The two corporations Shell and TotalEnergies are once again posting solid profits for the summer. The shareholders should now also benefit from the full coffers.
The oil companies Shell and TotalEnergies again made huge profits in the summer in view of the high prices for gas and oil: In the third quarter from July to the end of September Shell made a profit of 6.7 billion dollars. TotalEnergies reported a gain of $6.6 billion. Shell announced a share buyback program benefiting investors. TotalEnergies announced a bonus for its employees worldwide.
The British oil giant Shell reported a loss of 447 million dollars in the same quarter of the previous year - the increase to the now 6.7 billion dollar profit was correspondingly huge. In the second quarter, however, the group had earned more than $18 billion. According to the company, the decline in earnings reflects lower LNG trading results, lower margins in the chemical and refining businesses, higher underlying operating costs, and fair value accounting losses and impairment charges.
An unchanged quarterly dividend of $0.25 will be paid to shareholders. In addition, Shell wants to buy back shares worth four billion dollars. Because inventory is thus reduced, the stock price increases. The buyback is expected to be completed within three months.
The French group TotalEnergies increased its profit by 43 percent compared to the third quarter of 2021. However, it did record a new $3.1 billion impairment related to Russia during the quarter.
Shareholders are scheduled to receive a third interim dividend of EUR 0.69 per share, equal to the first and second interim dividends for 2022 and an increase of five percent compared to the interim and final dividends for 2021. The company also announced that all employees would receive a bonus of one month's salary.
France's economy minister, Bruno Le Maire, told broadcaster BFM Business that the high profit made it possible to give drivers in France a discount and raise workers' wages. In France, as in many other countries, an excess profit tax for energy companies is being discussed.
