TotalEnergies profit sinks as oil, gas prices slide

PARIS: French group TotalEnergies on Thursday reported a drop in net profit in the second quarter as oil and gas prices have fallen from the highs they reached following Russia’s invasion of Ukraine.

Net profit reached $4.1 billion between April and June, down 28 percent from the same period last year, the company said.

“In a favourable but softening oil and gas environment TotalEnergies once again delivered this quarter robust results, strong cash flow, and attractive shareholder distribution,” chief executive Patrick Pouyanne said in an earnings statement.

British oil major Shell and Spain’s Repsol also posted drops in profits on Thursday, a day after similar results reported by Norwegian state-owned energy company Equinor.

Gas prices had soared last year after Russia cut gas shipments to Europe while oil markets were also rocked by supply concerns.

But natural gas prices fell sharply as European countries found new suppliers, built up reserves and experienced a mild winter.

Oil prices have also tumbled, partly on fears of falling demand as the global economy slows.