TotalEnergies to prioritise dividend growth, approves buyback guidance

TotalEnergies SE on Wednesday said it will focus on shareholder returns and maintaining a strong balance sheet, as it announced a new offshore energy project in France.

TotalEnergies has been awarded the Centre Manche 2 offshore wind project in France by the state as operator.

Meanwhile, the board of the Paris-based integrated energy company has confirmed its shareholder return policy of at least 40% of annual cash flow from operations through cycles.

TotalEnergies reaffirmed that dividends will be a priority during the low-cycle environment, highlighting that the dividend has not been cut in 40 years and has increased by more than 20% in the last three years.

"The board of directors also confirmed the priority given to preserving a strong balance sheet and retaining maneuverability by maintaining a gearing ratio below 20% in an uncertain economic and geopolitical environment," TotalEnergies said.

Therefore, the company has opted to adjust the pace of share buybacks to hydrocarbon prices, refining and petrochemical margins, as well as the dollar to euro exchange rate

The board has authorised USD1.5 billion in share buybacks for the fourth quarter of 2025, culminating in a total of USD7.5 billion for the full year.

Furthermore, share buyback guidance of between USD750 million to USD1.5 billion has been approved per quarter for 2026.

"The board of directors also approved the terms for the 2026 capital increase reserved for employees. It was delighted by the strong participation of employees, with employee shareholding reaching 8.9% of company’s share capital in 2025," TotalEnergies added.

Additionally, the company announced the approval of a scheme to convert American depositary receipts that have been listed on the New York Stock Exchange since 1991 into ordinary shares.