By Ayomide Otitoju
French energy giant TotalEnergies has reported a more than twofold increase in second-quarter net profit, driven by rising oil and gas prices amid renewed tensions in the Middle East.
The company said in a statement on Thursday that net profit reached $5.4 billion between April and June, compared with $2.7 billion recorded in the same period last year.
Chief Executive Officer Patrick Pouyanne attributed the strong performance to the company’s integrated business model and diversified operations.
“TotalEnergies is capitalising on its integrated model and diversification,” Pouyanne said.
The company had also recorded significant profit growth in the first quarter, supported by higher crude oil and gas prices as well as gains from its trading activities.
TotalEnergies said its oil and gas production increased by more than four per cent year-on-year, boosted by new projects launched in Brazil, the United States and Libya.
However, the company noted that some production could not be exported due to challenges accessing the Strait of Hormuz.
Despite the disruption, TotalEnergies’ Exploration and Production division, which contributes the largest share of its profits, reported higher adjusted operating income during the quarter.
