TotalEnergies plans to increase its dividend by more than 5% annually until 2030. This policy, adopted by its board of directors on Sunday, September 27, and announced the following day, comes as fuel prices are a concern for consumers. The group also presented its production and investment targets for the coming years.
A dividend expected to increase until 2030
The announced increase concerns dividends paid for the financial years 2026 to 2030. This is a shareholder remuneration policy objective presented by TotalEnergies, as the company highlights the expected growth of its activities.
The recent financial context is favorable for the group: in the second quarter of 2026, its net profit reached $5.4 billion, more than double that of the same period a year earlier. According to the company, this result benefited in particular from high hydrocarbon prices linked to the conflict in the Middle East.
Growth targets in oil, gas and electricity
For the period up to 2030, TotalEnergies maintains its objective of increasing its oil and gas production by more than 3% per year. Including electricity, the group forecasts average annual growth of 4% in its
Electricity production is expected to grow by more than 20% per year on average and represent approximately 20% of the company’s energy mix by 2030. For the period 2030-2035, TotalEnergies is targeting an annual increase of 2% to 3% in its oil and gas production. The group also intends to continue developing its electricity business, which is expected to reach 25% of its energy mix by 2035.
Investments and increased cash flow are expected.
TotalEnergies estimates that the growth of its new production could increase its free cash flow by approximately $10 billion between 2025 and 2030, assuming a constant price environment. The group puts this increase at more than $4 per share: this is a company estimate based on this price assumption.
To support its development, the group plans net investments of between $14 and $17 billion per year over the period 2027-2032. It also states that it has good visibility on the progress of its production beyond 2030.
This announcement comes as six European countries, led by Germany, are calling for a tax on oil companies. According to reports, the French Minister of the Economy, Roland Lescure, does not support this mea.
The production, cash flow, and investment targets presented by TotalEnergies outline the group’s strategy for the coming years. They do not, on their own, allow for any deduction regarding future fuel prices at the pump.
Source: HuffPost: continuous news and offbeat information from France and around the world (www.huffingtonpost.fr)
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Author: Sarah Coulet
