TotalEnergies may consider extra dividend on higher cashflow, says CEO (updated)

TotalEnergies SE

Thu 16:07

Adds details on extra dividend and TotalEnergies fuel price cap
By Dimitri  Rhodes
Oct 29 (Reuters) - French oil major TotalEnergies TTEF.PA could pay an extra dividend early next year if its annual cash flow comes in at $43 billion, higher than expected, the company's chief executive Patrick Pouyanne told analysts on Thursday. 
Speaking after reporting better-than-expected third-quarter profits, Pouyanne said 2026 cash flow could surpass $42 billion, potentially reaching $43 billion, and that he would consider an extra dividend to meet a commitment to return 40% of that to shareholders.
The extra payout would come alongside the final dividend in February 2027, adding to $8 billion in share buybacks and $8.6 billion in regular dividends already pledged, he said.
Pouyanne said that a large majority of shareholders have said they favoured standard returns over a special dividend, but this formula would ensure the company delivers on its payout pledge.
TotalEnergies' soaring profits this year have come under fierce criticism from some French lawmakers, prompting a heated debate in parliament on Wednesday on the company's taxation.
Pouyanne said that French consumers were benefiting from a voluntary price cap implemented by the group at its fuel stations in the country since the war with Iran broke out, and that the government's decision not to tax windfall profits showed it recognised the merit of its policy.
     

(Reporting by Dimitri Rhodes in Gdansk. Editing by Dominique Patton)
((Dimitri.Rhodes@thomsonreuters.com ))