French oil giant Total S.A. posted a massive income rise during the first quarter of 2021, up 69% from a year earlier with earnings of $1.8 billion, according to its financial results statement released Thursday.
The company recorded a first-quarter income of $3 billion, surpassing even the pre-pandemic earnings of $2.8 billion in the same period of 2019.
The company's CEO Patrick Pouyanne said the company fully benefited from rising oil and gas prices.
"The group reported adjusted net income of $3 billion, above the pre-crisis first quarter of 2019, despite a less favorable environment by taking advantage of the action plans implemented during the crisis," Pouyanne said.
In addition to the company's adjusted net operating income of $1 billion, the highest in its history, Pouyanne said it generated a cash flow of more than $1 billion, thanks to growing LNG sales and the positive contribution from renewables and power generation.
The company said the oil environment remains uncertain and dependent on the recovery of global demand, which remains under pressure from the COVID-19 pandemic.
Although supported by the OPEC+ group’s active policy to reduce inventories by adapting supply to demand, oil prices are still registering above $60 per barrel since the beginning of February 2021, the company said.
The group anticipates that 2021 production will be stable compared to 2020, benefiting from the resumption of production in Libya.
The company also posted around $38.7 billion in revenue for the first quarter, up from about $38.6 billion in the same quarter of last year.
The company recorded revenue of $119.7 billion for the full year of 2020, marking a 32.1% fall from 2019. Fourth-quarter revenue amounted to $32.3 billion.
By Sibel Morrow and Firdevs Yuksel