TotalEnergies announced on Thursday that it will expand plans to purchase back its own stock, following a strong increase in first-quarter core earnings due to rising oil and gas prices.
The oil and gas firm, which is expanding its renewables and power portfolios, is now planning $3 billion in share buybacks for the first half of the year, up from $2 billion announced in February.
In early trading, the company’s stock was up nearly 2%. During the first quarter, the company stated it repurchased $1 billion worth of stock.
TotalEnergies warned that if increasing oil production from the United States and members of the Organization of Petroleum Exporting Countries (OPEC) fails to balance a reduction in Russian crude and refinery output, prices might remain high.
It expects to gain from increased production in Brazil beginning next month, following a 1% drop in quarterly hydrocarbon production year over year. High prices and the economic fallout from China’s coronavirus bans, on the other hand, may limit demand.
For failing to pay in roubles, Russia cut off gas supplies to Bulgaria and Poland, while the EU warned that dealing with Moscow’s demands could jeopardize sanctions imposed in response to its invasion of Ukraine.
The company’s net income, on the other hand, dropped 15% due to a write-down connected to a Russian development project that was affected by sanctions. It is sticking to its prior promises to invest $15 billion this year, with a quarter of it going to its renewable and electrical sectors.
TotalEnergies also announced a 5% rise in its interim dividend for this year, with the first payment of 0.7 euros per share being recommended. Additional investments would be mobilized by the consortium to assist narrow gas production in the North Sea.
Unilever exceeded sales predictions in the first quarter, thanks to an increase in pricing of over 8% to offset rising supply chain and power prices, which more than offset a drop in sales volumes.
Unilever (UL) cautioned on Thursday that it expects to raise prices even higher in the second half of the year, raising its cost inflation projection.
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