(MENAFN- The Peninsula) AFP
Paris, France: TotalEnergies said Friday its first-quarter net profit rose to $5.7 billion as a strong oil market offset weaker gas prices, while its CEO floated the idea moving the French group's main stock listing to New York.
Chief executive Patrick Pouyanne said in a statement that TotalEnergies was "delivering strong results and an attractive shareholder return" that were "in line with its ambitious 2024 objectives".
While its net income rose three percent, the company's core profit fell 19 percent compared to the first quarter last year to $11.5 billion.
TotalEnergies, which turns 100 years old this year, increased its hydrocarbon production by 1.5 percent between January and March compared to the same period last year.
The output growth was fuelled by oil projects in Brazil and gas in Oman and Azerbaijan, which will host the UN's COP29 climate summit later this year.
TotalEnergies has posted record net profits in the past two years, raking in $21.4 billion in 2023 even though oil and gas prices eased after soaring in the wake of Russia's invasion of Ukraine in 2022.
Oil prices have been more resilient than those of gas, however, due to geopolitical tensions in the Middle East and output cuts by the OPEC+ group of leading producers.
TotalEnergies has also focused on liquefied natural gas, a strategy that has paid off.
Five years ago, the French group took a strategic turn to become a "multi-energy" company, with plans to dedicate a third of its investments to low-carbon projects.
But climate campaigners have criticised TotalEnergies for sticking to oil and stepping up its gas investments, which the sector has championed as a key part of the energy transition.
In an interview with Bloomberg, Pouyanne said "there's a case" to move the company's main listing from the Paris CAC 40 index to New York.
"I think it's a fair question," he told the news agency. "It's not emotional. It's business."
TotalEnergies has secondary shares listed in London and New York.
In the interview, Pouyanne defended the group's continued investment in fossil fuels, saying: "there's no way to grow my dividend without growing my oil and gas business."
He added: "In Europe, instead of supporting the European companies who want to make this transition, even if it's difficult, they look to us and say: look, you continue making oil and gas."
"Of course, I continue to make oil and gas," he said, noting that demand for fossil fuels continues to rise.
"We are facing a situation where European shareholders, either they sell or maintain, and US shareholders are buying," he said. "So what is the most convenient for US shareholders? Do they prefer to have the shares being primarily listed in New York or in Europe? I think when you ask the question, you have the answer."
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