By Giulia Petroni
Total SE reported second-quarter results earlier on Thursday. Here's what we watched:
PROFIT: The French energy major posted a quarterly loss of $8.37 billion from a profit of $2.76 billion in the year-earlier period.
On an adjusted basis, profit came in at $126 million, ahead of analysts expectations of a loss of $461 million, according to FactSet.
PRODUCTION: Hydrocarbon production for the quarter was 2.85 million barrels of oil equivalent a day, 4% lower on year mainly due to OPEC+ production restraints. For the full year, production is expected in the range of 2.9 million and 2.95 million barrels daily.
WHAT WE WATCHED:
-IMPAIRMENTS: Total said it booked exceptional impairments totaling $8.1 billion as it lowered price assumptions for the coming years and slashed the value of some of its oil-and-gas assets. The gearing level is expected to rise by 1.3% because of the lower asset values.
-DIVIDEND: The company maintained its second interim dividend for 2020 at EUR0.66 a share and reaffirmed its sustainability in a $40 a barrel Brent environment.
-TRADING: Trading activities outperformed in the quarter, offsetting the effects of lower demand and historic price lows. The company didn't disclose exactly how much trading operations made, but said the performance was able to drive a positive adjusted income result, solid cash flow and gearing under control.
Write to Giulia Petroni at email@example.com