Refining margins drive earnings growth
TotalEnergies’ adjusted net income rose from $3.98 billion in the third quarter of 2025 to $9.1 billion in the latest quarter. Net profit increased to $8.26 billion from $3.68 billion a year earlier. In contrast, revenue surged to $61.86 billion from $43.84 billion on a year-on-year basis.
The company’s Refining and Chemicals division delivered one of the strongest contributions. Its profit rose to $3.6 billion, more than five times the year-earlier level, as refining throughput increased nearly 10%. The company benefited from historically high refining margins as supply disruptions tightened fuel markets.
These conditions were linked to the conflict in the Middle East and the effective closure of the Strait of Hormuz, a vital route for global oil and gas shipments.
LNG earnings and trading remain strong
TotalEnergies’ LNG earnings rose to $1.9 billion, helped by higher gas prices and stronger trading activity. Average LNG prices climbed around 20% from the previous quarter, as supply disruptions tightened the market and expectations of stronger winter demand supported prices.
The company’s third-quarter market indicators showed Brent crude averaging $97 per barrel, down from $103.80 in the second quarter but well above $69.10 a year earlier. Its European Refining Margin Marker rose to $33.20 per barrel, compared with $13.50 in the previous quarter and $8.40 a year earlier.
The figures underline the importance of refining and gas trading in driving earnings, even as average oil prices eased sequentially.
Shareholder payouts remain in focus
TotalEnergies reaffirmed $2.5 billion in share buybacks for the fourth quarter of 2026 and announced another $2.5 billion for the first quarter of 2027, keeping repurchases at the upper end of its guidance range.
The company also declared an interim dividend of €0.90 per share, up 5.9% from a year earlier. The payout shows its stronger earnings and continued commitment to shareholder returns.
However, the outlook remains tied to geopolitical developments, energy prices and the movement of supplies through the Strait of Hormuz. Any improvement in shipping conditions could ease supply pressures and affect refining margins, while renewed disruption could keep energy markets volatile.