Analysts expect a strong Q1 2025 performance from TotalEnergies, driven by increased oil and gas production and improved gas sales. The company, set to release its quarterly earnings on April 30, has shown resilience despite challenges in its refining segment.
Analyst Ahmed Ben Salem highlighted TotalEnergies’ strength in a weak macro environment, supported by its focus on LNG and renewables.
The company reported a nearly 4% rise in upstream output compared to early 2024 and noted slight gains in gas prices and refining margins.Refining margins in Europe have climbed to $29.40 per metric ton over the past six months, but remain 59% lower year-on-year due to subdued demand and rising competition from newer refineries in Asia and Africa.
Last week, UK-based BP, along with U.S. companies Occidental and ExxonMobil, also projected improved refining margins for the quarter.TotalEnergies reported that its integrated power division is expected to generate between $450 million and $500 million this quarter—slightly lower than the same period last year.
The company did not engage in the usual sale of minority stakes in its renewable energy assets, which typically enhances earnings.Additionally, TotalEnergies anticipates an increase in working capital of $4 billion to $5 billion, attributing this to seasonal trends.
