REG-TotalEnergies SE 1st Quarter Results
27/04/2023 10:15
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1st Quarter Results
TotalEnergies once again demonstrates its ability to generate strong results
in a softening oil & gas price environment
As part of its multi-energy strategy, TotalEnergies presents for the first
time the results of the Integrated Power segment
TotalEnergies (Paris:TTE) (LSE:TTE) (NYSE:TTE):
1Q23 4Q22 Change 1Q22 Change
vs 4Q22
vs 1Q22
Net income (TotalEnergies share) (B$) 5.6 3.3 +70% 4.9 +12%
Adjusted net income (TotalEnergies share)((1))
- in billions of dollars (B$) 6.5 7.6 -13% 9.0 -27%
- in dollars per share 2.61 2.97 -12% 3.40 -23%
Adjusted EBITDA((1)) (B$) 14.2 16.0 -11% 17.4 -19%
DACF((1)) (B$) 9.8 9.4 +4% 12.0 -19%
Cash Flow from operations (B$) 5.1 5.6 -9% 7.6 -33%
Net-debt-to-capital ratio((2)) of 11.5% at March 31, 2023 vs. 7.0% at December 31, 2022
First 2023 interim dividend set at 0.74 €/share
((1) )Definition on page 3.
((2) )Excluding leases
The Board of Directors of TotalEnergies SE, chaired by CEO Patrick Pouyanné,
met on April 26, 2023, to approve the first quarter 2023 financial statements.
On the occasion, Patrick Pouyanné said:
“TotalEnergies once again demonstrates its ability to generate strong
results, posting in the first quarter 2023 adjusted net income of $6.5
billion, cash flow of $9.6 billion, and return on average capital employed of
25%, in an environment of lower oil and gas prices. IFRS net income was $5.6
billion for the quarter.
In an environment with Brent prices averaging $81/b, Exploration &
Production generated adjusted net operating income of $2.7 billion and cash
flow of $4.9 billion with production growth of 2% compared to the previous
quarter*, benefiting in particular from the start-up of gas production on
Block 10 in Oman and the acquisition of a 20% interest in the SARB / Umm Lulu
oil fields in the United Arab Emirates.
Integrated LNG delivered adjusted net operating income and cash flow of $2.1
billion, leveraging its integrated global portfolio, in an environment of
European and Asian gas prices returning to levels close to Brent parity at
$16-17/Mbtu, given the mild winter and high inventories in Europe. The Company
launched this quarter the integrated engineering studies (FEED) on the Papua
LNG project, which will contribute to the future growth of the LNG portfolio.
The Integrated Power segment generated adjusted net operating income and cash
flow of $0.4 billion in the first quarter. ROACE was nearly 10% over 12
months, confirming the Company's ability to profitably grow this business.
TotalEnergies closed this quarter the acquisition of a 34% interest in Casa
Dos Ventos in Brazil, contributing to the growth of its installed renewable
power generation capacity to 18 GW.
Downstream posted adjusted net operating income of $1.9 billion and cash flow
of $2.2 billion, benefiting from strong refining margins. TotalEnergies
announced the sale for €3.1 billion to Alimentation Couche-Tard of its
retail networks in Germany and the Netherlands as well as a 40%/60%
partnership with them to operate the stations in Belgium and Luxembourg.
Given these strong results, the Board of Directors confirmed the increase of
7.25% in the first interim dividend for the 2023 financial year, to €0.74
per share, as well as the repurchase of up to $2 billion of shares in the
second quarter of 2023."
1. Highlights((3))
Social and environmental responsibility
* Publication of the Sustainability & Climate – 2023 Progress Report
presenting the progress made on TotalEnergies’ transformation strategy and
the update of its climate ambition
* TotalEnergies ranked Number 2 in employee share ownership in Europe according
to the report of the European Federation of Employee Share Ownership
* TotalEnergies guarantees customers that its fuel price will not exceed 1.99
€/l in its stations in France
Upstream
* Acquisition of CEPSA's upstream assets in the United Arab Emirates,
representing a share of 50 kboe/d
* Agreement with the Iraqi Government to move forward with the multi-energy
project in Iraq
* Launch of the Lapa South-West project in Brazil
Downstream
* Sale to Alimentation Couche-Tard of retail networks in Germany and the
Netherlands and 40%/60% partnership in Belgium and Luxembourg
* Agreement with waste recycling company Paprec to develop chemical plastic
recycling projects in France
* Creation of a joint venture with Air Liquide to develop a network of more than
100 hydrogen stations for trucks in Europe
Integrated LNG
* Production start-up on Block 10 and signed a long-term LNG contract for 0.8
Mt/year in Oman
* Launch of Papua LNG Integrated Engineering Studies in Papua New Guinea
* Delivery of the first LNG cargo to the Dhamra LNG terminal in India
* Commissioning of the floating LNG regasification terminal in Lubmin, Germany
* Authorization by the French and European authorities for the installation of
the floating LNG regasification terminal in Le Havre in France
Integrated Power
* Closing of the acquisition of a 34% interest in Casa dos Ventos, leading
renewable developer in Brazil
* Acquisition from Corio Generation a 50% interest (minus 10 shares) in the 600
MW Formosa 3 offshore wind project in Taiwan
* Signature of renewable power purchase agreements with Sasol and Air Liquide in
South Africa
Decarbonization & new molecules
* Acquisition of PGB, Poland's leading biogas producer
* Entry on two permits for the storage of CO(2) in the North Sea, Denmark
((3)) 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.
2. Key figures from TotalEnergies’ consolidated financial statements((4))
In millions of dollars, except effective tax rate, 1Q23 4Q22 1Q23 1Q22 1Q23
earnings per share and number of shares vs vs
4Q22 1Q22
Adjusted EBITDA ((5)) 14,167 15,997 -11% 17,424 -19%
Adjusted net operating income from business segments 6,993 8,238 -15% 9,458 -26%
Exploration & Production 2,653 3,528 -25% 5,015 -47%
Integrated LNG 2,072 2,408 -14% 3,133 -34%
Integrated Power 370 481 -23% (82) ns
Refining & Chemicals 1,618 1,487 +9% 1,120 +44%
Marketing & Services 280 334 -16% 272 +3%
Contribution of equity affiliates to adjusted net income 1,079 1,873 -42% 1,861 -42%
Effective tax rate ((6)) 41.4% 41.4% 38.7%
Adjusted net income (TotalEnergies share) 6,541 7,561 -13% 8,977 -27%
Adjusted fully-diluted earnings per share (dollars) ((7)) 2.61 2.97 -12% 3.40 -23%
Adjusted fully-diluted earnings per share (euros)* 2.43 2.93 -17% 3.03 -20%
Fully-diluted weighted-average shares (millions) 2,479 2,522 -2% 2,614 -5%
Net income (TotalEnergies share) 5,557 3,264 +70% 4,944 +12%
Organic investments ((8)) 3,433 3,935 -13% 1,981 +73%
Net acquisitions ((9)) 2,987 (133) ns 922 x3.2
Net investments ((10)) 6,420 3,802 +69% 2,903 x2.2
Operating cash flow before working capital changes ((11)) 9,621 9,135 +5% 11,626 -17%
Operating cash flow before working capital changes 9,774 9,361 +4% 11,995 -19%
w/o financial charges (DACF) ((12))
Cash flow from operations 5,133 5,618 -9% 7,617 -33%
*Average €-$ exchange rate: 1.0730 in the first quarter 2023, 1.0205 in the
fourth quarter 2022 and 1.1217 in the first quarter 2022.
((4)) Adjusted results are defined as income using replacement cost, adjusted
for special items, excluding the impact of changes for fair value; adjustment
items are on page 19.
((5) )Adjusted EBITDA (Earnings Before Interest, Tax, Depreciation and
Amortization) corresponds 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.
((6)) 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).
((7)) 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.
((8)) Organic investments = net investments excluding acquisitions, asset
sales and other operations with non-controlling interests.
((9)) Net acquisitions = acquisitions – assets sales – other transactions
with non-controlling interests (see page 21).
((10)) Net investments = organic investments + net acquisitions (see page 21).
((11)) Operating cash flow before working capital changes, 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 and including capital gains from renewable projects
sale.
The inventory valuation effect is explained on page 25. The reconciliation
table for different cash flow figures is on page 21.
((12)) DACF = debt adjusted cash flow, is defined as operating cash flow
before working capital changes and financial charges.
3. Key figures of environment, greenhouse gas emissions and production
3.1 Environment* – liquids and gas price realizations, refining margins
1Q23 4Q22 1Q23 1Q22 1Q23
vs vs
4Q22 1Q22
Brent ($/b) 81.2 88.8 -9% 102.2 -21%
Henry Hub ($/Mbtu) 2.7 6.1 -55% 4.6 -40%
NBP ($/Mbtu) 16.1 32.3 -50% 32.3 -50%
JKM ($/Mbtu) 16.5 30.5 -46% 31.1 -47%
Average price of liquids ($/b) 73.4 80.6 -9% 90.1 -19%
Consolidated subsidiaries
Average price of gas ($/Mbtu) 8.89 12.74 -30% 12.27 -28%
Consolidated subsidiaries
Average price of LNG ($/Mbtu) 13.27 14.83 -11% 13.60 -2%
Consolidated subsidiaries and equity affiliates
Variable cost margin - Refining Europe, VCM ($/t)** 87.8 73.6 +19% 46.3 +90%
* The indicators are shown on page 26.
** This indicator represents TotalEnergies’ average margin on variable cost
for refining in Europe (equal to the difference between TotalEnergies European
refined product sales and crude oil purchases with associated variable costs
divided by volumes refined in tons).
3.2 Greenhouse gas emissions((13))
GHG emissions (MtCO2e) 1Q23 4Q22 1Q23 1Q22 1Q23
vs vs
4Q22 1Q22
Scope 1+2 from operated facilities ((14)) 9.1 10.1 -10% 9.6 -6%
of which Oil & Gas 7.6 8.3 -8% 7.9 -4%
of which CCGT 1.5 1.8 -17% 1.7 -15%
Scope 1+2 - equity share 12.8 14.7 -13% 14.0 -9%
Estimated 1Q23 emissions.
Scope 1+2 emissions from operated installations were down in the first quarter
2023, as a result of the decrease in the use of gas-fired power plants in a
context of lower demand in Europe and given the decline in flaring on
Exploration & Production facilities.
Methane emissions (ktCH4) 1Q23 4Q22 1Q23 1Q22 1Q23
vs vs
4Q22 1Q22
Methane emissions from operated facilities 9 11 -17% 10 -8%
Methane emissions - equity share 11 10 +12% 12 -7%
Estimated 1Q23 emissions.
Scope 3 emissions (MtCO2e) 1Q23 2022
Scope 3 from Oil, Biofuels and Gas Worldwide ((15)) est. 90 389
((13) )The six greenhouse gases in the Kyoto protocol, namely CO(2), CH(4),
N(2)O, HFCs, PFCs and SF(6), with their respective GWP (Global Warming
Potential) as described in the 2007 IPCC report. HFCs, PFCs and SF(6) are
virtually absent from the Company’s emissions or are considered as
non-material and are therefore not counted.
((14)) 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 (H(2)).
((15) )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. The highest point for each value chain for 2023
will be evaluated considering realizations over the full year, TotalEnergies
gradually providing quarterly estimates.
3.3 Production*
Hydrocarbon production 1Q23 4Q22 1Q23 1Q22 1Q23
vs vs
4Q22 1Q22
Hydrocarbon production (kboe/d) 2,524 2,812 -10% 2,843 -11%
Oil (including bitumen) (kb/d) 1,398 1,357 +3% 1,305 +7%
Gas (including condensates and associated NGL) (kboe/d) 1,126 1,455 -23% 1,538 -27%
Hydrocarbon production (kboe/d) 2,524 2,812 -10% 2,843 -11%
Liquids (kb/d) 1,562 1,570 - 1,527 +2%
Gas (Mcf/d) 5,191 6,681 -22% 7,162 -28%
Hydrocarbon production excluding Novatek (kboe/d) 2,524 2,475 +2% 2,508 +1%
* Company production = E&P production + Integrated LNG production.
Hydrocarbon production was 2,524 thousand barrels of oil equivalent per day
(kboe/d) in the first quarter of 2023, up 1% year-on-year (excluding Novatek),
comprised of:
* +4% due to start-ups and ramp-ups, notably Mero 1 in Brazil and Ikike in
Nigeria,
* +1% due to the increase in OPEC+ production quotas,
* -1% portfolio effect, notably related to the end of the Bongkot operating
licenses in Thailand, the exit from Termokarstovoye and Kharyaga in Russia and
the effective withdrawal from Myanmar, partially offset by the entry into the
producing fields of Sépia and Atapu in Brazil and SARB / Umm Lulu in the
United Arab Emirates, as well as the increased participation in the Waha
concessions in Libya,
* -3% due to the natural decline of the fields.
Production was up 2% quarter-on-quarter (excluding Novatek), benefiting in
particular from the start-up of gas production from Block 10 in Oman, the
acquisition of an interest in the SARB / Umm Lulu oil fields in the United
Arab Emirates, and the ramp-up of Johan Sverdrup Phase 2 project in Norway.
4. Analysis of business segments
4.1 Integrated LNG
4.1.1 Production
Hydrocarbon production for LNG 1Q23 4Q22 1Q23 1Q22 1Q23
vs vs
4Q22 1Q22
Integrated LNG (kboe/d) 463 503 -8% 492 -6%
Liquids (kb/d) 62 58 +6% 60 +3%
Gas (Mcf/d) 2,179 2,420 -10% 2,349 -7%
Integrated LNG excluding Novatek (kboe/d) 463 445 +4% 433 +7%
Liquefied Natural Gas in Mt 1Q23 4Q22 1Q23 1Q22 1Q23
vs vs
4Q22 1Q22
Overall LNG sales 11.0 12.7 -13% 13.3 -17%
incl. Sales from equity production* 4.0 4.4 -11% 4.4 -11%
incl. Sales by TotalEnergies from equity production and third party purchases 9.9 11.4 -14% 11.9 -17%
* The Company’s equity production may be sold by TotalEnergies or by the
joint ventures.
Hydrocarbon production for LNG was up 7% year-on-year (excluding Novatek), due
to the restart of Snøhvit in Norway during the second quarter 2022.
Overall LNG sales in the first quarter of 2023 were down 17% year-on-year,
mainly as a result of lower spot volumes, linked to lower demand for LNG in
Europe due to the mild winter weather and high inventories.
4.1.2 Results
In millions of dollars 1Q23 4Q22 1Q23 1Q22 1Q23
vs vs
4Q22 1Q22
Adjusted net operating income* 2,072 2,408 -14% 3,133 -34%
including adjusted income from equity affiliates 786 1,213 -35% 1,404 -44%
Organic investments 396 195 x2 (61) ns
Net acquisitions 759 19 x39.9 (20) ns
Net investments 1,155 214 x5.4 (81) ns
Operating cash flow before working capital changes ** 2,081 2,688 -23% 2,492 -16%
Cash flow from operations *** 3,536 134 x26.4 2,219 +59%
* Detail of adjustment items shown in the business segment information annex
to financial statements.
** Excluding financial charges, except those related to lease contracts,
excluding the impact of contracts recognized at fair value.
*** Excluding financial charges, except those related to leases.
Integrated LNG adjusted net operating income was $2,072 million in the first
quarter 2023:
* down 10% quarter-on-quarter (excluding Novatek), mainly due to lower
hydrocarbon prices;
* down 25% year-on-year (excluding Novatek) due to lower LNG sales and prices,
as well as exceptional trading results in the first quarter of 2022.
Operating cash flow before working capital changes for Integrated LNG was
$2,081 million in the first quarter 2023:
* down 23% quarter-on-quarter (excluding Novatek), due to lower prices and a lag
effect on dividend payments received from equity affiliates;
* down 16% year-on-year (excluding Novatek), due to lower prices.
Cash flow from operations was $3,536 million for the quarter, linked to the
positive impact on working capital of the decrease in margin calls and
receivables.
4.2 Integrated Power
4.2.1 Capacities, productions, clients and sales
Integrated Power 1Q23 4Q22 1Q23 1Q22 1Q23
vs vs
4Q22 1Q22
Portfolio of renewable power generation gross capacity (GW) ((1),(2)) 70.4 69.0 +2% 46.8 +50%
o/w installed capacity 17.9 16.8 +7% 10.7 +68%
o/w capacity in construction 6.2 6.1 +1% 6.1 +2%
o/w capacity in development 46.3 46.0 +1% 30.1 +54%
Portfolio of renewable power generation net capacity (GW) ((2)) 44.4 45.5 -2% 34.4 +29%
o/w installed capacity 8.4 7.7 +9% 5.4 +55%
o/w capacity in construction 4.0 4.1 -2% 4.2 -3%
o/w capacity in development 32.0 33.6 -5% 24.8 +29%
Gas-fired power generation gross installed capacity (GW) ((2)) 5.8 5.8 - 5.8 -
Gas-fired power generation net installed capacity (GW) ((2)) 4.3 4.3 - 4.5 -5%
Net power production (TWh) ((3)) 8.4 9.4 -11% 7.6 +10%
incl. power production from renewables 3.8 3.3 +16% 2.2 +72%
Clients power - BtB and BtC (Million) ((2)) 6.0 6.1 -2% 6.1 -1%
Clients gas - BtB and BtC (Million) ((2)) 2.8 2.7 - 2.7 +1%
Sales power - BtB and BtC (TWh) 15.5 14.6 +6% 16.3 -5%
Sales gas - BtB and BtC (TWh) 37.3 28.1 +33% 35.0 +7%
((1) )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.
((2)) End of period data.
((3)) Solar, wind, hydroelectric and combined-cycle gas turbine (CCGT) plants.
Gross installed renewable power generation capacity was close to 18 GW at the
end of the first quarter 2023, up by more than 1 GW quarter-on-quarter,
including 0.6 GW from the acquisition of an interest in the Casa dos Ventos
portfolio of renewable projects in Brazil and the connection of 0.3 GW from
the Seagreen offshore wind project in the UK.
Net electricity generation was 8.4 TWh in the quarter:
* up 10% year-on-year, due to growing electricity generation from renewables,
offsetting the lower generation from flexible capacity,
* down 11% quarter-on-quarter due to lower flexible capacity generation in the
context of lower demand, partially offset by growing renewable power
generation.
4.2.2 Results
In millions of dollars 1Q23 4Q22 1Q23 1Q22 1Q23
vs vs
4Q22 1Q22
Adjusted net operating income* 370 481 -23% (82) ns
including adjusted income from equity affiliates 56 88 -36% 26 x2.2
Organic investments 577 455 +27% 319 +81%
Net acquisitions 519 (230) ns 661 -22%
Net investments 1,096 225 x4.9 980 +12%
Operating cash flow before working capital changes ** 440 439 - 93 x4.7
Cash flow from operations *** (1,285) 861 ns (1,904) ns
* Detail of adjustment items shown in the business segment information annex
to financial statements.
** Excluding financial charges, except those related to lease contracts,
excluding the impact of contracts recognized at fair value for the sector and
including capital gains on the sale of renewable projects.
*** Excluding financial charges, except those related to leases. Excluding
margin calls, reported in the Integrated LNG segment since the implementation
in 2022 of its centralized management.
Integrated Power adjusted net operating income was $370 million in the first
quarter 2023:
* up significantly year-on-year, due to the contribution from gas-fired power
plants and the performance of power trading, which offset the impact of
seasonality in the power marketing business,
* down 23% quarter-on-quarter, notably due to the impact of seasonality in the
power marketing business.
Cash flow from operations was ($1,285) million in the first quarter 2023,
mainly due to the negative impact on working capital of the seasonality of the
power & gas marketing business (gap between a seasonal monthly cost of
supply and a fixed monthly B2C clients payment estimated on the year-n-1
consumption).
4.3 Exploration & Production
4.3.1 Production
Hydrocarbon production 1Q23 4Q22 1Q23 1Q22 1Q23
vs vs
4Q22 1Q22
EP (kboe/d) 2,061 2,309 -11% 2,351 -12%
Liquids (kb/d) 1,500 1,512 -1% 1,467 +2%
Gas (Mcf/d) 3,012 4,261 -29% 4,813 -37%
EP excluding Novatek (kboe/d) 2,061 2,030 +2% 2,075 -1%
4.3.2 Results
In millions of dollars, except effective tax rate 1Q23 4Q22 1Q23 1Q22 1Q23
vs vs
4Q22 1Q22
Adjusted net operating income* 2,653 3,528 -25% 5,015 -47%
including adjusted income from equity affiliates 135 316 -57% 355 -62%
Effective tax rate** 57.1% 54.4% - 47.0% -
Organic investments 2,134 2,219 -4% 1,426 +50%
Net acquisitions 1,938 105 x18.5 316 x6.1
Net investments 4,072 2,324 +75% 1,742 x2.3
Operating cash flow before working capital changes *** 4,907 4,988 -2% 7,303 -33%
Cash flow from operations *** 4,536 4,035 +12% 5,768 -21%
* Details on adjustment items are shown in the business segment information
annex to financial statements.
** 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).
*** Excluding financial charges, except those related to leases.
Exploration & Production adjusted net operating income was $2,653 million
in the first quarter 2023:
* down 22% quarter-on-quarter (excluding Novatek), due to lower oil and gas
prices,
* down 45% year-on-year (excluding Novatek) for the same reasons, as well as
higher taxation, particularly in the UK.
Operating cash flow before working capital changes in the first quarter 2023
was $4,907 million, down 3% quarter-on-quarter (excluding Novatek), reflecting
lower gas and oil prices in the first quarter 2023 and exceptional taxes
during the fourth quarter 2022, notably taxes related to the European
solidarity contribution.
4.4 Downstream (Refining & Chemicals and Marketing & Services)
4.4.1 Results
In millions of dollars 1Q23 4Q22 1Q23 1Q22 1Q23
vs vs
4Q22 1Q22
Adjusted net operating income* 1,898 1,821 +4% 1,392 +36%
Organic investments 290 1,023 -72% 292 -1%
Net acquisitions (229) (28) ns (34) ns
Net investments 61 995 -94% 258 -76%
Operating cash flow before working capital changes ** 2,189 1,681 +30% 1,896 +15%
Cash flow from operations ** (1,524) 939 ns 2,005 ns
* Detail of adjustment items shown in the business segment information annex
to financial statements.
** Excluding financial charges, except those related to leases.
4.5 Refining & Chemicals
4.5.1 Refinery and petrochemicals throughput and utilization rates
Refinery throughput and utilization rate* 1Q23 4Q22 1Q23 1Q22 1Q23
vs vs
4Q22 1Q22
Total refinery throughput (kb/d) 1,403 1,389 +1% 1,317 +6%
France 357 312 +14% 252 +42%
Rest of Europe 596 580 +3% 605 -1%
Rest of world 450 497 -10% 460 -2%
Utlization rate based on crude only** 78% 77% 74%
* Includes refineries in Africa reported in the Marketing & Services
segment.
** Based on distillation capacity at the beginning of the year.
Petrochemicals production and utilization rate 1Q23 4Q22 1Q23 1Q22 1Q23
vs vs
4Q22 1Q22
Monomers* (kt) 1,295 1,095 +18% 1,404 -8%
Polymers (kt) 1,111 917 +21% 1,274 -13%
Steamcracker utilization rate** 75% 66% 86%
* Olefins.
** Based on olefins production from steam crackers and their treatment
capacity at the start of the year.
Refined volumes were up 6% year-on-year, notably due to the restart of the
Donges refinery in France in the second quarter 2022.
Petrochemical production was down 8% year-on-year for monomers and 13% for
polymers, due to slowing global demand.
4.5.2 Results
In millions of dollars 1Q23 4Q22 1Q23 1Q22 1Q23
vs vs
4Q22 1Q22
Adjusted net operating income* 1,618 1,487 +9% 1,120 +44%
Organic investments 198 585 -66% 197 +1%
Net acquisitions 5 (5) ns - ns
Net investments 203 580 -65% 197 +3%
Operating cash flow before working capital changes ** 1,733 1,144 +51% 1,433 +21%
Cash flow from operations ** (851) 232 ns 1,107 ns
* Detail of adjustment items shown in the business segment information annex
to financial statements.
** Excluding financial charges, except those related to leases.
Refining & Chemicals adjusted net operating income was $1,618 million in
the first quarter 2023:
* up 9% quarter-on-quarter, due to strong margins,
* up 44% year-on-year for the same reason as well as higher refined volumes.
Operating cash flow before working capital changes was $1,733 million in the
first quarter of 2023, up 51% quarter-on-quarter, taking into account the
fourth quarter 2022 negative impact of the European solidarity contribution
for refining activities of $0.7 billion.
Cash flow from operations was ($851) million in the first quarter of 2023, due
to the negative impact on working capital of an increase in inventories linked
to strikes in France in March.
4.6 Marketing & Services
4.6.1 Petroleum product sales
Sales in kb/d* 1Q23 4Q22 1Q23 1Q22 1Q23
vs vs
4Q22 1Q22
Total Marketing & Services sales 1,360 1,450 -6% 1,452 -6%
Europe 757 816 -7% 790 -4%
Rest of world 602 634 -5% 662 -9%
* Excludes trading and bulk refining sales.
In the first quarter 2023, sales of petroleum products were down 6%
quarter-on-quarter and year-on-year, due to lower industrial demand in Europe
linked to higher prices for petroleum products, partially offset by the
recovery in aviation activities.
4.6.2 Results
In millions of dollars 1Q23 4Q22 1Q23 1Q22 1Q23
vs vs
4Q22 1Q22
Adjusted net operating income* 280 334 -16% 272 +3%
Organic investments 92 438 -79% 95 -3%
Net acquisitions (234) (23) ns (34) ns
Net investments (142) 415 ns 61 ns
Operating cash flow before working capital changes ** 456 537 -15% 463 -2%
Cash flow from operations ** (673) 707 ns 898 ns
* Detail of adjustment items shown in the business segment information annex
to financial statements.
** Excluding financial charges, except those related to leases.
Marketing & Services adjusted net operating income was $280 million in the
first quarter 2023, up 3% year-on-year, mainly thanks to the strong
performance of the retail network activities.
Cash flow from operations was ($673) million in the first quarter of 2023, due
to the negative impact of lower prices on working capital.
5. TotalEnergies results
5.1 Adjusted net operating income from business segments
Adjusted net operating income from business segments was $6,993 million in the
first quarter 2023, compared to $9,458 million in the first quarter of 2022,
mainly due to lower oil and gas prices.
5.2 Adjusted net income (TotalEnergies share)
TotalEnergies adjusted net income was $6,541 million in the first quarter 2023
versus $8,977 million in the first quarter of 2022, mainly due to lower oil
and gas prices.
Adjusted net income excludes the after-tax inventory effect, special items and
the impact of changes in fair value((16)).
Adjustments to net income((17)) were ($984) million in the first quarter 2023,
consisting mainly of:
* ($0.4) billion of inventory effect,
* ($0.4) billion effects of changes in fair value,
* ($0.2) billion related to the impacts of the European solidarity contribution
and the inframarginal income contribution in France.
TotalEnergies’ average tax rate of 41.4% in the first quarter 2023 was
stable compared to the previous quarter, versus 38.7% in the first quarter
2022, mainly as a result of the higher tax rate for Exploration &
Production, related notably to the Energy Profits Levy in the UK.
5.3 Adjusted earnings per share
Adjusted diluted net earnings per share were $2.61 in the first quarter 2023,
based on 2,479 million weighted average diluted shares, compared to $3.40 a
year earlier.
As of March 31, 2023, the number of diluted shares was 2,468 million.
As part of its shareholder return policy, TotalEnergies repurchased 32.2
million shares for cancellation in the first quarter of 2023 for $2 billion.
5.4 Acquisitions - asset sales
Acquisitions were $3,256 million in the first quarter 2023, notably for:
* the acquisition of a 20% interest in the SARB/ Umm Lulu concession in the
United Arab Emirates,
* payments related to the acquisition of a 6.25% stake in the NFE LNG project in
Qatar,
* a 34% stake in a joint venture with Casa dos Ventos in Brazil.
Divestments were $269 million in the first quarter 2023, mainly related to the
sale of 50% of the Marketing & Services subsidiary in Egypt.
5.5 Net cash flow
TotalEnergies' net cash flow((18)) was $3,201 million in the first quarter
2023 compared to $8,723 million a year earlier, given the $2,005 million
decrease in cash flow and the $3,517 million increase in net investments to
$6,420 million this quarter.
In the first quarter, cash flow from operations was $5,133 million compared to
$9,621 million of operating cash flow before working capital changes,
reflecting the $4.5 billion increase in working capital requirements, mainly
due to the effects of lower prices on tax and trade payables, higher crude and
petroleum product inventories notably due to the strikes in France, and the
seasonality of the gas and power marketing business.
((16) )These adjustment elements are explained page 25.
((17)) Total net income adjustment items are detailed page 19 as well as in
the annexes to the accounts.
((18) )Net cash flow = operating cash flow before working capital changes -
net investments (including other transactions with non-controlling interest).
5.6 Profitability
Return on equity was 29.7% for the twelve months ended March 31, 2023.
In millions of dollars April 1, 2022 January 1, 2022 April 1, 2021
March 31, 2023 December 31, 2022 Ma
rc
h
31
,
20
22
Adjusted net income 34,219 36,657 24,382
Average adjusted shareholders' equity 115,233 112,831 111,794
Return on equity (ROE) 29.7% 32.5% 21.8%
Return on average capital employed was 25.4% for the twelve months ended March
31, 2023.
In millions of dollars April 1, 2022 January 1, 2022 April 1, 2021
March 31, 2023 December 31, 2022 Ma
rc
h
31
,
20
22
Adjusted net operating income 35,712 38,212 25,803
Average capital employed 140,842 135,312 143,517
ROACE 25.4% 28.2% 18.0%
6. TotalEnergies SE statutory accounts
Net income for TotalEnergies SE, the parent company, amounted to €2,189
million in the first quarter 2023, compared to €1,035 million in the first
quarter 2022.
7. Annual 2023 Sensitivities*
Change Estimated impact on adjusted Estimated impact on cash flow from operations
net operating income
Dollar +/- 0,1 $ par € -/+ 0,1 G$ ~0 G$
Average liquids price** +/- 10 $/b +/- 2,5 G$ +/- 3,0 G$
European gas price - NBP / TTF +/- 2 $/Mbtu +/- 0,4 G$ +/- 0,4 G$
Variable cost margin, European refining (VCM) +/- 10 $/t +/- 0,4 G$ +/- 0,5 G$
* 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 2023. 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.
** In a 80 $/b Brent environment.
8. Outlook
After briefly falling below $75/b in mid-March, oil prices rose above $80/b in
April, notably due to the decision by some OPEC+ countries to reduce their
production quotas to stabilize a market marked by fears of financial crisis
and recession.
After several quarters of exceptionally high diesel cracks, European refining
margins are easing down because of lower economic growth expectations and high
products inventories fueled by Chinese exports and the quicker than
anticipated reorganization of Russian flows following the European embargo.
Demand for petroleum products could be supported in the coming weeks by the
entry into the driving season in the US for gasoline, as well as the global
recovery of air traffic for aviation fuel.
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 between $10-12/Mbtu in the second quarter 2023.
Given the high inventory levels at the end of winter, European and Asian gas
prices are expected to remain stable in the second quarter before rebounding
in the second half 2023, driven by restocking gas in Europe before winter and
the demand recovery in China, in a context of limited LNG production growth.
Futures markets anticipate prices in the range of $18/Mbtu for winter 2023-24.
For the second quarter 2023, TotalEnergies anticipates a hydrocarbon
production around 2.5 Mboe/d, LNG sales that should benefit from the restart
of Freeport LNG and a utilization rate in refineries up to more than 80% given
the end of strikes in France.
The Company confirms its guidance for net investments between $16-18 billion
in 2023, including $5 billion in low-carbon energies.
* * * *
To listen to the conference call with CEO Patrick Pouyanné and CFO
Jean-Pierre Sbraire today at 13:30 (Paris time), please log on to
totalenergies.com or dial +44 (0) 121 281 8004 or +1 (718) 705-8796. The
conference replay will be available on the Company's website totalenergies.com
after the event.
* * * *
9. Operating information by segment
9.1 Company’s production (Exploration & Production + Integrated LNG)
Combined liquids and gas 1Q23 4Q22 1Q23 1Q22 1Q23
production by region (kboe/d) vs vs
4Q22 1Q22
Europe 583 918 -37% 959 -39%
Africa 494 477 +4% 498 -1%
Middle East and North Africa 718 703 +2% 670 +7%
Americas 441 442 - 386 +14%
Asia-Pacific 288 272 +6% 330 -13%
Total production 2,524 2,812 -10% 2,843 -11%
includes equity affiliates 344 670 -49% 715 -52%
Liquids production by region (kb/d) 1Q23 4Q22 1Q23 1Q22 1Q23
vs vs
4Q22 1Q22
Europe 235 282 -17% 298 -21%
Africa 371 358 +4% 371 -
Middle East and North Africa 578 565 +2% 538 +7%
Americas 263 259 +2% 201 +31%
Asia-Pacific 116 106 +9% 119 -3%
Total production 1,562 1,570 - 1,527 +2%
includes equity affiliates 150 199 -24% 210 -29%
Gas production by region (Mcf/d) 1Q23 4Q22 1Q23 1Q22 1Q23
vs vs
4Q22 1Q22
Europe 1,879 3,412 -45% 3,557 -47%
Africa 615 592 +4% 643 -4%
Middle East and North Africa 772 745 +4% 727 +6%
Americas 994 1,030 -3% 1,041 -5%
Asia-Pacific 931 902 +3% 1,194 -22%
Total production 5,191 6,681 -22% 7,162 -28%
includes equity affiliates 1,054 2,535 -58% 2,714 -61%
9.2 Downstream (Refining & Chemicals and Marketing & Services)
Petroleum product sales by region (kb/d) 1Q23 4Q22 1Q23 1Q22 1Q23
vs vs
4Q22 1Q22
Europe 1,736 1,665 +4% 1,635 +6%
Africa 667 743 -10% 761 -12%
Americas 849 740 +15% 775 +9%
Rest of world 623 558 +12% 531 +17%
Total consolidated sales 3,875 3,706 +5% 3,701 +5%
Includes bulk sales 387 388 - 409 -5%
Includes trading 2,127 1,868 +14% 1,840 +16%
Petrochemicals production* (kt) 1Q23 4Q22 1Q23 1Q22 1Q23
vs vs
4Q22 1Q22
Europe 1,047 835 +25% 1,260 -17%
Americas 607 477 +27% 638 -5%
Middle East and Asia 753 700 +7% 781 -4%
* Olefins, polymers.
9.3 Renewables
1Q23 4Q22
Installed power generation gross capacity (GW) ((1),(2)) Solar Onshore Wind Offshore Wind Other Total Solar Onshore Wind Offshore Wind Other Total
France 0.8 0.6 0.0 0.2 1.5 0.8 0.6 0.0 0.1 1.5
Rest of Europe 0.2 1.1 0.5 0.0 1.8 0.2 1.1 0.3 0.0 1.6
Africa 0.1 0.0 0.0 0.0 0.2 0.1 0.0 0.0 0.0 0.1
Middle East 1.2 0.0 0.0 0.0 1.2 1.2 0.0 0.0 0.0 1.2
North America 3.0 2.1 0.0 0.1 5.1 2.9 2.1 0.0 0.1 5.1
South America 0.4 0.9 0.0 0.0 1.3 0.4 0.3 0.0 0.0 0.7
India 5.0 0.4 0.0 0.0 5.4 4.9 0.4 0.0 0.0 5.3
Asia-Pacific 1.3 0.0 0.1 0.0 1.5 1.2 0.0 0.1 0.0 1.4
Total 12.0 5.0 0.7 0.3 17.9 11.7 4.5 0.4 0.2 16.8
1Q23 4Q22
Power generation gross capacity from renewables Solar Onshore Wind Offshore Wind Other Total Solar Onshore Wind Offshore Wind Other Total
in construction (GW) ((1),(2))
France 0.2 0.1 0.0 0.0 0.4 0.2 0.1 0.0 0.1 0.4
Rest of Europe 0.1 0.0 0.6 0.0 0.7 0.1 0.0 0.9 0.0 1.0
Africa 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Middle East 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
North America 2.7 0.1 0.0 0.5 3.4 2.6 0.0 0.0 0.5 3.1
South America 0.1 0.6 0.0 0.0 0.7 0.0 0.0 0.0 0.0 0.0
India 0.4 0.1 0.0 0.0 0.5 0.8 0.2 0.0 0.0 1.0
Asia-Pacific 0.0 0.0 0.5 0.0 0.6 0.1 0.0 0.5 0.0 0.6
Total 3.6 0.9 1.2 0.5 6.2 3.8 0.3 1.4 0.6 6.1
1Q23 4Q22
Power generation gross capacity from renewables Solar Onshore Wind Offshore Wind Other Total Solar Onshore Wind Offshore Wind Other Total
in development (GW) ((1),(2))
France 0.9 0.2 0.0 0.0 1.2 1.6 0.4 0.0 0.0 2.0
Rest of Europe 3.6 0.4 4.4 0.1 8.4 3.8 0.4 4.4 0.1 8.6
Africa 0.7 0.3 0.0 0.1 1.1 0.6 0.1 0.0 0.1 0.9
Middle East 0.5 0.0 0.0 0.0 0.5 0.6 0.0 0.0 0.0 0.6
North America 10.7 2.8 4.1 4.5 22.1 10.8 3.4 4.1 4.1 22.4
South America 1.3 0.5 0.0 0.0 1.8 0.8 1.1 0.0 0.2 2.0
India 4.6 0.2 0.0 0.0 4.8 4.4 0.1 0.0 0.0 4.5
Asia-Pacific 2.4 0.4 2.9 0.7 6.4 2.2 0.1 2.3 0.4 5.0
Total 24.7 4.8 11.4 5.4 46.3 24.8 5.5 10.8 4.9 46.0
((1)) Includes 20% of the gross capacities of Adani Green Energy Limited, 50%
of Clearway Energy Group and, from 1Q23, 49% of Casa dos Ventos.
((2) )End-of-period data.
10. Adjustment items to net income (TotalEnergies share)
In millions of dollars 1Q23 4Q22 1Q22
Special items affecting net income (TotalEnergies share) (159) (5,585) (4,993)
Gain (loss) on asset sales 203 - -
Restructuring charges - (14) (3)
Impairments (60) (3,845) (5,061)
Other (302) (1,726) 71
After-tax inventory effect : FIFO vs. replacement cost (391) (705) 1,040
Effect of changes in fair value (434) 1,993 (80)
Total adjustments affecting net income (984) (4,297) (4,033)
11. Reconciliation of adjusted EBITDA with consolidated financial statements
11.1 Reconciliation of net income (TotalEnergies share) to adjusted EBITDA
In millions of dollars 1Q23 4Q22 1Q23 1Q22 1Q23
vs vs
4Q22 1Q22
Net income - TotalEnergies share 5,557 3,264 +70% 4,944 +12%
Less: adjustment items to net income (TotalEnergies share) 984 4,297 -77% 4,033 -76%
Adjusted net income - TotalEnergies share 6,541 7,561 -13% 8,977 -27%
Adjusted items
Add: non-controlling interests 74 210 -65% 76 -3%
Add: income taxes 4,090 4,530 -10% 4,724 -13%
Add: depreciation, depletion and impairment of tangible assets and mineral interests 3,026 3,204 -6% 3,148 -4%
Add: amortization and impairment of intangible assets 99 111 -11% 96 +3%
Add: financial interest on debt 710 719 -1% 462 +54%
Less: financial income and expense from cash & cash equivalents (373) (338) ns (59) ns
Adjusted EBITDA 14,167 15,997 -11% 17,424 -19%
11.2 Reconciliation of revenues from sales to adjusted EBITDA and net income
(TotalEnergies share)
In millions of dollars 1Q23 4Q22 1Q23 1Q22 1Q23
vs vs
4Q22 1Q22
Adjusted items
Revenues from sales 58,309 63,884 -9% 63,938 -9%
Purchases, net of inventory variation (37,479) (42,755) ns (40,762) ns
Other operating expenses (7,752) (7,027) ns (7,409) ns
Exploration costs (94) (250) ns (136) ns
Other income 77 636 -88% 121 -36%
Other expense, excluding amortization and impairment of intangible assets (38) (480) ns (173) ns
Other financial income 248 266 -7% 119 x2.1
Other financial expense (183) (150) ns (135) ns
Net income (loss) from equity affiliates 1,079 1,873 -42% 1,861 -42%
Adjusted EBITDA 14,167 15,997 -11% 17,424 -19%
Adjusted items
Less: depreciation, depletion and impairment of tangible assets and mineral interests (3,026) (3,204) ns (3,148) ns
Less: amortization of intangible assets (99) (111) ns (96) ns
Less: financial interest on debt (710) (719) ns (462) ns
Add: financial income and expense from cash & cash equivalents 373 338 +10% 59 x6.3
Less: income taxes (4,090) (4,530) ns (4,724) ns
Less: non-controlling interests (74) (210) ns (76) ns
Add: adjustment - TotalEnergies share (984) (4,297) ns (4,033) ns
Net income - TotalEnergies share 5,557 3,264 +70% 4,944 +12%
12. Investments - Divestments
In millions of dollars 1Q23 4Q22 1Q23 1Q22 1Q23
vs vs
4Q22 1Q22
Organic investments ( a ) 3,433 3,935 -13% 1,981 +73%
Capitalized exploration 205 287 -29% 114 +80%
Increase in non-current loans 374 210 +78% 234 +60%
Repayment of non-current loans, (229) (259) ns (435) ns
excluding organic loan repayment from equity affiliates
Change in debt from renewable projects - (124) -100% - ns
(TotalEnergies share)
Acquisitions ( b ) 3,256 292 x11.2 1,400 x2.3
Asset sales ( c ) 269 425 -37% 478 -44%
Change in debt from renewable projects (partner share) (3) 109 ns (2) ns
Net acquisitions 2,987 (133) ns 922 x3.2
Net investments ( a + b - c ) 6,420 3,802 +69% 2,903 x2.2
Other transactions with non-controlling interests ( d ) - 50 -100% - ns
Organic loan repayment from equity affiliates ( e ) 6 (335) ns (487) ns
Change in debt from renewable projects financing * ( f ) (3) 233 ns (2) ns
Capex linked to capitalized leasing contracts ( g ) 60 61 -2% 36 +67%
Expenditures related to carbon credits ( h ) 1 8 -88% - ns
Cash flow used in investing activities ( a + b - c + d + e + f - g - h ) 6,362 3,681 +73% 2,378 x2.7
* Change in debt from renewable projects (TotalEnergies share and partner
share).
13. Cash flow
In millions of dollars 1Q23 4Q22 1Q23 1Q22 1Q23
vs vs
4Q22 1Q22
Operating cash flow before working capital changes w/o financial charges (DACF) 9,774 9,361 +4% 11,995 -19%
Financial charges (153) (226) ns (369) ns
Operating cash flow before working capital changes ( a ) * 9,621 9,135 +5% 11,626 -17%
(Increase) decrease in working capital ** (3,989) (2,247) ns (4,775) ns
Inventory effect (502) (895) ns 1,255 ns
Capital gain from renewable project sales (3) (40) ns (2) ns
Organic loan repayments from equity affiliates 6 (335) ns (487) ns
Cash flow from operations 5,133 5,618 -9% 7,617 -33%
Organic investments ( b ) 3,433 3,935 -13% 1,981 +73%
Free cash flow after organic investments, 6,188 5,200 +19% 9,645 -36%
w/o net asset sales ( a - b )
Net investments ( c ) 6,420 3,802 +69% 2,903 x2.2
Net cash flow ( a - c ) 3,201 5,333 -40% 8,723 -63%
* Operating cash flow before working capital changes, 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 sectors’ contracts and including capital gain from renewable projects
sale.
Historical data have been restated to cancel the impact of fair valuation of
Integrated LNG and Integrated Power sectors’ contracts.
** Changes in working capital are presented excluding the mark-to-market
effect of Integrated LNG and Integrated Power sectors’ contracts.
14. Gearing ratio
In millions of dollars 03/31/2023 12/31/2023 03/31/2022
Current borrowings (1) 16,280 14,065 16,759
Other current financial liabilities 597 488 502
Current financial assets (1),(2) (7,223) (8,556) (7,231)
Net financial assets classified as held for sale (38) (38) (38)
Non-current financial debt (1) 34,820 36,987 38,924
Non-current financial assets (1) (1,101) (1,303) (587)
Cash and cash equivalents (27,985) (33,026) (31,276)
Net debt (a) 15,350 8,617 17,053
Shareholders’ equity - TotalEnergies share 115,581 111,724 116,480
Non-controlling interests 2,863 2,846 3,375
Shareholders' equity (b) 118,444 114,570 119,855
Net-debt-to-capital ratio = a / (a+b) 11.5% 7.0% 12.5%
Leases (c) 8,131 8,096 8,028
Net-debt-to-capital ratio including leases (a+c) / (a+b+c) 16.5% 12.7% 17.3%
((1)) Excludes leases receivables and leases debts.
((2)) Including initial margins held as part of the Company's activities on
organized markets.
15. Return on average capital employed
Twelve months ended March 31, 2023
In millions of dollars Integrated LNG Integrated Power Exploration & Production Refining & Chemicals Marketing & Services Company
Adjusted net operating income 10,108 1,427 15,117 7,800 1,558 35,712
Capital employed at 03/31/2022* 44,803 9,937 71,518 8,847 7,751 141,853
Capital employed at 03/31/2023* 34,183 18,982 67,658 10,115 8,811 139,830
ROACE 25.6% 9.9% 21.7% 82.3% 18.8% 25.4%
Full-year 2022
In millions of dollars Integrated LNG Integrated Power Exploration & Production Refining & Chemicals Marketing & Services Company
Adjusted net operating income 11,169 975 17,479 7,302 1,550 38,212
Capital employed at 12/31/2021* 46,654 9,324 71,675 8,069 8,783 141,813
Capital employed at 12/31/2022* 33,671 16,225 65,784 7,438 7,593 128,811
ROACE 27.8% 7.6% 25.4% 94.2% 18.9% 28.2%
* At replacement cost (excluding after-tax inventory effect).
16. Restated key figures for 2021 and 2022 for Integrated LNG and Integrated
Power segments
16.1 Integrated LNG
16.1.1 Operational data
Hydrocarbon production for LNG 2021 2022 1Q22 2Q22 3Q22 4Q22
Integrated LNG (kboe/d) 529 469 492 462 418 503
Liquids (kb/d) 63 53 60 53 40 58
Gas (Mcf/d) 2,541 2,267 2,349 2,233 2,067 2,420
Liquefied Natural Gas in Mt 2021 2022 1Q22 2Q22 3Q22 4Q22
Overall LNG sales 42.0 48.1 13.3 11.7 10.4 12.7
incl. Sales from equity production* 17.4 17.0 4.4 4.1 4.0 4.4
incl. Sales by TotalEnergies from equity production and third party purchases 35.1 42.8 11.9 10.2 9.2 11.4
*The Company's equity production may be sold by TotalEnergies or by the
joint-ventures.
16.1.2 Restated key figures
In millions of dollars 2021 2022 1Q22 2Q22 3Q22 4Q22
Adjusted net operating income 5,591 11,169 3,133 2,215 3,413 2,408
including adjusted income from equity affiliates 2,659 5,637 1,404 1,192 1,828 1,213
Organic investments 2,061 519 (61) 171 213 195
Net acquisitions (910) (47) (20) (36) (10) 19
Net investments 1,151 472 (81) 135 203 214
Operating cash flow before working capital changes * 5,404 9,784 2,492 2,112 2,492 2,688
Cash flow from operations ** (2,765) 9,604 2,219 3,802 3,449 134
Capital employed end of period 46,654 33,671 44,803 41,606 37,742 33,671
Including the centralized management of balance sheet positions (including
margin calls) related to single market access for LNG, gas and power
activities since 2022.
Effects of changes in fair value in gas and LNG positions are allocated to the
operating income of Integrated LNG sector
Effects of changes in fair value in power positions are allocated to the
operating income of Integrated Power sector.
* Excluding financial charges, except those related to lease contracts,
excluding the impact of contracts recognized at fair value for the sector.
** Excluding financial charges, except those related to leases.
16.2 Integrated Power
16.2.1 Operational data
Integrated Power 2021 2022 1Q22 2Q22 3Q22 4Q22
Portfolio of renewable power generation gross capacity (GW) ((1),(2),(3)) 43.0 69.0 46.8 50.7 67.8 69.0
o/w installed capacity 10.3 16.8 10.7 11.6 16.0 16.8
o/w capacity in construction 6.5 6.1 6.1 5.2 5.4 6.1
o/w capacity in development 26.2 46.0 30.1 33.9 46.4 46.0
Portfolio of renewable power generation net capacity (GW) ((3)) 31.7 45.5 34.4 38.4 45.2 45.5
o/w installed capacity 5.1 7.7 5.4 5.8 7.4 7.7
o/w capacity in construction 4.6 4.1 4.2 3.7 3.5 4.1
o/w capacity in development 22.0 33.6 24.8 28.9 34.2 33.6
Gas-fired power generation gross installed capacity (GW) ((3)) 5.8 5.8 5.8 5.8 5.8 5.8
Gas-fired power generation net installed capacity (CCGT) (GW) ((3)) 4.5 4.3 4.5 4.3 4.3 4.3
Net power production (TWh) ((4)) 21.2 33.2 7.6 7.7 8.5 9.4
incl. power production from renewables 6.8 10.4 2.2 2.5 2.4 3.3
Clients power - BtB and BtC (Million) ((3)) 6.1 6.1 6.1 6.2 6.3 6.1
Clients gas - BtB and BtC (Million) ((3)) 2.7 2.7 2.7 2.7 2.8 2.7
Sales power - BtB and BtC (TWh) 56.6 55.3 16.3 12.3 12.1 14.6
Sales gas - BtB and BtC (TWh) 101.2 96.3 35.0 19.1 14.2 28.1
((1) )Includes 20% of Adani Green Energy Ltd’s gross capacity effective
first quarter 2021.
((2)) Includes 50% of Clearway Energy Group’s gross capacity effective third
quarter 2022.
((3)) End of period data.
((4)) Solar, wind, hydroelectric and combined-cycle gas turbine (CCGT) plants.
16.2.2 Restated key figures
In millions of dollars 2021 2022 1Q22 2Q22 3Q22 4Q22
Adjusted net operating income 652 975 (82) 340 236 481
including adjusted income from equity affiliates 37 201 26 27 60 88
Organic investments 1,280 1,385 319 170 440 455
Net acquisitions 2,075 2,136 661 (22) 1,728 (230)
Net investments 3,355 3,521 980 148 2,168 225
Operating cash flow before working capital changes * 720 970 93 248 191 439
Cash flow from operations ** 3,592 66 (1,904) 168 941 861
Capital employed end of period 9,324 16,225 9,937 12,568 17,181 16,225
Excluding the centralized management of balance sheet positions (including
margin calls) related to single market access for LNG, gas and power
activities since 2022.
Effects of changes in fair value in gas and LNG positions are allocated to the
operating income of Integrated LNG sector
Effects of changes in fair value in power positions are allocated to the
operating income of Integrated Power sector.
* Excluding financial charges, except those related to lease contracts,
excluding the impact of contracts recognized at fair value for the sector and
including capital gains on the sale of renewable projects.
** Excluding financial charges, except those related to leases.
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 first quarter 2023 from the
consolidated financial statements of TotalEnergies SE as of March 31, 2023
(unaudited). The limited review procedures by the Statutory Auditors are
underway. The notes to the consolidated financial statements (unaudited) are
available on the website totalenergies.com.
This document may contain 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
qualified 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 asset disposals, which are not considered to be
representative of the normal course of business, may be qualified as special
items although they may have occurred within prior years or are likely to
occur again within the coming years.
(ii) Inventory valuation effect
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 TotalEnergies’
principal competitors.
In the replacement cost method, which approximates the LIFO (Last-In,
First-Out) 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 price differentials 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 according to the FIFO
(First-In, First-Out) and the replacement cost.
(iii) Effect of changes in fair value
The effect of changes in fair value presented as an adjustment item reflects,
for some transactions, differences between internal measures of performance
used by TotalEnergies’ management 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.
TotalEnergies financial statements
First quarter 2023 consolidated accounts, IFRS
CONSOLIDATED STATEMENT OF INCOME
TotalEnergies
(unaudited)
1(st) quarter 4(th) quarter 1(st) quarter
(M$)((a)) 2023 2022 2022
Sales 62,603 68,582 68,606
Excise taxes (4,370) (4,629) (4,656)
Revenues from sales 58,233 63,953 63,950
Purchases, net of inventory variation (38,351) (41,555) (39,648)
Other operating expenses (7,785) (7,354) (7,623)
Exploration costs (92) (250) (861)
Depreciation, depletion and impairment of tangible assets and mineral (3,062) (2,505) (3,679)
interests
Other income 341 584 143
Other expense (300) (2,828) (2,290)
Financial interest on debt (710) (719) (462)
Financial income and expense from cash & cash equivalents 393 357 214
Cost of net debt (317) (362) (248)
Other financial income 258 266 203
Other financial expense (183) (150) (135)
Net income (loss) from equity affiliates 960 (281) 43
Income taxes (4,071) (6,077) (4,804)
Consolidated net income 5,631 3,441 5,051
TotalEnergies share 5,557 3,264 4,944
Non-controlling interests 74 177 107
Earnings per share ($) 2.23 1.27 1.87
Fully-diluted earnings per share ($) 2.21 1.26 1.85
(a) Except for per share amounts.
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
TotalEnergies
(unaudited)
1(st) quarter 4(th) quarter 1(st) quarter
(M$) 2023 2022 2022
Consolidated net income 5,631 3,441 5,051
Other comprehensive income
Actuarial gains and losses 3 387 -
Change in fair value of investments in equity instruments 4 (2) 3
Tax effect (8) (56) 11
Currency translation adjustment generated by the parent company 1,466 6,800 (1,750)
Items not potentially reclassifiable to profit and loss 1,465 7,129 (1,736)
Currency translation adjustment (1,250) (3,672) 1,012
Cash flow hedge 1,202 (9,669) (263)
Variation of foreign currency basis spread (3) (14) 49
share of other comprehensive income of equity affiliates, net amount (98) 842 (84)
Other 3 3 -
Tax effect (336) 2,932 53
Items potentially reclassifiable to profit and loss (482) (9,578) 767
Total other comprehensive income (net amount) 983 (2,449) (969)
Comprehensive income 6,614 992 4,082
TotalEnergies share 6,550 792 3,953
Non-controlling interests 64 200 129
CONSOLIDATED BALANCE SHEET
TotalEnergies
March 31, 2023 December 31, 2022 March 31, 2022
(M$) (unaudited) (unaudited) (unaudited)
ASSETS
Non-current assets
Intangible assets, net 33,234 31,931 32,504
Property, plant and equipment, net 107,499 107,101 104,450
Equity affiliates : investments and loans 29,997 27,889 29,334
Other investments 1,209 1,051 1,490
Non-current financial assets 2,357 2,731 1,490
Deferred income taxes 4,772 5,049 5,299
Other non-current assets 2,709 2,388 3,033
Total non-current assets 181,777 178,140 177,600
Current assets
Inventories, net 22,786 22,936 24,456
Accounts receivable, net 24,128 24,378 32,000
Other current assets 28,153 36,070 50,976
Current financial assets 7,535 8,746 7,415
Cash and cash equivalents 27,985 33,026 31,276
Assets classified as held for sale 668 568 856
Total current assets 111,255 125,724 146,979
Total assets 293,032 303,864 324,579
LIABILITIES & SHAREHOLDERS' EQUITY
Shareholders' equity
Common shares 7,828 8,163 8,137
Paid-in surplus and retained earnings 123,357 123,951 123,008
Currency translation adjustment (12,784) (12,836) (13,643)
Treasury shares (2,820) (7,554) (1,022)
Total shareholders' equity - TotalEnergies Share 115,581 111,724 116,480
Non-controlling interests 2,863 2,846 3,375
Total shareholders' equity 118,444 114,570 119,855
Non-current liabilities
Deferred income taxes 11,300 11,021 11,281
Employee benefits 1,840 1,829 2,610
Provisions and other non-current liabilities 21,270 21,402 21,649
Non-current financial debt 42,915 45,264 46,546
Total non-current liabilities 77,325 79,516 82,086
Current liabilities
Accounts payable 36,037 41,346 46,869
Other creditors and accrued liabilities 42,578 52,275 56,972
Current borrowings 17,884 15,502 18,252
Other current financial liabilities 597 488 502
Liabilities directly associated with the assets classified as held for sale 167 167 43
Total current liabilities 97,263 109,778 122,638
Total liabilities & shareholders' equity 293,032 303,864 324,579
CONSOLIDATED STATEMENT OF CASH FLOW
TotalEnergies
(unaudited)
1(st) quarter 4(th) quarter 1(st) quarter
(M$) 2023 2022 2022
CASH FLOW FROM OPERATING ACTIVITIES
Consolidated net income 5,631 3,441 5,051
Depreciation, depletion, amortization and impairment 3,187 2,749 4,578
Non-current liabilities, valuation allowances and deferred taxes 314 (75) 2,538
(Gains) losses on disposals of assets (252) 2,192 (13)
Undistributed affiliates' equity earnings (349) 1,506 262
(Increase) decrease in working capital (3,419) (3,791) (4,923)
Other changes, net 21 (404) 124
Cash flow from operating activities 5,133 5,618 7,617
CASH FLOW USED IN INVESTING ACTIVITIES
Intangible assets and property, plant and equipment additions (4,968) (4,097) (3,457)
Acquisitions of subsidiaries, net of cash acquired (136) (4) -
Investments in equity affiliates and other securities (1,407) (260) (89)
Increase in non-current loans (389) (211) (241)
Total expenditures (6,900) (4,572) (3,787)
Proceeds from disposals of intangible assets and property, plant and equipment 68 113 177
Proceeds from disposals of subsidiaries, net of cash sold 183 160 88
Proceeds from disposals of non-current investments 49 23 215
Repayment of non-current loans 238 595 929
Total divestments 538 891 1,409
Cash flow used in investing activities (6,362) (3,681) (2,378)
CASH FLOW USED IN FINANCING ACTIVITIES
Issuance (repayment) of shares:
- Parent company shareholders - - -
- Treasury shares (2,103) (2,551) (1,176)
Dividends paid:
- Parent company shareholders (1,844) (4,356) (1,928)
- Non-controlling interests (21) (12) (22)
Net issuance (repayment) of perpetual subordinated notes - - 1,958
Payments on perpetual subordinated notes (158) (51) (136)
Other transactions with non-controlling interests (86) (82) 5
Net issuance (repayment) of non-current debt 118 425 34
Increase (decrease) in current borrowings (1,274) (3,500) 657
Increase (decrease) in current financial assets and liabilities 1,394 3,554 5,594
Cash flow from (used in) financing activities (3,974) (6,573) 4,986
Net increase (decrease) in cash and cash equivalents (5,203) (4,636) 10,225
Effect of exchange rates 162 1,721 (291)
Cash and cash equivalents at the beginning of the period 33,026 35,941 21,342
Cash and cash equivalents at the end of the period 27,985 33,026 31,276
CONSOLIDATED STATEMENT OF CHANGES IN SHAREHOLDERS' EQUITY
TotalEnergies
(unaudited)
Common shares issued Paid-in surplus and retained earnings Currency translation adjustment Treasury shares Shareholders' equity - TotalEnergies Non-controlling interests Total shareholders' equity
Share
(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 of the first quarter 2022 - - 4,944 - - - 4,944 107 5,051
Other comprehensive income - - (19) (972) - - (991) 22 (969)
Comprehensive Income - - 4,925 (972) - - 3,953 129 4,082
Dividend - - - - - - - (22) (22)
Issuance of common shares - - - - - - - - -
Purchase of treasury shares - - - - (22,378,128) (1,176) (1,176) - (1,176)
Sale of treasury shares((a)) - - (315) - 6,168,047 315 - - -
Share-based payments - - 92 - - - 92 - 92
Share cancellation (30,665,526) (87) (1,418) - 30,665,526 1,505 - - -
Net issuance (repayment) of perpetual subordinated notes - - 1,958 - - - 1,958 - 1,958
Payments on perpetual subordinated notes - - (96) - - - (96) - (96)
Other operations with - - (1) - - - (1) 6 5
non-controlling interests
Other items - - 14 - - - 14 (1) 13
As of March 31, 2022 2,609,763,803 8,137 123,008 (13,643) (19,385,659) (1,022) 116,480 3,375 119,855
Net income from April 1 to December 31, 2022 - - 15,582 - - - 15,582 411 15,993
Other comprehensive income - - (2,914) 798 - - (2,116) (24) (2,140)
Comprehensive Income - - 12,668 798 - - 13,466 387 13,853
Dividend - - (9,989) - - - (9,989) (514) (10,503)
Issuance of common shares 9,367,482 26 344 - - - 370 - 370
Purchase of treasury shares - - - - (117,829,615) (6,535) (6,535) - (6,535)
Sale of treasury shares((a)) - - (3) - 27,607 3 - - -
Share-based payments - - 137 - - - 137 - 137
Share cancellation - - - - - - - - -
Net issuance (repayment) of perpetual subordinated notes - - (2,002) - - - (2,002) - (2,002)
Payments on perpetual subordinated notes - - (235) - - - (235) - (235)
Other operations with - - 46 9 - - 55 31 86
non-controlling interests
Other items - - (23) - - - (23) (433) (456)
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 of the first quarter 2023 - - 5,557 - - - 5,557 74 5,631
Other comprehensive income - - 913 80 - - 993 (10) 983
Comprehensive Income - - 6,470 80 - - 6,550 64 6,614
Dividend - - - - - - - (21) (21)
Issuance of common shares - - - - - - - - -
Purchase of treasury shares - - - - (33,842,858) (2,703) (2,703) - (2,703)
Sale of treasury shares((a)) - - (395) - 6,446,384 395 - - -
Share-based payments - - 54 - - - 54 - 54
Share cancellation (128,869,261) (335) (6,707) - 128,869,261 7,042 - - -
Net issuance (repayment) of perpetual subordinated notes - - - - - - - - -
Payments on perpetual subordinated notes - - (77) - - - (77) - (77)
Other operations with - - 39 (28) - - 11 (25) (14)
non-controlling interests
Other items - - 22 - - - 22 (1) 21
As of March 31, 2023 2,490,262,024 7,828 123,357 (12,784) (35,714,880) (2,820) 115,581 2,863 118,444
((a))Treasury shares related to the performance share grants.
INFORMATION BY BUSINESS SEGMENT
TotalEnergies
(unaudited)
1(st) quarter 2023 Integrated LNG Integrated Power Exploration Refining Marketing Corporate Intercompany Total
&
&
&
Production
Chemicals
Services
(M$)
External sales 4,872 8,555 1,954 24,855 22,359 8 - 62,603
Intersegment sales 5,999 1,685 10,728 9,061 120 57 (27,650) -
Excise taxes - - - (184) (4,186) - - (4,370)
Revenues from sales 10,871 10,240 12,682 33,732 18,293 65 (27,650) 58,233
Operating expenses (9,445) (9,831) (4,762) (31,892) (17,787) (161) 27,650 (46,228)
Depreciation, depletion and impairment of tangible assets and mineral (288) (47) (2,066) (414) (224) (23) - (3,062)
interests
Operating income 1,138 362 5,854 1,426 282 (119) - 8,943
Net income (loss) from equity affiliates and other items 804 (70) 68 52 243 (21) - 1,076
Tax on net operating income (205) (111) (3,398) (325) (119) 63 - (4,095)
Net operating income 1,737 181 2,524 1,153 406 (77) - 5,924
Net cost of net debt (293)
Non-controlling interests (74)
Net income - TotalEnergies share 5,557
1(st) quarter 2023 (adjustments)((a)) Integrated LNG Integrated Power Exploration Refining Marketing Corporate Intercompany Total
&
&
&
Production
Chemicals
Services
(M$)
External sales (76) - - - - - - (76)
Intersegment sales - - - - - - - -
Excise taxes - - - - - - - -
Revenues from sales (76) - - - - - - (76)
Operating expenses (300) (70) (8) (424) (101) - - (903)
Depreciation, depletion and impairment of tangible assets and mineral - - - (36) - - - (36)
interests
Operating income ((b)) (376) (70) (8) (460) (101) - - (1,015)
Net income (loss) from equity affiliates and other items (4) (111) (73) (37) 217 - - (8)
Tax on net operating income 45 (8) (48) 32 10 - - 31
Net operating income ((b)) (335) (189) (129) (465) 126 - - (992)
Net cost of net debt 8
Non-controlling interests -
Net income - TotalEnergies share (984)
((a) )Adjustments include special items, inventory valuation effect and the
effect of changes in fair value.
((b) )Of which inventory valuation effect
- On operating income - - (415) (87) -
- On net operating income - - (327) (64) -
1(st) quarter 2023 (adjusted) Integrated LNG Integrated Power Exploration Refining Marketing Corporate Intercompany Total
&
&
&
Production
Chemicals
Services
(M$)
External sales 4,948 8,555 1,954 24,855 22,359 8 - 62,679
Intersegment sales 5,999 1,685 10,728 9,061 120 57 (27,650) -
Excise taxes - - - (184) (4,186) - - (4,370)
Revenues from sales 10,947 10,240 12,682 33,732 18,293 65 (27,650) 58,309
Operating expenses (9,145) (9,761) (4,754) (31,468) (17,686) (161) 27,650 (45,325)
Depreciation, depletion and impairment of tangible assets and mineral (288) (47) (2,066) (378) (224) (23) - (3,026)
interests
Adjusted operating income 1,514 432 5,862 1,886 383 (119) - 9,958
Net income (loss) from equity affiliates and other items 808 41 141 89 26 (21) - 1,084
Tax on net operating income (250) (103) (3,350) (357) (129) 63 - (4,126)
Adjusted net operating income 2,072 370 2,653 1,618 280 (77) - 6,916
Net cost of net debt (301)
Non-controlling interests (74)
Adjusted net income - TotalEnergies share 6,541
1(st) quarter 2023 Integrated LNG Integrated Power Exploration Refining Marketing Corporate Intercompany Total
&
&
&
Production
Chemicals
Services
(M$)
Total expenditures 1,195 1,234 4,052 225 159 35 - 6,900
Total divestments 49 149 31 8 301 - - 538
Cash flow from operating activities 3,536 (1,285) 4,536 (851) (673) (130) - 5,133
INFORMATION BY BUSINESS SEGMENT
TotalEnergies
(unaudited)
4(th) quarter 2022 Integrated LNG Integrated Power Exploration Refining Marketing Corporate Intercompany Total
&
&
&
Production
Chemicals
Services
(M$)
External sales 4,628 10,055 2,600 26,650 24,637 12 - 68,582
Intersegment sales 5,783 1,807 12,866 11,730 274 63 (32,523) -
Excise taxes - - - (199) (4,430) - - (4,629)
Revenues from sales 10,411 11,862 15,466 38,181 20,481 75 (32,523) 63,953
Operating expenses (8,361) (9,836) (6,173) (37,107) (19,939) (266) 32,523 (49,159)
Depreciation, depletion and impairment of tangible assets and mineral (405) (54) (1,343) (393) (276) (34) - (2,505)
interests
Operating income 1,645 1,972 7,950 681 266 (225) - 12,289
Net income (loss) from equity affiliates and other items 1,150 103 (3,874) 161 (62) 113 - (2,409)
Tax on net operating income (269) (112) (4,635) (898) (113) 22 - (6,005)
Net operating income 2,526 1,963 (559) (56) 91 (90) - 3,875
Net cost of net debt (434)
Non-controlling interests (177)
Net income - TotalEnergies share 3,264
4(th) quarter 2022 (adjustments)((a)) Integrated LNG Integrated Power Exploration Refining Marketing Corporate Intercompany Total
&
&
&
Production
Chemicals
Services
(M$)
External sales 69 - - - - - - 69
Intersegment sales - - - - - - - -
Excise taxes - - - - - - - -
Revenues from sales 69 - - - - - - 69
Operating expenses 382 1,719 (108) (821) (211) (88) - 873
Depreciation, depletion and impairment of tangible assets and mineral (108) - 844 - (37) - - 699
interests
Operating income ((b)) 343 1,719 736 (821) (248) (88) - 1,641
Net income (loss) from equity affiliates and other items (195) (113) (4,025) (101) (9) - - (4,443)
Tax on net operating income (30) (124) (798) (621) 14 23 - (1,536)
Net operating income ((b)) 118 1,482 (4,087) (1,543) (243) (65) - (4,338)
Net cost of net debt 8
Non-controlling interests 33
Net income - TotalEnergies share (4,297)
((a) )Adjustments include special items, inventory valuation effect and the
effect of changes in fair value.
((b) )Of which inventory valuation effect
- On operating income - - (712) (184) -
- On net operating income - - (586) (137) -
4(th) quarter 2022 (adjusted) Integrated LNG Integrated Power Exploration Refining Marketing Corporate Intercompany Total
&
&
&
Production
Chemicals
Services
(M$)
External sales 4,559 10,055 2,600 26,650 24,637 12 - 68,513
Intersegment sales 5,783 1,807 12,866 11,730 274 63 (32,523) -
Excise taxes - - - (199) (4,430) - - (4,629)
Revenues from sales 10,342 11,862 15,466 38,181 20,481 75 (32,523) 63,884
Operating expenses (8,743) (11,555) (6,065) (36,286) (19,728) (178) 32,523 (50,032)
Depreciation, depletion and impairment of tangible assets and mineral (297) (54) (2,187) (393) (239) (34) - (3,204)
interests
Adjusted operating income 1,302 253 7,214 1,502 514 (137) - 10,648
Net income (loss) from equity affiliates and other items 1,345 216 151 262 (53) 113 - 2,034
Tax on net operating income (239) 12 (3,837) (277) (127) (1) - (4,469)
Adjusted net operating income 2,408 481 3,528 1,487 334 (25) - 8,213
Net cost of net debt (442)
Non-controlling interests (210)
Adjusted net income - TotalEnergies share 7,561
4(th) quarter 2022 Integrated LNG Integrated Power Exploration Refining Marketing Corporate Intercompany Total
&
&
&
Production
Chemicals
Services
(M$)
Total expenditures 310 640 2,478 588 507 49 - 4,572
Total divestments 319 186 215 125 42 4 - 891
Cash flow from operating activities 134 861 4,035 232 707 (351) - 5,618
INFORMATION BY BUSINESS SEGMENT
TotalEnergies
(unaudited)
1(st) quarter 2022 Integrated LNG Integrated Power Exploration Refining Marketing Corporate Intercompany Total
&
&
&
Production
Chemicals
Services
(M$)
External sales 5,507 6,787 2,151 31,008 23,149 4 - 68,606
Intersegment sales 3,498 521 13,818 9,277 267 63 (27,444) -
Excise taxes - - - (192) (4,464) - - (4,656)
Revenues from sales 9,005 7,308 15,969 40,093 18,952 67 (27,444) 63,950
Operating expenses (6,886) (7,294) (5,708) (37,411) (17,984) (293) 27,444 (48,132)
Depreciation, depletion and impairment of tangible assets and mineral (278) (43) (2,661) (380) (273) (44) - (3,679)
interests
Operating income 1,841 (29) 7,600 2,302 695 (270) - 12,139
Net income (loss) from equity affiliates and other items (2,495) (5) 242 156 (42) 108 - (2,036)
Tax on net operating income (261) (33) (3,863) (525) (225) 105 - (4,802)
Net operating income (915) (67) 3,979 1,933 428 (57) - 5,301
Net cost of net debt (250)
Non-controlling interests (107)
Net income - TotalEnergies share 4,944
1(st) quarter 2022 (adjustments)((a)) Integrated LNG Integrated Power Exploration Refining Marketing Corporate Intercompany Total
&
&
&
Production
Chemicals
Services
(M$)
External sales (3) 15 - - - - - 12
Intersegment sales - - - - - - - -
Excise taxes - - - - - - - -
Revenues from sales (3) 15 - - - - - 12
Operating expenses (107) (10) (791) 947 268 (132) - 175
Depreciation, depletion and impairment of tangible assets and mineral - - (493) - (29) (9) - (531)
interests
Operating income ((b)) (110) 5 (1,284) 947 239 (141) - (344)
Net income (loss) from equity affiliates and other items (3,948) 9 (14) 117 (3) 106 - (3,733)
Tax on net operating income 10 1 262 (251) (80) 20 - (38)
Net operating income ((b)) (4,048) 15 (1,036) 813 156 (15) - (4,115)
Net cost of net debt 113
Non-controlling interests (31)
Net income - TotalEnergies share (4,033)
((a) )Adjustments include special items, inventory valuation effect and the
effect of changes in fair value.
((b) )Of which inventory valuation effect
- On operating income - - 947 308 -
- On net operating income - - 845 228 -
1(st) quarter 2022 (adjusted) Integrated LNG Integrated Power Exploration Refining Marketing Corporate Intercompany Total
&
&
&
Production
Chemicals
Services
(M$)
External sales 5,510 6,772 2,151 31,008 23,149 4 - 68,594
Intersegment sales 3,498 521 13,818 9,277 267 63 (27,444) -
Excise taxes - - - (192) (4,464) - - (4,656)
Revenues from sales 9,008 7,293 15,969 40,093 18,952 67 (27,444) 63,938
Operating expenses (6,779) (7,284) (4,917) (38,358) (18,252) (161) 27,444 (48,307)
Depreciation, depletion and impairment of tangible assets and mineral (278) (43) (2,168) (380) (244) (35) - (3,148)
interests
Adjusted operating income 1,951 (34) 8,884 1,355 456 (129) - 12,483
Net income (loss) from equity affiliates and other items 1,453 (14) 256 39 (39) 2 - 1,697
Tax on net operating income (271) (34) (4,125) (274) (145) 85 - (4,764)
Adjusted net operating income 3,133 (82) 5,015 1,120 272 (42) - 9,416
Net cost of net debt (363)
Non-controlling interests (76)
Adjusted net income - TotalEnergies share 8,977
1(st) quarter 2022 Integrated LNG Integrated Power Exploration Refining Marketing Corporate Intercompany Total
&
&
&
Production
Chemicals
Services
(M$)
Total expenditures 290 1,149 1,971 228 140 9 - 3,787
Total divestments 844 171 283 27 79 5 - 1,409
Cash flow from operating activities 2,219 (1,904) 5,768 1,107 898 (471) - 7,617
Reconciliation of the information by business segment with Consolidated
Financial Statements
TotalEnergies
(unaudited)
Consolidated
1(st) quarter 2023 statement
(M$) Adjusted Adjustments((a)) of income
Sales 62,679 (76) 62,603
Excise taxes (4,370) - (4,370)
Revenues from sales 58,309 (76) 58,233
Purchases net of inventory variation (37,479) (872) (38,351)
Other operating expenses (7,752) (33) (7,785)
Exploration costs (94) 2 (92)
Depreciation, depletion and impairment of tangible assets and mineral (3,026) (36) (3,062)
interests
Other income 77 264 341
Other expense (137) (163) (300)
Financial interest on debt (710) - (710)
Financial income and expense from cash & cash equivalents 373 20 393
Cost of net debt (337) 20 (317)
Other financial income 248 10 258
Other financial expense (183) - (183)
Net income (loss) from equity affiliates 1,079 (119) 960
Income taxes (4,090) 19 (4,071)
Consolidated net income 6,615 (984) 5,631
TotalEnergies share 6,541 (984) 5,557
Non-controlling interests 74 - 74
(a) Adjustments include special items, inventory valuation effect and the
effect of changes in fair value.
Consolidated
1(st) quarter 2022 statement
(M$) Adjusted Adjustments((a)) of income
Sales 68,594 12 68,606
Excise taxes (4,656) - (4,656)
Revenues from sales 63,938 12 63,950
Purchases net of inventory variation (40,762) 1,114 (39,648)
Other operating expenses (7,409) (214) (7,623)
Exploration costs (136) (725) (861)
Depreciation, depletion and impairment of tangible assets and mineral (3,148) (531) (3,679)
interests
Other income 121 22 143
Other expense (269) (2,021) (2,290)
Financial interest on debt (462) - (462)
Financial income and expense from cash & cash equivalents 59 155 214
Cost of net debt (403) 155 (248)
Other financial income 119 84 203
Other financial expense (135) - (135)
Net income (loss) from equity affiliates 1,861 (1,818) 43
Income taxes (4,724) (80) (4,804)
Consolidated net income 9,053 (4,002) 5,051
TotalEnergies share 8,977 (4,033) 4,944
Non-controlling interests 76 31 107
(a) Adjustments include special items, inventory valuation effect and the
effect of changes in fair value.
TotalEnergies contacts
Media Relations: +33 (0)1 47 44 46 99 l presse@totalenergies.com
(mailto:presse@totalenergies.com) l @TotalEnergiesPR
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Investor Relations: +33 (0)1 47 44 46 46 l ir@totalenergies.com
(mailto:ir@totalenergies.com)
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