TotalEnergies (NYSE: TTE), the French oil major, reported a 68% rise in second-quarter earnings, marking its strongest quarterly performance in nearly three years.
Adjusted net income reached $6 billion for the quarter, in line with analyst expectations according to a consensus compiled by LSEG.
The result compares favorably with $3.6 billion recorded in the second quarter of 2025 and $5.4 billion posted in the first quarter of 2026.
Higher oil prices were central to the strong performance, with Brent crude averaging approximately $97 per barrel during the quarter.
Supply disruptions stemming from the conflict in Iran drove exceptional refining margins, providing a significant tailwind for the company’s downstream operations.
Income from refining and chemicals, which includes TotalEnergies’ oil trading division, surged 362% to $1.8 billion, surpassing the previous quarter’s already strong $1.5 billion contribution.
The company’s SATORP refinery in Saudi Arabia, which sustained damage from conflict-related attacks, is expected to return to nominal capacity by the end of the third quarter.
The liquefied natural gas division was a relative weak point, with earnings falling 22% to $807 million, a decline TotalEnergies attributed to trading underperformance amid flat LNG demand in Europe.
Analysts at TD Cowen and Citibank suggested that weak LNG trading likely reflected market positioning for a summer price rise that failed to materialize during the second quarter.
TotalEnergies maintained its $1.5 billion share buyback program for the third quarter, a move that helped lift its shares 2.7% to €76.30 on the day of the earnings release.
The stock has climbed 37% year-to-date, reflecting sustained investor confidence in the company’s ability to capitalize on elevated energy prices.
Looking ahead, TotalEnergies said production is expected to grow in the third quarter, though it noted that export volumes remain dependent on freedom of passage through the Strait of Hormuz.
