Equity affiliates, other investments and related parties

12 Months Ended

Dec. 31, 2024

Equity affiliates, other investments and related parties

Equity affiliates, other investments and related parties

Note 8 Equity affiliates, other investments and related parties

8.1 EQUITY AFFILIATES: INVESTMENTS AND LOANS

Accounting principles

Under the equity method, the investment in the associate or joint venture is initially recognized at acquisition cost and subsequently adjusted to recognize TotalEnergies’ share of the net income and other comprehensive income of the associate or joint venture.

Unrealized gains on transactions between TotalEnergies and its equity-accounted entities are eliminated to the extent of TotalEnergies’ interest in the equity accounted entity.

In equity affiliates, goodwill is included in investment book value.

In cases where TotalEnergies holds less than 20% of the voting rights in another entity, the determination of whether TotalEnergies exercises significant influence is also based on other facts and circumstances: representation on the Board of Directors or an equivalent governing body of the entity, participation in policy-making processes, including participation in decisions relating to dividends or other distributions, significant transactions between the investor and the entity, exchange of management personnel, or provision of essential technical information.

The contribution of equity affiliates in the consolidated balance sheet, consolidated statement of income and consolidated statement of comprehensive income is presented below:

Equity value
As of December 31,
(M$)	2024	2023	2022
Total Associates	10,387	9,484	9,533
Total Joint ventures	17,485	16,411	14,623
TOTAL	27,872	25,895	24,156
Loans	6,533	4,562	3,733
TOTAL	34,405	30,457	27,889

Profit/(loss)
(M$)	2024	2023	2022
Total Associates	1,213	1,132	(4,567)
Total Joint ventures	362	713	2,675
TOTAL	1,575	1,845	(1,892)

Other comprehensive income
(M$)	2024	2023	2022
Total Associates	112	(57)	3,368
Total Joint ventures	(358)	(151)	129
TOTAL	(246)	(208)	3,497

A)  Information related to associates

Information (100% basis) related to significant associates is as follows:

	Liquefaction entities			Novatek(a)
Exploration & Production activities (M$)	2024	2023	2022	2022
Non-current assets	31,698	43,875	41,995	–
Current assets	7,531	5,850	8,333	–
TOTAL ASSETS	39,229	49,725	50,328	–
Shareholder’s equity	23,078	35,755	19,565	–
Non-current liabilities	10,024	8,692	23,019	–
Current liabilities	6,127	5,278	7,744	–
TOTAL LIABILITIES	39,229	49,725	50,328	–
Revenues from sales	23,407	26,288	35,888	–
Net income	6,732	6,896	10,257	–
Other comprehensive income	–	–	–	–
% owned				19.40	%
Equity value	4,017	4,070	3,312	–
Including goodwill and identifiable assets	35	38	40	–
Profit/(loss)	762	825	(338)	(5,747)
Share of other comprehensive income, net amount	34	(22)	(70)	3,118
Dividends paid to TotalEnergies	820	1,052	1,224	883

(a) Information includes the best Company’s estimates of results at the date of TotalEnergies’ financial statements.

As of 31 December 2024, 31 December 2023 and 31 December 2022, Novatek is no longer consolidated as an equity accounted affiliate in the Company’s Consolidated Financial Statements. This stake is recognized in "Other investments" and is measured in accordance with IFRS 9 at fair value through profit or loss. In the context of the Russian-Ukrainian conflict, the Company considers that the market value of Novatek is not representative of its fair value. As of 31 December 2024, and as of 31 December 2023 and 31 December 2022, the Company retained a zero fair value given the very significant uncertainties on any valuation assumption for the stake in Novatek.

TotalEnergies’ interests in associates operating liquefaction plants are combined. The amounts include investments in Nigeria LNG (15.00%), Angola LNG Limited (13.60%), Yemen LNG Co. (39.62%), Qatar Liquefied Gas Company Limited (Qatargas) (10.00%), Qatar Liquefied Gas Company Limited II (16.70%), Oman LNG LLC (5.54%), Abu Dhabi Gas Liquefaction Company Limited (5.00%), Qatar Liquified Gas Company Limited 5 (North Field East project) (25.00%) Qatar Liquified Gas Company Limited 10 (North Field South project) (25.00%) and Energía Costa Azul LNG (16.60%).

Renewables and Electricity activities	Adani Green Energy Limited
(M$)	2024		2023		2022
Non-current assets	10,936		7,887		6,961
Current assets	1,264		1,091		769
TOTAL ASSETS	12,200		8,978		7,730
Shareholder’s equity	1,137		965		807
Non-current liabilities	8,175		5,712		5,805
Current liabilities	2,888		2,301		1,118
TOTAL LIABILITIES	12,200		8,978		7,730
Revenues from sales	1,049		1,061		1,073
Net income	184		162		104
Other comprehensive income	(13)		5		(112)
% owned	19.74	%	19.74	%	19.74	%
Equity value	1,863		1,877		1,856
including goodwill and identifiable assets	1,639		1,687		1,697
Profit/(loss)	36		32		21
Share of other comprehensive income, net amount	9		3		23
Dividends paid to TotalEnergies	–		–		–

	Saudi Aramco Total
Refining & Chemicals activities	Refining & Petrochemicals						Qatar
(M$)	2024		2023		2022		2024	2023	2022
Non-current assets	12,023		9,780		10,003		2,562	2,882	3,905
Current assets	3,446		2,584		3,615		1,971	2,000	2,491
TOTAL ASSETS	15,469		12,364		13,618		4,533	4,882	6,396
Shareholder’s equity	4,062		3,527		3,858		2,781	2,748	2,737
Non-current liabilities	6,899		5,850		6,365		654	835	2,062
Current liabilities	4,508		2,987		3,395		1,098	1,299	1,597
TOTAL LIABILITIES	15,469		12,364		13,618		4,533	4,882	6,396
Revenues from sales	14,601		12,994		20,492		9,422	9,506	13,193
Net income	66		584		2,409		338	203	629
Other comprehensive income	(32)		(59)		284		13	(7)	(5)
% owned	37.50	%	37.50	%	37.50	%
Equity value	1,523		1,323		1,447		670	665	703
including goodwill and identifiable assets	–		–		–		–	–	–
Profit/(loss)	25		219		903		88	78	161
Share of other comprehensive income, net amount	34		(46)		147		10	(7)	10
Dividends paid to TotalEnergies	150		321		–		83	145	138

Saudi Aramco Total Refining & Petrochemicals is an entity including a refinery in Jubail, Saudi Arabia, with a capacity of 460,000 barrels/day with integrated petrochemical units.

The TotalEnergies’ interests in associates of the Refining & Chemicals segment, operating steam crackers and polyethylene lines in Qatar have been combined: Qatar Petrochemical Company Ltd. (20.00%), Qatofin (49.08%), Laffan Refinery (10.00%).

B)  Information related to joint ventures

The information (100% gross) related to significant joint ventures is as follows:

	Liquefaction entities					GIP III Zephyr				Hanwha TotalEnergies
	(Integrated LNG)					(Integrated				Petrochemical Co.Ltd
						Power)				(Refining & Chemicals)
(M$)	2024	2023	2022	2024		2023		2022		2024		2023		2022
Non-current assets	59,764	62,461	65,293	14,258		13,111		12,406		3,373		3,959		4,113
Current assets excluding cash and cash equivalents	5,390	2,832	2,630	366		375		370		1,530		2,089		2,326
Cash and cash equivalents	5,184	4,690	4,375	813		1,313		1,116		348		113		82
TOTAL ASSETS	70,338	69,983	72,298	15,437		14,799		13,892		5,251		6,161		6,521
Shareholder’s equity - Group share	25,231	20,438	17,455	539		604		296		2,467		2,963		3,146
Shareholder's equity - Non controlling interests	–	–	–	2,756		1,912		2,548		–		–		–
Other non-current liabilities	11,822	10,399	10,785	1,645		1,460		1,285		148		174		180
Non-current financial debts	29,565	36,144	41,452	9,538		9,598		8,808		1,017		858		1,220
Other current liabilities	1,707	3,002	2,606	380		414		496		873		1,137		1,117
Current financial debts	2,013	–	–	579		811		459		746		1,029		858
TOTAL LIABILITIES	70,338	69,983	72,298	15,437		14,799		13,892		5,251		6,161		6,521
Revenues from sales	17,212	17,605	24,701	1,609		1,452		351		8,616		8,754		10,824
Depreciation and depletion of tangible assets and mineral interests	(2,899)	(2,700)	(2,814)	(490)		(460)		(129)		(278)		(281)		(289)
Interest income	55	32	17	37		40		5		–		–		–
Interest expense	(2,901)	(3,146)	(2,453)	(357)		(315)		(95)		(80)		(67)		(47)
Income taxes	(2,656)	(1,798)	(2,804)	(15)		–		–		(8)		10		(65)
Net income	4,986	5,122	12,791	135		83		(36)		(136)		(28)		123
Non-controlling interests	–	–	–	180		(126)		219		–		–		–
Other comprehensive income	(76)	(52)	526	–		(2)		–		(361)		(105)		(189)
% owned				50.00	%	50.00	%	50.00	%	50.00	%	50.00	%	50.00	%
Equity value	5,996	4,941	4,315	2,241		2,283		2,356		1,234		1,482		1,573
including goodwill and identifiable assets	392	430	465	1,971	(a)	1,981		2,208		–		–		–
Profit/(loss)	1,061	1,058	2,616	58		29		(18)		(68)		(14)		62
Share of other comprehensive income, net amount	(20)	(14)	137	–		(1)		–		(176)		(69)		(59)
Dividends paid to TotalEnergies	37	418	1,166	100		100		46		–		25		162

(a) Goodwill represents the valuation of this entity’s ability to generate future projects in the field of renewable energy and amounts to M$1,755 as of December 31, 2024.

TotalEnergies’ interests in joint ventures operating liquefaction plants have been combined. The amounts include investments in Yamal LNG in Russia (20.02% direct holding), Ichthys LNG in Australia (26.00%) and Marsa LNG LLC (80.00%).

GIP III Zephyr Holdings, LLC holds the shares of Clearway Energy Group (CEG), a developer of renewables projects, owning 42% of economic interest of its listed subsidiary, Clearway Energy LLC. (CWEN).

Hanwha TotalEnergies Petrochemical Co., Ltd is a South Korean company that operates a petrochemical complex in Daesan (condensate separator, steam cracker, styrene, paraxylene, polyolefins).

Off-balance sheet commitments relating to joint ventures are disclosed in Note 13 of the Consolidated Financial Statements.

C)  Other equity affiliates

In TotalEnergies share, the main aggregated financial items in equity affiliates including assets held for sale, which have not been presented individually are as follows:

	2024		2023		2022
As of December 31,		Joint		Joint		Joint
(M$)	Associates	ventures	Associates	ventures	Associates	ventures
Non-current assets	5,198	15,929	4,692	13,224	5,818	11,281
Current assets	1,349	2,524	1,214	2,988	1,582	2,742
TOTAL ASSETS	6,547	18,453	5,906	16,212	7,400	14,023
Shareholder’s equity - TotalEnergies share	1,107	6,604	814	4,625	1,354	3,894
Shareholder’s equity - Non controlling interests	–	(2)	–	75	–	140
Non-current liabilities	4,618	9,605	4,388	8,798	5,180	7,375
Current liabilities	822	2,246	704	2,714	866	2,614
TOTAL LIABILITIES	6,547	18,453	5,906	16,212	7,400	14,023

	2024		2023		2022
For the year ended December 31,		Joint		Joint		Joint
(M$)	Associates	ventures	Associates	ventures	Associates	ventures
Revenues from sales	2,981	6,476	2,026	7,451	2,338	7,026
Net income	330	(666)	4	(279)	486	454
Non-controlling interests	–	1	–	(64)	–	–
Share of other comprehensive income items	25	(162)	14	(67)	139	52
Equity value	2,314	8,016	1,549	7,705	2,216	6,379
Profit/(Loss)	302	(689)	(22)	(359)	434	15
Dividends paid to TotalEnergies	296	106	323	120	469	63

8.2 OTHER INVESTMENTS

Accounting principles

Other investments are equity instruments and are measured according to IFRS 9 at fair value through profit or loss (default option). On initial recognition, the standard allows to make an election to record the changes of fair value in other comprehensive income. For these equity instruments, only dividends can be recognized in profit or loss.

TotalEnergies recognizes changes in fair value in equity or in profit or loss according to the option chosen on an instrument by instrument basis.

For quoted shares on active markets, this fair value is based on the market price.

	As of			As of
As of December 31, 2024	January 1,	Increase -	Change in	December 31,
(M$)	2024	Decrease	fair value	2024
Next Decade Corporation	214	–	132	346
Other shares at fair value through other comprehensive income (unit value < $50M)	141	12	12	165
Equity instruments recorded at fair value through other comprehensive income	355	12	144	511
BTC Limited	5	–	–	5
OGCI Climate Investments Holdings LLP	50	7	(1)	56
Nordian CPO (renamed TotalEnergies Charging Services España SL)(a)	70	(70)	–	–
Other shares at fair value through profit or loss (unit value < $50M)	1,063	6	24	1,093
Equity instruments recorded at fair value through profit or loss	1,188	(57)	23	1,154
TOTAL EQUITY INSTRUMENTS	1,543	(45)	167	1,665

(a) Nordian CPO has been consolidated in 2024

	As of			As of
As of December 31, 2023	January 1,	Increase -	Change in	December 31,
(M$)	2023	Decrease	fair value	2023
Next Decade Corporation	–	219	(5)	214
Other shares at fair value through other comprehensive income (unit value < $50M)	119	28	(6)	141
Equity instruments recorded at fair value through other comprehensive income	119	247	(11)	355
BTC Limited	5	–	–	5
Hubei Cathay Smart Energy Fund	54	(54)	–	–
OGCI Climate Investments Holdings LLP	34	14	2	50
Nordian CPO (renamed TotalEnergies Charging Services España SL)	–	70	–	70
Other shares at fair value through profit or loss (unit value < $50M)	839	250	(26)	1,063
Equity instruments recorded at fair value through profit or loss	932	280	(24)	1,188
Total equity instruments	1,051	527	(35)	1,543

	As of			As of
As of December 31, 2022	January 1,	Increase -	Change in	December 31,
(M$)	2022	Decrease	fair value	2022
Enphase Energy Inc.	457	(579)	122	–
Other shares at fair value through other comprehensive income (unit value < $50M)	116	13	(10)	119
Equity instruments recorded at fair value through other comprehensive income	573	(566)	112	119
BTC Limited	14	–	(9)	5
Hubei Cathay Smart Energy Fund	36	7	11	54
OGCI Climate Investments Holdings LLP	–	35	(1)	34
Other shares at fair value through profit or loss (unit value < $50M)	1,002	(89)	(74)	839
Equity instruments recorded at fair value through profit or loss	1,052	(47)	(73)	932
Total equity instruments	1,625	(613)	39	1,051

8.3 Related parties

The main transactions as well as receivable and payable balances with related parties (principally non-consolidated subsidiaries and equity affiliates) are detailed as follows:

As of December 31,
(M$)	2024	2023	2022
Balance sheet
Receivables
Debtors and other debtors	876	1,144	1,231
Loans (excl. loans to equity accounted for affiliates)	428	232	184
Payables
Creditors and other creditors	1,324	1,068	1,610
Debts	1	1	5

For the year ended December 31,
(M$)	2024	2023	2022
Statement of income
Sales	5,408	7,222	6,806
Purchases	(13,424)	(15,574)	(25,656)
Financial income	13	3	3
Financial expense	(6)	(5)	(9)

8.4 Compensation for the administration and management bodies

The aggregated amount of direct and indirect compensation accounted by the French and foreign affiliates of the Company, for all executive officers of TotalEnergies SE as of December 31 and for the members of the Board of Directors who are employees of TotalEnergies SE, is detailed below.

As of December 31, 2024, TotalEnergies SE Executive Officers are the members of the Executive Committee, i.e. nine people and there are three employees as members of the Board of Directors. As of December 31, 2023, and December 31, 2022, TotalEnergies SE Executive Officers were the members of the Executive Committee, i.e. eight people and there were three employees as members of the Board of Directors.

For the year ended December 31,
(M$)	2024	2023	2022
Number of people	12	11	11
Direct or indirect compensation	16.1	13.9	12.4
Pension expenses (a)	1.1	3.5	1.9
Share-based payments expense (IFRS 2) (b)	13.1	8.7	7.7

(a) The benefits provided for Executive Officers of the Company and the members of the Board of Directors who are employees of the Company include severance to be paid upon retirement, supplementary pension schemes and insurance plans, which represent a commitment of $72.6 million as of December 31, 2024 (against $82.9 million as of December 31, 2023 and $64.3 million as of December 31, 2022). Converted into Euros, this commitment amounts to €69.9 million as of December 31, 2024 (against €75 million as of December 31, 2023 and €60.3 million as of December 31, 2022). The decrease of the commitment is mainly due to the increase in the discount rate despite the changes among the number executives (two new entries and one retirement).

(b) Share-based payments expense computed for the Executive Officers and the members of the Board of Directors who are employees of TotalEnergies and based on the principles of IFRS 2 “Share-based payments” described in Note 9.

The compensation allocated to members of the Board of Directors as directors’ fees totaled $2.11 million in 2024 ($2 million in 2023 and $1.84 million in 2022).