TotalEnergies posts biggest ever annual profit of almost €20bn

French power giant TotalEnergies on Wednesday reported its highest ever annual profit – €19.9 billion – for 2023, underpinned by performances in its liquefied natural gas and electricity divisions.

Greenpeace militants hold a banner contrasting an image of CEO Patrick Pouyanne and a man affected by climate change during a protest outside the TotalEnergies' headquarters at La Defense business district, west of Paris, on 5 February, 2024. AFP - DIMITAR DILKOFF

The company's profit, up 4 percent on the year before, comes despite a decline in oil and gas prices that affected the fourth quarter.

Its bottom line puts TotalEnergies ahead of competitors Shell, BP, Exxon-Mobil and Chevron, which all reported lower earnings in the face of weaker energy prices.

TotalEnergies CEO Patrick Pouyanné said the profit was thanks to “growth in hydrocarbons", in particular liquefied natural gas and electricity.

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Higher expectations

The results, however, fall short of expectations, with its share price dropping around 1.5 percent in early trading on the Paris stock exchange.

Financial analysts had been looking for a figure of up to €22 billion.

Pouyanné called the results "robust", saying in a statement they had been achieved in "an uncertain environment".

TotalEnergies has pursued its diversification towards low-carbon electricity production amid criticisism by environmental groups for its ongoing investment in fossil fuels.

In September the group said it would increase hydrocarbon production by 2-3 percent a year over the next five years. 

(with newswires)