnergies SE nor any of its subsidiaries assumes any obligation
to update publicly any forward-looking information or statement,
objectives or trends contained in this document whether as a result
of new information, future events or otherwise. 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 United
States Securities and Exchange Commission (“SEC”).
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. In addition to IFRS measures, certain
alternative performance indicators are presented, such as
performance indicators excluding the adjustment items described
below (adjusted operating income, adjusted net operating income,
adjusted net income), return on equity (ROE), return on average
capital employed (ROACE), gearing ratio, operating cash flow before
working capital changes, the shareholder rate of return. 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.
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 operating income, 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 (€-$) exchange rate for the applicable period and are
not the result of financial statements prepared in euros.
Cautionary Note to U.S. Investors – The SEC permits oil and gas
companies, in their filings with the SEC, to separately disclose
proved, probable and possible reserves that a company has
determined in accordance with SEC rules. We may use certain terms
in this press release, such as “potential reserves” or “resources”,
that the SEC’s guidelines strictly prohibit us from including in
filings with the SEC. U.S. investors are urged to consider closely
the disclosure in the Form 20-F of TotalEnergies SE, File N°
1-10888, available from us at 2, place Jean Millier – Arche Nord
Coupole/Regnault - 92078 Paris-La Défense Cedex, France, or at our
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 25 & 26 for the definitions and
further information on alternative performance measures (Non-GAAP
measures) and to page 21 and following for reconciliation
tables.
* Applicable to employees covered by the Common Corpus of
Employee Relations Agreements (SSC) i.e., around 14,000 employees
in France
** Applicable to employees of all fully owned companies in
France and of companies in which TotalEnergies holds more that 50%
in France, subject to agreement by their governing bodies.
(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.
* Applicable to employees of all fully owned companies in France
and of companies in which TotalEnergies holds more that 50% in
France, subject to agreement by their governing 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 is calculated from the adjusted net income less
the interest on the perpetual subordinated bonds.
(5) Average €-$ exchange rate: 1.0751 in the fourth quarter
2023, 1.0813 for 2023.
(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 indicator represents the average margin on variable
costs realized by TotalEnergies’ European refining business (equal
to the difference between the sales of refined products realized by
TotalEnergies’ European refining and the crude purchases as well as
associated variable costs, divided by refinery throughput in
tons).
(11) The six greenhouse gases in the Kyoto protocol, namely CO2,
CH4, N2O, HFCs, PFCs and SF6, with their respective GWP (Global
Warming Potential) as described in the 2007 IPCC report. HFCs, PFCs
and SF6 are virtually absent from the Company’s emissions or are
considered as non-material and are therefore not counted.
(12) Scope 1+2 GHG emissions of operated facilities are defined
as the sum of direct emissions of greenhouse gases from sites or
activities that are included in the scope of reporting (as defined
in the Company’s 2022 Universal Registration Document) and indirect
emissions attributable to brought-in energy (electricity, heat,
steam), excluding purchased industrial gases (H2).
(13) TotalEnergies reports Scope 3 GHG emissions, category 11,
which correspond to indirect GHG emissions related to the use by
customers of energy products, i.e., combustion of the products to
obtain energy. 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, biofuels
and gas value chains, i.e., the higher of the two production
volumes or sales to end customers. For TotalEnergies, in 2023, the
calculation of Scope 3 GHG emissions for the oil and biofuels value
chains considers products sales (higher than production) and for
the gas value chain, gas sales either as LNG or as part of direct
sales to B2B/B2C (higher than marketable gas production).
(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).
(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
2024. Actual results could vary significantly from estimates based
on the application of these sensitivities. The impact of the $-€
sensitivity on adjusted net operating income is essentially
attributable to Refining & Chemicals.
(17) In a 80 $/b Brent environment.
(18) End-of-period data.
(19) Includes 20% of the gross capacities of Adani Green Energy
Limited, 50% of Clearway Energy Group and, from 1Q23, 49% of Casa
dos Ventos.
(20) End-of-period data.
TotalEnergies financial statements
Fourth quarter and full-year 2023
consolidated account, IFRS
CONSOLIDATED STATEMENT OF INCOME TotalEnergies
(unaudited) (M$) (a)
4th quarter2023 3rd
quarter2023 4th quarter2022 Sales
59,237
59,017
68,582
Excise taxes
(4,472)
(4,604)
(4,629)
Revenues from sales
54,765
54,413
63,953
Purchases, net of inventory variation
(37,150)
(33,676)
(41,555)
Other operating expenses
(7,166)
(7,562)
(7,354)
Exploration costs
(174)
(245)
(250)
Depreciation, depletion and impairment of tangible assets and
mineral interests
(3,539)
(3,055)
(2,505)
Other income
2,685
535
584
Other expense
(802)
(928)
(2,828)
Financial interest on debt
(660)
(726)
(719)
Financial income and expense from cash & cash equivalents
439
459
357
Cost of net debt
(221)
(267)
(362)
Other financial income
303
311
266
Other financial expense
(189)
(186)
(150)
Net income (loss) from equity affiliates
(136)
754
(281)
Income taxes
(3,339)
(3,404)
(6,077)
Consolidated net income
5,037
6,690
3,441
TotalEnergies share
5,063
6,676
3,264
Non-controlling interests
(26)
14
177
Earnings per share ($)
2.11
2.74
1.27
Fully-diluted earnings per share ($)
2.09
2.73
1.26
(a) Except for per share amounts.
CONSOLIDATED STATEMENT OF
COMPREHENSIVE INCOME TotalEnergies (unaudited)
(M$)
4th quarter2023 3rd quarter2023 4th
quarter2022 Consolidated net income
5,037
6,690
3,441
Other comprehensive income Actuarial gains and losses
(251)
(1)
387
Change in fair value of investments in equity instruments
(17)
3
(2)
Tax effect
42
(2)
(56)
Currency translation adjustment generated by the parent company
3,025
(1,861)
6,800
Items not potentially reclassifiable to profit and loss
2,799
(1,861)
7,129
Currency translation adjustment
(3,182)
1,204
(3,672)
Cash flow hedge
701
306
(9,669)
Variation of foreign currency basis spread
(16)
(3)
(14)
Share of other comprehensive income of equity affiliates, net
amount
(144)
31
842
Other
3
(4)
3
Tax effect
(212)
(46)
2,932
Items potentially reclassifiable to profit and loss
(2,850)
1,488
(9,578)
Total other comprehensive income (net amount)
(51)
(373)
(2,449)
Comprehensive income
4,986
6,317
992
TotalEnergies share
4,995
6,313
792
Non-controlling interests
(9)
4
200
CONSOLIDATED STATEMENT OF INCOME TotalEnergies
(M$) (a)
Year2023(unaudited) Year2022 Sales
237,128
280,999
Excise taxes
(18,183)
(17,689)
Revenues from sales
218,945
263,310
Purchases, net of inventory variation
(143,041)
(169,448)
Other operating expenses
(30,419)
(29,789)
Exploration costs
(573)
(1,299)
Depreciation, depletion and impairment of tangible assets and
mineral interests
(12,762)
(12,221)
Other income
3,677
2,849
Other expense
(2,396)
(7,344)
Financial interest on debt
(2,820)
(2,386)
Financial income and expense from cash & cash equivalents
1,801
1,143
Cost of net debt
(1,019)
(1,243)
Other financial income
1,285
896
Other financial expense
(731)
(533)
Net income (loss) from equity affiliates
1,845
(1,892)
Income taxes
(13,301)
(22,242)
Consolidated net income
21,510
21,044
TotalEnergies share
21,384
20,526
Non-controlling interests
126
518
Earnings per share ($)
8.72
7.91
Fully-diluted earnings per share ($)
8.67
7.85
(a) Except for per share amounts.
CONSOLIDATED STATEMENT OF
COMPREHENSIVE INCOME TotalEnergies (M$)
Year2023(unaudited) Year2022 Consolidated net
income
21,510
21,044
Other comprehensive income Actuarial gains and losses
(114)
574
Change in fair value of investments in equity instruments
(11)
112
Tax effect
(11)
(96)
Currency translation adjustment generated by the parent company
2,573
(4,976)
Items not potentially reclassifiable to profit and loss
2,437
(4,386)
Currency translation adjustment
(3,277)
1,734
Cash flow hedge
2,898
(5,452)
Variation of foreign currency basis spread
(11)
65
Share of other comprehensive income of equity affiliates, net
amount
(208)
3,497
Other
(2)
(16)
Tax effect
(730)
1,449
Items potentially reclassifiable to profit and loss
(1,330)
1,277
Total other comprehensive income (net amount)
1,107
(3,109)
Comprehensive income
22,617
17,935
TotalEnergies share
22,534
17,419
Non-controlling interests
83
516
CONSOLIDATED BALANCE SHEET TotalEnergies (unaudited)
(M$)
December 31, 2023(unaudited) September 30,
2023(unaudited) December 31, 2022 ASSETS
Non-current assets Intangible assets, net
33,083
32,911
31,931
Property, plant and equipment, net
108,916
106,721
107,101
Equity affiliates : investments and loans
30,457
30,153
27,889
Other investments
1,543
1,342
1,051
Non-current financial assets
2,395
2,710
2,731
Deferred income taxes
3,418
3,535
5,049
Other non-current assets
4,313
3,991
2,388
Total non-current assets
184,125
181,363
178,140
Current assets Inventories, net
19,317
22,512
22,936
Accounts receivable, net
23,442
23,598
24,378
Other current assets
20,821
22,252
36,070
Current financial assets
6,585
6,892
8,746
Cash and cash equivalents
27,263
24,731
33,026
Assets classified as held for sale
2,101
8,656
568
Total current assets
99,529
108,641
125,724
Total assets
283,654
290,004
303,864
LIABILITIES & SHAREHOLDERS' EQUITY Shareholders'
equity Common shares
7,616
7,616
8,163
Paid-in surplus and retained earnings
126,857
123,506
123,951
Currency translation adjustment
(13,701)
(13,461)
(12,836)
Treasury shares
(4,019)
(1,894)
(7,554)
Total shareholders' equity - TotalEnergies share
116,753
115,767
111,724
Non-controlling interests
2,700
2,657
2,846
Total shareholders' equity
119,453
118,424
114,570
Non-current liabilities Deferred income taxes
11,688
11,633
11,021
Employee benefits
1,993
1,837
1,829
Provisions and other non-current liabilities
21,257
22,657
21,402
Non-current financial debt
40,478
41,022
45,264
Total non-current liabilities
75,416
77,149
79,516
Current liabilities Accounts payable
41,335
37,268
41,346
Other creditors and accrued liabilities
36,727
37,405
52,275
Current borrowings
9,590
16,876
15,502
Other current financial liabilities
446
415
488
Liabilities directly associated with the assets classified as held
for sale
687
2,467
167
Total current liabilities
88,785
94,431
109,778
Total liabilities & shareholders' equity
283,654
290,004
303,864
CONSOLIDATED STATEMENT OF CASH FLOW TotalEnergies
(unaudited) (M$)
4th quarter2023 3rd
quarter2023 4th quarter2022 CASH FLOW FROM OPERATING
ACTIVITIES Consolidated net income
5,037
6,690
3,441
Depreciation, depletion, amortization and impairment
3,815
3,621
2,749
Non-current liabilities, valuation allowances and deferred taxes
(268)
686
(75)
(Gains) losses on disposals of assets
(2,609)
(521)
2,192
Undistributed affiliates' equity earnings
940
(325)
1,506
(Increase) decrease in working capital
8,308
(923)
(3,791)
Other changes, net
927
268
(404)
Cash flow from operating activities
16,150
9,496
5,618
CASH FLOW USED IN INVESTING ACTIVITIES Intangible assets and
property, plant and equipment additions
(5,076)
(3,808)
(4,097)
Acquisitions of subsidiaries, net of cash acquired
(10)
(1,607)
(4)
Investments in equity affiliates and other securities
(1,066)
(482)
(260)
Increase in non-current loans
(683)
(451)
(211)
Total expenditures
(6,835)
(6,348)
(4,572)
Proceeds from disposals of intangible assets and property, plant
and equipment
2,776
914
113
Proceeds from disposals of subsidiaries, net of cash sold
3,333
7
160
Proceeds from disposals of non-current investments
-
308
23
Repayment of non-current loans
94
132
595
Total divestments
6,203
1,361
891
Cash flow used in investing activities
(632)
(4,987)
(3,681)
CASH FLOW USED IN FINANCING ACTIVITIES Issuance (repayment)
of shares: - Parent company shareholders
-
-
-
- Treasury shares
(2,964)
(2,098)
(2,551)
Dividends paid: - Parent company shareholders
(1,869)
(1,962)
(4,356)
- Non-controlling interests
(17)
(168)
(12)
Net issuance (repayment) of perpetual subordinated notes
-
-
-
Payments on perpetual subordinated notes
(54)
(22)
(51)
Other transactions with non-controlling interests
(16)
(11)
(82)
Net issuance (repayment) of non-current debt
(21)
47
425
Increase (decrease) in current borrowings
(8,458)
(446)
(3,500)
Increase (decrease) in current financial assets and liabilities
360
(182)
3,554
Cash flow from (used in) financing activities
(13,039)
(4,842)
(6,573)
Net increase (decrease) in cash and cash equivalents
2,479
(333)
(4,636)
Effect of exchange rates
53
(508)
1,721
Cash and cash equivalents at the beginning of the period
24,731
25,572
35,941
Cash and cash equivalents at the end of the period
27,263
24,731
33,026
CONSOLIDATED STATEMENT OF CASH FLOW TotalEnergies
(M$)
Year2023(unaudited) Year2022 CASH FLOW
FROM OPERATING ACTIVITIES Consolidated net income
21,510
21,044
Depreciation, depletion, amortization and impairment
13,818
13,680
Non-current liabilities, valuation allowances and deferred taxes
813
4,594
(Gains) losses on disposals of assets
(3,452)
369
Undistributed affiliates' equity earnings
649
6,057
(Increase) decrease in working capital
6,091
1,191
Other changes, net
1,250
432
Cash flow from operating activities
40,679
47,367
CASH FLOW USED IN INVESTING ACTIVITIES Intangible assets and
property, plant and equipment additions
(17,722)
(15,690)
Acquisitions of subsidiaries, net of cash acquired
(1,772)
(94)
Investments in equity affiliates and other securities
(3,477)
(3,042)
Increase in non-current loans
(1,889)
(976)
Total expenditures
(24,860)
(19,802)
Proceeds from disposals of intangible assets and property, plant
and equipment
3,789
540
Proceeds from disposals of subsidiaries, net of cash sold
3,561
835
Proceeds from disposals of non-current investments
490
577
Repayment of non-current loans
566
2,734
Total divestments
8,406
4,686
Cash flow used in investing activities
(16,454)
(15,116)
CASH FLOW USED IN FINANCING ACTIVITIES Issuance (repayment)
of shares: - Parent company shareholders
383
370
- Treasury shares
(9,167)
(7,711)
Dividends paid: - Parent company shareholders
(7,517)
(9,986)
- Non-controlling interests
(311)
(536)
Net issuance (repayment) of perpetual subordinated notes
(1,081)
-
Payments on perpetual subordinated notes
(314)
(339)
Other transactions with non-controlling interests
(126)
(49)
Net issuance (repayment) of non-current debt
130
1,108
Increase (decrease) in current borrowings
(14,289)
(6,073)
Increase (decrease) in current financial assets and liabilities
2,562
3,944
Cash flow from (used in) financing activities
(29,730)
(19,272)
Net increase (decrease) in cash and cash equivalents
(5,505)
12,979
Effect of exchange rates
(258)
(1,295)
Cash and cash equivalents at the beginning of the period
33,026
21,342
Cash and cash equivalents at the end of the period
27,263
33,026
CONSOLIDATED STATEMENT OF CHANGES IN SHAREHOLDERS' EQUITY
TotalEnergies (Unaudited: Year 2023 )
Common shares
issued Paid-in surplus and retained earnings Currency
translation adjustment Treasury shares Shareholders'
equity -TotalEnergies share Non-controlling interests
Total shareholders' equity (M$)
Number Amount
Number Amount As of January 1, 2022
2,640,429,329
8,224
117,849
(12,671)
(33,841,104)
(1,666)
111,736
3,263
114,999
Net income 2022
-
-
20,526
-
-
-
20,526
518
21,044
Other comprehensive Income
-
-
(2,933)
(174)
-
-
(3,107)
(2)
(3,109)
Comprehensive Income
-
-
17,593
(174)
-
-
17,419
516
17,935
Dividend
-
-
(9,989)
-
-
-
(9,989)
(536)
(10,525)
Issuance of common shares
9,367,482
26
344
-
-
-
370
-
370
Purchase of treasury shares
-
-
-
-
(140,207,743)
(7,711)
(7,711)
-
(7,711)
Sale of treasury shares (1)
-
-
(318)
-
6,195,654
318
-
-
-
Share-based payments
-
-
229
-
-
-
229
-
229
Share cancellation
(30,665,526)
(87)
(1,418)
-
30,665,526
1,505
-
-
-
Net issuance (repayment) of perpetual subordinated notes
-
-
(44)
-
-
-
(44)
-
(44)
Payments on perpetual subordinated notes
-
-
(331)
-
-
-
(331)
-
(331)
Other operations with non-controlling interests
-
-
45
9
-
-
54
37
91
Other items
-
-
(9)
-
-
-
(9)
(434)
(443)
As of December 31, 2022
2,619,131,285
8,163
123,951
(12,836)
(137,187,667)
(7,554)
111,724
2,846
114,570
Net income 2023
-
-
21,384
-
-
-
21,384
126
21,510
Other comprehensive Income
-
-
1,987
(837)
-
-
1,150
(43)
1,107
Comprehensive Income
-
-
23,371
(837)
-
-
22,534
83
22,617
Dividend
-
-
(7,611)
-
-
-
(7,611)
(311)
(7,922)
Issuance of common shares
8,002,155
22
361
-
-
-
383
-
383
Purchase of treasury shares
-
-
-
-
(144,700,577)
(9,167)
(9,167)
-
(9,167)
Sale of treasury shares (1)
-
-
(396)
-
6,463,426
396
-
-
-
Share-based payments
-
-
291
-
-
-
291
-
291
Share cancellation
(214,881,605)
(569)
(11,737)
-
214,881,605
12,306
-
-
-
Net issuance (repayment) of perpetual subordinated notes
-
-
(1,107)
-
-
-
(1,107)
-
(1,107)
Payments on perpetual subordinated notes
-
-
(294)
-
-
-
(294)
-
(294)
Other operations with non-controlling interests
-
-
30
(28)
-
-
2
85
87
Other items
-
-
(2)
-
-
-
(2)
(3)
(5)
As of December 31, 2023
2,412,251,835
7,616
126,857
(13,701)
(60,543,213)
(4,019)
116,753
2,700
119,453
INFORMATION BY BUSINESS SEGMENT TotalEnergies
(unaudited)
4th quarter 2023(M$) Exploration &
Production Integrated LNG Integrated Power
Refining & Chemicals Marketing & Services
Corporate Intercompany Total External sales
1,622
3,050
7,350
24,372
22,826
17
-
59,237
Intersegment sales
10,630
3,651
1,276
8,796
157
26
(24,536)
-
Excise taxes
-
-
-
(216)
(4,256)
-
-
(4,472)
Revenues from sales
12,252
6,701
8,626
32,952
18,727
43
(24,536)
54,765
Operating expenses
(5,084)
(5,289)
(7,787)
(32,367)
(18,289)
(210)
24,536
(44,490)
Depreciation, depletion and impairment of tangible assets and
mineral interests
(2,334)
(440)
(97)
(394)
(236)
(38)
-
(3,539)
Net income (loss) from equity affiliates and other items
(370)
560
(17)
(158)
1,917
(71)
-
1,861
Tax on net operating income
(2,371)
(217)
(156)
76
(718)
91
-
(3,295)
Adjustments (a)
(709)
(141)
42
(524)
1,095
(7)
-
(244)
Adjusted Net operating income
2,802
1,456
527
633
306
(178)
-
5,546
Adjustments (a)
(244)
Net cost of net debt
(265)
Non-controlling interests
26
Net income - TotalEnergies share
5,063
(a) Adjustments include special items, inventory valuation effect
and the effect of changes in fair value.
4th quarter
2023(M$) Exploration & Production Integrated
LNG Integrated Power Refining & Chemicals
Marketing & Services Corporate
Intercompany Total Total expenditures
3,080
855
1,241
1,011
588
60
-
6,835
Total divestments
4,362
28
32
22
1,754
5
-
6,203
Cash flow from operating activities
5,708
2,702
638
4,825
1,759
518
-
16,150
INFORMATION BY BUSINESS SEGMENT TotalEnergies
(unaudited)
3rd quarter 2023(M$) Exploration &
Production Integrated LNG Integrated Power
Refining & Chemicals Marketing & Services
Corporate Intercompany Total External sales
1,551
2,144
5,183
27,127
23,012
-
-
59,017
Intersegment sales
11,129
2,361
495
10,094
153
59
(24,291)
-
Excise taxes
-
-
-
(210)
(4,394)
-
-
(4,604)
Revenues from sales
12,680
4,505
5,678
37,011
18,771
59
(24,291)
54,413
Operating expenses
(5,347)
(3,038)
(4,811)
(34,598)
(17,749)
(231)
24,291
(41,483)
Depreciation, depletion and impairment of tangible assets and
mineral interests
(1,976)
(283)
(86)
(483)
(204)
(23)
-
(3,055)
Net income (loss) from equity affiliates and other items
10
358
(8)
61
(16)
81
-
486
Tax on net operating income
(2,437)
(251)
(86)
(502)
(247)
157
-
(3,366)
Adjustments (a)
(208)
(51)
181
90
132
(37)
-
107
Adjusted Net operating income
3,138
1,342
506
1,399
423
80
-
6,888
Adjustments (a)
107
Net cost of net debt
(305)
Non-controlling interests
(14)
Net income - TotalEnergies share
6,676
(a) Adjustments include special items, inventory valuation effect
and the effect of changes in fair value.
3rd quarter
2023(M$) Exploration & Production Integrated
LNG Integrated Power Refining & Chemicals
Marketing & Services Corporate
Intercompany Total Total expenditures
2,677
734
2,215
424
270
28
-
6,348
Total divestments
699
168
331
114
49
-
-
1,361
Cash flow from operating activities
4,240
872
1,936
2,060
206
182
-
9,496
INFORMATION BY BUSINESS SEGMENT TotalEnergies
(unaudited)
4th quarter 2022(M$) Exploration &
Production Integrated LNG Integrated Power
Refining & Chemicals Marketing & Services
Corporate Intercompany Total External sales
2,600
4,628
10,055
26,650
24,637
12
-
68,582
Intersegment sales
12,866
5,783
1,807
11,730
274
63
(32,523)
-
Excise taxes
-
-
-
(199)
(4,430)
-
-
(4,629)
Revenues from sales
15,466
10,411
11,862
38,181
20,481
75
(32,523)
63,953
Operating expenses
(6,173)
(8,361)
(9,836)
(37,107)
(19,939)
(266)
32,523
(49,159)
Depreciation, depletion and impairment of tangible assets and
mineral interests
(1,343)
(405)
(54)
(393)
(276)
(34)
-
(2,505)
Net income (loss) from equity affiliates and other items
(3,874)
1,150
103
161
(62)
113
-
(2,409)
Tax on net operating income
(4,635)
(269)
(112)
(898)
(113)
22
-
(6,005)
Adjustments (a)
(4,087)
118
1,482
(1,543)
(243)
(65)
-
(4,338)
Adjusted Net operating income
3,528
2,408
481
1,487
334
(25)
-
8,213
Adjustments (a)
(4,338)
Net cost of net debt
(434)
Non-controlling interests
(177)
Net income - TotalEnergies share
3,264
(a) Adjustments include special items, inventory valuation effect
and the effect of changes in fair value.
4th quarter
2022(M$) Exploration & Production Integrated
LNG Integrated Power Refining & Chemicals
Marketing & Services Corporate
Intercompany Total Total expenditures
2,478
310
640
588
507
49
-
4,572
Total divestments
215
319
186
125
42
4
-
891
Cash flow from operating activities
4,035
134
861
232
707
(351)
-
5,618
INFORMATION BY BUSINESS SEGMENT TotalEnergies
(unaudited)
Year 2023(M$) Exploration &
Production Integrated LNG Integrated Power
Refining & Chemicals Marketing & Services
Corporate Intercompany Total External sales
6,561
12,086
27,337
101,203
89,909
32
-
237,128
Intersegment sales
42,595
14,789
4,126
36,581
631
206
(98,928)
-
Excise taxes
-
-
-
(841)
(17,342)
-
-
(18,183)
Revenues from sales
49,156
26,875
31,463
136,943
73,198
238
(98,928)
218,945
Operating expenses
(20,355)
(21,569)
(28,763)
(130,899)
(70,497)
(878)
98,928
(174,033)
Depreciation, depletion and impairment of tangible assets and
mineral interests
(8,493)
(1,288)
(281)
(1,685)
(905)
(110)
-
(12,762)
Net income (loss) from equity affiliates and other items
(307)
2,194
(345)
(42)
2,208
(28)
-
3,680
Tax on net operating income
(10,095)
(810)
(394)
(938)
(1,246)
271
-
(13,212)
Adjustments (a)
(1,036)
(798)
(173)
(1,275)
1,300
(84)
-
(2,066)
Adjusted Net operating income
10,942
6,200
1,853
4,654
1,458
(423)
-
24,684
Adjustments (a)
(2,066)
Net cost of net debt
(1,108)
Non-controlling interests
(126)
Net income - TotalEnergies share
21,384
(a) Adjustments include special items, inventory valuation effect
and the effect of changes in fair value.
Year
2023(M$) Exploration & Production Integrated
LNG Integrated Power Refining & Chemicals
Marketing & Services Corporate
Intercompany Total Total expenditures
12,378
3,410
5,497
2,149
1,273
153
-
24,860
Total divestments
5,118
290
661
196
2,132
9
-
8,406
Cash flow from operating activities
18,531
8,442
3,573
7,957
1,957
219
-
40,679
INFORMATION BY BUSINESS SEGMENT TotalEnergies
Year 2022(M$) Exploration & Production
Integrated LNG Integrated Power Refining &
Chemicals Marketing & Services Corporate
Intercompany Total External sales
9,942
21,300
27,453
121,618
100,661
25
-
280,999
Intersegment sales
55,190
17,075
3,353
45,857
1,433
248
(123,156)
-
Excise taxes
-
-
-
(737)
(16,952)
-
-
(17,689)
Revenues from sales
65,132
38,375
30,806
166,738
85,142
273
(123,156)
263,310
Operating expenses
(24,521)
(29,982)
(29,217)
(156,897)
(81,746)
(1,329)
123,156
(200,536)
Depreciation, depletion and impairment of tangible assets and
mineral interests
(8,115)
(1,208)
(194)
(1,533)
(1,033)
(138)
-
(12,221)
Net income (loss) from equity affiliates and other items
(9,943)
978
1,788
885
(20)
288
-
(6,024)
Tax on net operating income
(17,445)
(1,574)
(138)
(2,544)
(787)
281
-
(22,207)
Adjustments (a)
(12,371)
(4,580)
2,070
(653)
6
(362)
-
(15,890)
Adjusted Net operating income
17,479
11,169
975
7,302
1,550
(263)
-
38,212
Adjustments (a)
(15,890)
Net cost of net debt
(1,278)
Non-controlling interests
(518)
Net income - TotalEnergies share
20,526
(a) Adjustments include special items, inventory valuation effect
and the effect of changes in fair value.
Year
2022(M$) Exploration & Production Integrated
LNG Integrated Power Refining & Chemicals
Marketing & Services Corporate
Intercompany Total Total expenditures
10,646
1,249
5,226
1,391
1,186
104
-
19,802
Total divestments
807
2,301
1,126
214
222
16
-
4,686
Cash flow from operating activities
27,654
9,604
66
8,663
3,124
(1,744)
-
47,367
Non GAAP Financial Measures
ALTERNATIVE PERFORMANCE MEASURES
(Non-GAAP)
TotalEnergies
(unaudited)
1. Reconciliation of cash flow used in investing activities
to Net investments
1.1. Exploration & Production
4th quarter
3rd quarter
4th quarter
4th quarter 2023 vs
(in millions of dollars)
2023
2022
2023 vs
2023
2023
2022
4th quarter 2022
2022
(1,282)
1,978
2,263
ns
Cash flow used in investing activities
( a )
7,260
9,839
-26%
-
-
-
ns
Other transactions with non-controlling
interests ( b )
-
-
ns
-
-
-
ns
Organic loan repayment from equity
affiliates ( c )
-
22
-100%
-
-
-
ns
Change in debt from renewable projects
financing ( d ) *
-
-
ns
61
51
53
15%
Capex linked to capitalized leasing
contracts ( e )
218
147
48%
32
14
8
x4
Expenditures related to carbon credits ( f
)
48
19
x2.5
(1,189)
2,043
2,324
ns
Net investments ( a + b + c + d + e + f
= g - i + h )
7,526
10,027
-25%
(4,306)
(514)
105
ns
of which net acquisitions ( g - i )
(2,706)
2,520
ns
39
156
241
-84%
Acquisitions ( g )
2,320
3,134
-26%
4,345
670
136
x32
Asset sales ( i )
5,026
614
x8.2
-
-
-
ns
Change in debt from renewable projects
(partner share)
-
-
ns
3,117
2,557
2,219
40%
of which organic investments ( h
)
10,232
7,507
36%
208
343
287
-27%
Capitalized exploration
1,081
669
62%
61
32
20
x3
Increase in non-current loans
154
78
97%
(17)
(29)
(79)
ns
Repayment of non-current loans, excluding
organic loan repayment from equity affiliates
(92)
(171)
ns
-
-
-
ns
Change in debt from renewable projects
(TotalEnergies share)
-
-
ns
*Change in debt from renewable
projects (TotalEnergies share and partner share)
1.2. Integrated LNG
4th quarter
3rd quarter
4th quarter
4th quarter 2023 vs
(in millions of dollars)
2023
2022
2023 vs
2023
2023
2022
4th quarter 2022
2022
827
566
(9)
ns
Cash flow used in investing activities
( a )
3,120
(1,052)
ns
-
-
-
ns
Other transactions with non-controlling
interests ( b )
-
-
ns
-
1
217
-100%
Organic loan repayment from equity
affiliates ( c )
2
1,499
ns
-
-
-
ns
Change in debt from renewable projects
financing ( d ) *
-
-
ns
11
12
6
83%
Capex linked to capitalized leasing
contracts ( e )
37
25
48%
-
-
-
ns
Expenditures related to carbon credits ( f
)
-
-
ns
838
579
214
x3.9
Net investments ( a + b + c + d + e + f
= g - i + h )
3,159
472
x6.7
48
84
19
x2.5
of which net acquisitions ( g - i )
1,096
(47)
ns
56
204
23
x2.4
Acquisitions ( g )
1,253
27
x46.4
8
120
4
100%
Asset sales ( i )
157
74
x2.1
-
-
-
ns
Change in debt from renewable projects
(partner share)
-
-
ns
790
495
195
x4
of which organic investments ( h
)
2,063
519
x4
6
3
-
ns
Capitalized exploration
13
-
ns
179
153
64
x2.8
Increase in non-current loans
570
328
74%
(20)
(47)
(98)
ns
Repayment of non-current loans, excluding
organic loan repayment from equity affiliates
(131)
(690)
ns
-
-
-
ns
Change in debt from renewable projects
(TotalEnergies share)
-
-
ns
*Change in debt from renewable
projects (TotalEnergies share and partner share)
1.3. Integrated Power
4th quarter
3rd quarter
4th quarter
4th quarter 2023 vs
(in millions of dollars)
2023
2022
2023 vs
2023
2023
2022
4th quarter 2022
2022
1,209
1,884
454
x2.7
Cash flow used in investing activities
( a )
4,836
4,100
18%
-
-
-
ns
Other transactions with non-controlling
interests ( b )
-
-
ns
1
4
2
-50%
Organic loan repayment from equity
affiliates ( c )
27
5
x5.4
(3)
43
(233)
ns
Change in debt from renewable projects
financing ( d ) *
78
(589)
ns
(1)
1
2
ns
Capex linked to capitalized leasing
contracts ( e )
4
5
-20%
-
-
-
ns
Expenditures related to carbon credits ( f
)
-
-
ns
1,206
1,932
225
x5.4
Net investments ( a + b + c + d + e + f
= g - i + h )
4,945
3,521
40%
532
1,354
(230)
ns
of which net acquisitions ( g - i )
2,363
2,136
11%
535
1,622
14
x38.2
Acquisitions ( g )
2,739
2,661
3%
3
268
244
-99%
Asset sales ( i )
376
525
-28%
-
(43)
109
-100%
Change in debt from renewable projects
(partner share)
(81)
279
ns
674
578
455
48%
of which organic investments ( h
)
2,582
1,385
86%
-
-
-
ns
Capitalized exploration
-
-
ns
318
207
107
x3
Increase in non-current loans
870
397
x2.2
(28)
(17)
(49)
ns
Repayment of non-current loans, excluding
organic loan repayment from equity affiliates
(177)
(83)
ns
-3
-
(124)
ns
Change in debt from renewable projects
(TotalEnergies share)
(3)
(310)
ns
*Change in debt from renewable
projects (TotalEnergies share and partner share)
1.4. Refining & Chemicals
4th quarter
3rd quarter
4th quarter
4th quarter 2023 vs
(in millions of dollars)
2023
2022
2023 vs
2023
2023
2022
4th quarter 2022
2022
989
310
463
x2.1
Cash flow used in investing activities
( a )
1,953
1,177
66%
-
-
-
ns
Other transactions with non-controlling
interests ( b )
-
-
ns
2
(21)
117
-98%
Organic loan repayment from equity
affiliates ( c )
(31)
104
ns
-
-
-
ns
Change in debt from renewable projects
financing ( d ) *
-
-
ns
-
-
-
ns
Capex linked to capitalized leasing
contracts ( e )
-
-
ns
-
-
-
ns
Expenditures related to carbon credits ( f
)
-
-
ns
991
289
580
71%
Net investments ( a + b + c + d + e + f
= g - i + h )
1,922
1,281
50%
(11)
(97)
(5)
ns
of which net acquisitions ( g - i )
(118)
(38)
ns
1
-
-
ns
Acquisitions ( g )
32
15
x2.1
12
97
5
x2.4
Asset sales ( i )
150
53
x2.8
-
-
-
ns
Change in debt from renewable projects
(partner share)
-
-
ns
1,002
386
585
71%
of which organic investments ( h
)
2,040
1,319
55%
-
-
-
ns
Capitalized exploration
-
-
ns
28
13
1
x28
Increase in non-current loans
79
53
49%
(8)
(9)
(3)
ns
Repayment of non-current loans, excluding
organic loan repayment from equity affiliates
(33)
(35)
ns
-
-
-
ns
Change in debt from renewable projects
(TotalEnergies share)
-
-
ns
*Change in debt from renewable projects
(TotalEnergies share and partner share)
1.5. Marketing & Services
4th quarter
3rd quarter
4th quarter
4th quarter 2023 vs
(in millions of dollars)
2023
2022
2023 vs
2023
2023
2022
4th quarter 2022
2022
(1,166)
221
465
ns
Cash flow used in investing activities
( a )
(859)
964
ns
-
-
(50)
ns
Other transactions with non-controlling
interests ( b )
-
(50)
ns
-
-
-
ns
Organic loan repayment from equity
affiliates ( c )
-
-
ns
-
-
-
ns
Change in debt from renewable projects
financing ( d ) *
-
-
ns
-
-
-
ns
Capex linked to capitalized leasing
contracts ( e )
-
-
ns
-
-
-
ns
Expenditures related to carbon credits ( f
)
-
-
ns
(1,166)
221
415
ns
Net investments ( a + b + c + d + e + f
= g - i + h )
(859)
914
ns
(1,668)
(18)
(23)
ns
of which net acquisitions ( g - i )
(1,924)
(121)
ns
67
10
14
x4.8
Acquisitions ( g )
84
34
x2.5
1,735
28
37
x46.9
Asset sales ( i )
2,008
155
x13
-
-
-
ns
Change in debt from renewable projects
(partner share)
-
-
ns
502
239
438
15%
of which organic investments ( h
)
1,065
1,035
3%
-
-
-
ns
Capitalized exploration
-
-
ns
99
16
15
x6.6
Increase in non-current loans
152
83
83%
(12)
(19)
(25)
ns
Repayment of non-current loans, excluding
organic loan repayment from equity affiliates
(82)
(87)
ns
-
-
-
ns
Change in debt from renewable projects
(TotalEnergies share)
-
-
ns
*Change in debt from renewable projects
(TotalEnergies share and partner share)
ALTERNATIVE PERFORMANCE MEASURES
(Non-GAAP)
TotalEnergies
(unaudited)
2. Reconciliation of cash flow from operating activities to
CFFO
2.1. Exploration & Production
4th quarter
3rd quarter
4th quarter
4th quarter 2023 vs
(in millions of dollars)
2023
2022
2023 vs
2023
2023
2022
4th quarter 2022
2022
5,708
4,240
4,035
41%
Cash flow from operating activities ( a
)
18,531
27,654
-33%
1,018
(925)
(953)
ns
(Increase) decrease in working capital ( b
)
(595)
1,596
ns
-
-
-
ns
Inventory effect ( c )
-
-
ns
-
-
-
ns
Capital gain from renewable project sales
( d )
-
-
ns
-
-
-
ns
Organic loan repayments from equity
affiliates ( e )
-
22
-100%
4,690
5,165
4,988
-6%
Cash flow from operations excluding
working capital (CFFO) ( f = a - b - c + d + e )
19,126
26,080
-27%
2.2. Integrated LNG
4th quarter
3rd quarter
4th quarter
4th quarter 2023 vs
(in millions of dollars)
2023
2022
2023 vs
2023
2023
2022
4th quarter 2022
2022
2,702
872
134
x20.2
Cash flow from operating activities ( a
)
8,442
9,604
-12%
939
(775)
(2,337)
ns
(Increase) decrease in working capital ( b
) *
1,151
1,319
-13%
-
-
-
ns
Inventory effect ( c )
-
-
ns
-
-
-
ns
Capital gain from renewable project sales
( d )
-
-
ns
-
1
217
-100%
Organic loan repayments from equity
affiliates ( e )
2
1,499
ns
1,763
1,648
2,688
-34%
Cash flow from operations excluding
working capital (CFFO) ( f = a - b - c + d + e )
7,293
9,784
-25%
* Changes in working capital are presented
excluding the mark-to-market effect of Integrated LNG and
Integrated Power sectors’ contracts.
2.3. Integrated Power
4th quarter
3rd quarter
4th quarter
4th quarter 2023 vs
(in millions of dollars)
2023
2022
2023 vs
2023
2023
2022
4th quarter 2022
2022
638
1,936
861
-26%
Cash flow from operating activities ( a
)
3,573
66
x54.1
(66)
1,466
464
ns
(Increase) decrease in working capital ( b
) *
1,529
(835)
ns
-
-
-
ns
Inventory effect ( c )
-
-
ns
-
43
40
-100%
Capital gain from renewable project sales
( d )
81
64
27%
1
4
2
-50%
Organic loan repayments from equity
affiliates ( e )
27
5
x5.4
705
516
439
61%
Cash flow from operations excluding
working capital (CFFO) ( f = a - b - c + d + e )
2,152
970
x2.2
* Changes in working capital are presented
excluding the mark-to-market effect of Integrated LNG and
Integrated Power sectors’ contracts.
2.4. Refining and Chemicals
4th quarter
3rd quarter
4th quarter
4th quarter 2023 vs
(in millions of dollars)
2023
2022
2023 vs
2023
2023
2022
4th quarter 2022
2022
4,825
2,060
232
x20.8
Cash flow from operating activities ( a
)
7,957
8,663
-8%
4,161
(125)
(85)
ns
(Increase) decrease in working capital ( b
)
2,641
823
x3.2
(507)
546
(711)
ns
Inventory effect ( c )
(568)
240
ns
-
-
-
ns
Capital gain from renewable project sales
( d )
-
-
ns
2
(21)
117
-98%
Organic loan repayments from equity
affiliates ( e )
(31)
104
ns
1,173
1,618
1,144
3%
Cash flow from operations excluding
working capital (CFFO) ( f = a - b - c + d + e )
5,853
7,704
-24%
2.5. Marketing & Services
4th quarter
3rd quarter
4th quarter
4th quarter 2023 vs
(in millions of dollars)
2023
2022
2023 vs
2023
2023
2022
4th quarter 2022
2022
1,759
206
707
x2.5
Cash flow from operating activities ( a
)
1,957
3,124
-37%
1,457
(599)
354
x4.1
(Increase) decrease in working capital ( b
)
(215)
498
ns
(217)
218
(184)
ns
Inventory effect ( c )
(146)
261
ns
-
-
-
ns
Capital gain from renewable project sales
( d )
-
-
ns
-
-
-
ns
Organic loan repayments from equity
affiliates ( e )
-
-
ns
519
587
537
-3%
Cash flow from operations excluding
working capital (CFFO) ( f = a - b - c + d + e )
2,318
2,365
-2%
ALTERNATIVE PERFORMANCE MEASURES
(Non-GAAP)
TotalEnergies
(unaudited)
3. Reconciliation of capital employed (balance sheet) and
calculation of ROACE
(In millions of dollars)
Exploration &
Production
Integrated
LNG
Integrated Power
Refining
&
Chemicals
Marketing
&
Services
Corporate
Inter-Company
Company
Adjusted net operating income 4 th quarter
2023
2,802
1,456
527
633
306
(178)
-
5,546
Adjusted net operating income 3 rd quarter
2023
3,138
1,342
506
1,399
423
80
-
6,888
Adjusted net operating income 2 nd quarter
2023
2,349
1,330
450
1,004
449
(248)
-
5,334
Adjusted net operating income 1 st quarter
2023
2,653
2,072
370
1,618
280
(77)
-
6,916
Adjusted net operating income ( a
)
10,942
6,200
1,853
4,654
1458
(423)
-
24,684
Balance sheet as of December 31,
2023
Property plant and equipment intangible
assets net
84,876
24,936
12,526
12,287
6,696
678
-
141,999
Investments & loans in equity
affiliates
2,630
13,905
9,202
4,167
553
-
-
30,457
Other non-current assets
3,451
2,720
1,027
677
1,258
141
-
9,274
Inventories, net
1,463
1,784
689
11,582
3,798
1
-
19,317
Accounts receivable, net
6,849
10,183
7,601
20,010
9,024
683
(30,908)
23,442
Other current assets
6,218
9,782
6,963
2,491
3,517
1,817
(9,807)
20,981
Accounts payable
(6,904)
(11,732)
(8,114)
(33,864)
(10,693)
(798)
30,770
(41,335)
Other creditors and accrued
liabilities
(9,875)
(11,653)
(6,985)
(6,260)
(5,759)
(6,300)
9,945
(36,887)
Working capital
(2,249)
(1,636)
154
(6,041)
(113)
(4,597)
-
(14,482)
Provisions and other non-current
liabilities
(25,152)
(3,877)
(1,790)
(3,706)
(1,267)
854
-
(34,938)
Assets and liabilities classified as held
for sale - Capital employed
314
-
392
137
881
-
-
1,724
Capital Employed (Balance
sheet)
63,870
36,048
21,511
7,521
8,008
(2,924)
-
134,034
Less inventory valuation effect
-
-
-
(1,478)
(334)
-
-
(1,812)
Capital Employed at replacement cost (
b )
63,870
36,048
21,511
6,043
7,674
(2,924)
-
132,222
Balance sheet as of December 31,
2022
Property plant and equipment intangible
assets net
87,833
24,189
6,696
11,525
8,120
669
-
139,032
Investments & loans in equity
affiliates
2,138
12,065
8,804
4,431
451
-
-
27,889
Other non-current assets
3,069
3,342
327
570
1,050
130
-
8,488
Inventories, net
1,260
2,312
1,836
12,888
4,640
-
-
22,936
Accounts receivable, net
7,312
11,110
12,515
19,297
8,482
1,407
(35,745)
24,378
Other current assets
6,347
21,344
12,914
2,410
3,787
2,455
(13,187)
36,070
Accounts payable
(6,298)
(11,846)
(14,881)
(30,673)
(12,082)
(1,313)
35,747
(41,346)
Other creditors and accrued
liabilities
(11,452)
(24,796)
(10,940)
(7,215)
(5,115)
(5,942)
13,185
(52,275)
Working capital
(2,831)
(1,876)
1,444
(3,293)
(288)
(3,393)
-
(10,237)
Provisions and other non-current
liabilities
(24,633)
(4,049)
(1,201)
(3,760)
(1,303)
694
-
(34,252)
Assets and liabilities classified as held
for sale - Capital employed
208
-
155
-
-
-
-
363
Capital Employed (Balance
sheet)
65,784
33,671
16,225
9,473
8,030
(1,900)
-
131,283
Less inventory valuation effect
-
-
-
(2,035)
(437)
-
-
(2,472)
Capital Employed at replacement cost (
c )
65,784
33,671
16,225
7,438
7,593
(1,900)
-
128,811
-
-
-
-
-
-
-
-
ROACE as a percentage ( a / average ( b
+ c ))
16.9%
17.8%
9.8%
69.0%
19.1%
18.9%
ALTERNATIVE PERFORMANCE MEASURES
(Non-GAAP)
TotalEnergies
(unaudited)
4. Reconciliation of consolidated net income to adjusted net
operating income
4th quarter
3rd quarter
4th quarter
(in millions of dollars)
2023
2022
2023
2023
2022
5,037
6,690
3,441
Consolidated net income ( a )
21,510
21,044
(265)
(305)
(434)
Net cost of net debt ( b )
(1,108)
(1,278)
113
(881)
(5,609)
Special items affecting net operating
income
(1,384)
(17,559)
1,844
-
-
Gain (loss) on asset sales
2,047
1,450
(51)
-
(14)
Restructuring charges
(56)
(55)
(1,070)
(698)
(3,861)
Impairments
(2,297)
(15,759)
(610)
(183)
(1,734)
Other
(1,078)
(3,195)
(549)
623
(722)
After-tax inventory effect : FIFO vs.
replacement cost
(694)
531
192
365
1,993
Effect of changes in fair value
12
1,138
(244)
107
(4,338)
Total adjustments affecting net
operating income ( c )
(2,066)
(15,890)
5,546
6,888
8,213
Adjusted net operating income ( a - b -
c )
24,684
38,212
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