1st Quarter Results

PARIS--()--

First Quarter 2017 Results

Total (Paris:FP) (LSE:TTA) (NYSE:TOT):

    1Q17   1Q16  

Change
vs 1Q16

 

     
Adjusted net income1
- in billions of dollars (B$) 2.6 1.6 +56%
- in dollars per share 1.01 0.68 +49%
 

Operating cash flow
before working capital changes1 (B$)

4.7 3.7 +26%
             
 
Net income2 of 2.8 B$ in 1Q17
Net-debt-to-equity ratio of 22.7% at March 31, 2017
Hydrocarbon production of 2,569 kboe/d in the first quarter 2017
Interim dividend of 0.62 €/share payable in October 20173

Total’s Board of Directors met on April 26, 2017, to review the Group’s first quarter accounts. Commenting on the results, Chairman and CEO Patrick Pouyanné said:

“Supported by the OPEC/non-OPEC agreement, Brent prices remained volatile in the context of high inventories and averaged 54 $/b this quarter. In this environment, Total’s adjusted net income increased by 56% to $2.6 billion in the first quarter 2017, in line with the strong recent quarterly results of 2016, due to good operational performance and a steadily decreasing breakeven. Excluding acquisitions and asset sales, the Group generated $1.7 billion of cash flow after investments, mainly due to a 63% increase in operating cash flow before working capital changes from the Exploration & Production segment and investment discipline.
Upstream production continued to grow by 4% per year with the start-up of the giant Moho Nord field in Congo. To prepare for future growth, Total signed a strategic alliance with Petrobras, gaining access to the giant Iara and Lapa fields in Brazil, without being preempted by any of the partners in the license. In addition, Total signed a global partnership agreement with Sonatrach, enabling it to consolidate its future development in Algeria.
The Downstream continued to take advantage of favorable margins due to the high availability of its installations. The Group is pursuing its profitable growth strategy for petrochemicals with the sanction of two major new investments in the United States and South Korea, benefiting from the current low cost environment. The Marketing & Services segment completed the acquisition of new assets in East Africa, reinforcing its leadership position on the continent.
In this context, the net-debt-to-equity ratio decreased to 22.7%, notably due to the finalization of the $3.2 billion sale of Atotech. The strength of the balance sheet and relentless pursuit of cost reductions allows the Group to launch new projects and acquire resources while fully benefitting from the ongoing deflation in the oil sector.”

Key figures4

In millions of dollars, except effective tax rate,
earnings per share and number of shares

 

  1Q17   4Q16   1Q16  

1Q17
vs
1Q16

 

Adjusted net operating income from business segments*   2,767   2,676   1,878   +47%
Exploration & Production   1,382   1,007   386   x3.6
Gas, Renewables & Power 61 132 73 -16%
Refining & Chemicals 1,023 1,131 1,130 -9%
Marketing & Services   301   406   289   +4%
Contribution of equity affiliates to adjusted net income5   591   720   499   +18%
Group effective tax rate6   31.3%   31.3%   22.9%    
Adjusted net income   2,558   2,407   1,636   +56%
Adjusted fully-diluted earnings per share (dollars)7   1.01   0.96   0.68   +49%
Adjusted fully-diluted earnings per share (euros)**   0.95   0.89   0.62   +53%
Fully-diluted weighted-average shares (millions)   2,457   2,433   2,350   +5%
                 
Net income (Group share)   2,849   548   1,606   +77%
                 
Investments8   3,678   5,855   4,908   -25%
Divestments   2,898   927   985   x2.9
Net investments9   780   4,928   3,923   -80%
Organic investments10   2,944   4,728   4,615   -36%
Resource acquisitions   12   650   38   -68%
Operating cash flow before working capital changes11   4,687   4,758   3,708   +26%
Cash flow from operations   4,701   7,018   1,881   x2.5

* The new Gas, Renewables & Power segment reflects the Group’s ambition in low-carbon energies. It encompasses downstream Gas activities previously integrated in the Upstream (now Exploration & Production) segment, New Energies activities (excluding biotechnologies) previously integrated in the Marketing & Services segment and a new Innovation & Energy Efficiency division. The Exploration & Production, Refining & Chemicals (which includes a new Biofuels division) and Marketing & Services segments have been restated accordingly. 2015 and 2016 historical data is available at total.com.
** Average €-$ exchange rate: 1.0648 in the first quarter 2017.

Highlights since the beginning of the first quarter 201712

  • Started up Moho Nord in the Congo with production capacity of 100,000 barrels per day
  • Obtained exploration permits in the deep offshore Gulf of Mexico, with three in Mexico and four in the United States close to the North Platte discovery
  • Signed final agreement sealing strategic alliance with Petrobras and Total’s definitive entry into the Iara and Lapa concessions, as well as Downstream gas assets in Brazil
  • Sanctioned development of Vaca Muerta shale resources in Argentina and increased interest in Aguada Pichana Este license (27% to 41%)
  • Increased stake to 50% in the Absheron license, currently under development in Azerbaijan
  • Signed comprehensive partnership agreement with Sonatrach in Algeria
  • Investment of $1.7 billion to develop petrochemical activities in Texas through a new joint venture with Borealis and Nova, with Total holding a 50% interest
  • Investment of $450 million to increase the capacity of the Daesan integrated refining & petrochemicals platform in South Korea by 30%, a 50/50 joint venture between Total and Hanwha
  • Signed new LNG supply contract with JERA in Japan, the largest LNG buyer, and MoU with Pavilion Energy to supply LNG as bunker fuel in Singapore
  • Finalized the sale of Atotech for $3.2 billion
  • Announced sale of stakes in several mature fields in Gabon for approximately $350 million

Analysis of business segments

Exploration & Production

> Environment – liquids and gas price realizations*

    1Q17   4Q16   1Q16  

1Q17
vs
1Q16

 

Brent ($/b)   53.7   49.3   33.9   +58%
Average liquids price ($/b)   49.2   46.1   31.0   +59%
Average gas price ($/Mbtu)   4.10   3.89   3.46   +18%
Average hydrocarbon price ($/boe)   37.9   35.6   26.4   +44%

* Consolidated subsidiaries, excluding fixed margins.

> Production

Hydrocarbon production   1Q17   4Q16   1Q16  

1Q17
vs
1Q16

 

Combined production (kboe/d)   2,569   2,462   2,479   +4%
Liquids (kb/d)   1,303   1,257   1,286   +1%
Gas (Mcf/d)   6,894   6,597   6,441   +7%

Hydrocarbon production was 2,569 thousand barrels of oil equivalent per day (kboe/d) in the first quarter 2017, an increase of 4% compared to the first quarter 2016, due to the following:

  • +6% due to project ramp ups, notably Kashagan, Laggan-Tormore, Surmont, Incahuasi and Angola LNG;
  • +1% perimeter effect, mainly due to the acquisition of an additional 75% interest in the Barnett shale in the United States, which was partially offset by asset disposals (Russia, Norway…);
  • +1% related to improved security conditions in Libya and Nigeria;
  • -4% due to natural field decline and the PSC price effect.

> Results

In millions of dollars, except effective tax rate   1Q17   4Q16   1Q16  

1Q17
vs
1Q16

 

Adjusted net operating income*   1,382   1,007   386   x3.6
including income from equity affiliates**   315   429   260   +21%
Effective tax rate***   41.9%   47.1%   -48.2%    
                 
Investments   2,636   4,833   4,235   -38%
Divestments   113   818   818   -86%
Organic investments   2,506   3,705   4,148   -40%

Operating cash flow
before working capital changes

  3,031   2,895   1,865   +63%
Cash flow from operations   2,496   4,039   2,101   +19%

* Details on adjustment items are shown in the business segment information annex to financial statements.
** Includes foreign exchange effect on Yamal LNG financing, which is reversed for total adjusted net operating income.
*** Tax on adjusted net operating income / (adjusted net operating income - income from equity affiliates - dividends received from investments - impairment of goodwill + tax on adjusted net operating income).

Exploration & Production adjusted net operating income was 1,382 M$ in the first quarter 2017, nearly four times higher than in the first quarter 2016, due to production growth, cost reductions and a 44% increase in the average realized hydrocarbon price.

Operating cash flow before working capital changes increased by 63% to 3,031 M$ for the same reasons. Exploration & Production generated 525 M$ of organic cash flow after investments in the first quarter 2017.

Gas, Renewables & Power

> Results

In millions of dollars   1Q17   4Q16   1Q16  

1Q17
vs
1Q16

 

Adjusted net operating income*   61   132   73   -16%
                 
Investments   315   (118)   147   x2.1
Divestments   4   29   98   -96%
Organic investments   102   (61)   133   -23%

Operating cash flow
before working capital changes

  20   103   (82)   ns
Cash flow from operations   125   732   (329)   ns

* Detail of adjustment items shown in the business segment information annex to financial statements.

Adjusted net operating income for the Gas, Renewables & Power segment was 61 M$ in the first quarter 2017 in an unfavorable context for solar activities. The acquisition of a 23% equity stake in Tellurian, which is developing an integrated LNG project in the United States, was finalized in the first quarter.

Refining & Chemicals

> Refinery throughput and utilization rates*

    1Q17   4Q16   1Q16  

1Q17
vs
1Q16

 

Total refinery throughput (kb/d)   1,917   2,010   2,105   -9%
France   625   717   756   -17%
Rest of Europe 799 787 844 -5%
Rest of world   493   506   505   -2%
Utlization rate based on crude only**   91%   87%   91%    

* Includes share of TotalErg, as well as refineries in South Africa and the French Antilles that are reported in the Marketing & Services segment.
** Based on distillation capacity at the beginning of the year.

Industrial performance was strong in the first quarter 2017 even though the Antwerp integrated platform was affected by ongoing works as part of the modernization program. The restructuring of European refining is in place and refinery throughput was reduced by nearly 200 kb/d compared to a year ago, due to the ending of crude oil refining at La Mede and a 50% capacity reduction at Lindsey.

> Results

In millions of dollars

except the ERMI

  1Q17   4Q16   1Q16  

1Q17
vs
1Q16

 

European refining margin indicator - ERMI ($/t)   38.9   41.0   35.1   +11%
                 
Adjusted net operating income*   1,023   1,131   1,130   -9%
                 
Investments   266   566   261   +2%
Divestments   2,740   15   29   x94.5
Organic investments   222   552   234   -5%

Operating cash flow
before working capital changes

  1,034   1,365   1,321   -22%
Cash flow from operations   1,765   1,746   (419)   ns

* Detail of adjustment items shown in the business segment information annex to financial statements.

In the first quarter 2017, the Group’s European refining margin indicator (ERMI) was 38.9 $/t, reflecting strong refined product demand. Petrochemical margins were down from the very high levels of the first quarter 2016 but remain satisfactory.

In this context, adjusted net operating income from the Refining & Chemicals segment was 1,023 M$ in the first quarter 2017, a decrease of 9% compared to the first quarter 2016. The segment maintained 1.8 $B of cash flow from operations despite a decrease in operating cash flow before working capital changes notably due to taxes related to the gain on the Atotech sale.

Marketing & Services

> Petroleum product sales

Sales in kb/d*   1Q17   4Q16   1Q16  

1Q17
vs
1Q16

 

Total Marketing & Services sales   1,728   1,808   1,757   -2%
Europe   1,039   1,123   1,062   -2%
Rest of world   689   685   695   -1%

* Excludes trading and bulk refining sales, includes share of TotalErg.

Petroleum product sales decreased by 2% in the first quarter 2017, notably due to the sale of the marketing network in Turkey in the second quarter 2016.

> Results

In millions of dollars   1Q17   4Q16   1Q16  

1Q17
vs
1Q16

 

Adjusted net operating income*   301   406   289   +4%
                 
Investments   439   500   251   +75%
Divestments   36   65   36   -
Organic investments   95   460   91   +4%

Operating cash flow
before working capital changes

  411   417   407   +1%
Cash flow from operations   313   340   580   -46%

* Detail of adjustment items shown in the business segment information annex to financial statements.

The Marketing & Services segment captured the benefit of strong marketing margins, and adjusted net operating income increased by 4% to 301 M$ compared to the first quarter 2016.

Group results

> Net operating income from business segments

Adjusted net operating income from the business segments was 2,767 M$ in the first quarter 2017, a 47% increase compared to the first quarter 2016, mainly due to the increased contribution from Exploration & Production, which fully captured the benefit of higher hydrocarbon prices.

The effective tax rate13 of the business segments increased to 35.4% in the first quarter 2017 compared to 24.3% in the first quarter 2016, mainly due to the increase in the effective tax rate for the Exploration & Production segment.

> Net income (Group share)

Adjusted net income was 2,558 M$ in the first quarter 2017 compared to 1,636 M$ in the first quarter 2016, an increase of 56%.

Adjusted net income excludes the after-tax inventory effect, special items and the impact of changes in fair value 14.

Adjustment items15 had a positive impact on net income of 291 M$ in the first quarter 2017. This includes a positive 55 M$ inventory effect and 236 M$ of special items comprised mainly of the gain on the sale of Atotech and an exceptional depreciation related to the cost increase on the Fort Hills project in Canada.

> Adjusted fully-diluted earnings per share

Adjusted earnings per share, calculated on the basis of 2,457 million fully-diluted weighted-average shares, increased by 49% to 1.01 dollars in the first quarter 2017 from 0.68 dollars in the first quarter 2016.

Based on an interim dividend of 0.62 euro per share, the pay-out ratio was 65%.

The number of fully-diluted shares was 2,458 million on March 31, 2017, compared to 2,351 million on March 31, 2016.

> Divestments – acquisitions

Asset sales were 2,711 M$ in the first quarter 2017, essentially comprised of the sale of Atotech.

Acquisitions were 547 M$, mainly comprised of the 23% equity share Tellurian and the marketing and logistics network acquired in Kenya, Uganda and Tanzania.

> Cash flow

In the first quarter 2017, the Group’s net cash flow16 was 3,907 M$ compared to -215 M$ in the first quarter 2016. Operating cash flow before working capital changes increased by nearly 1 B$ compared to a year ago to 4,687 M$ in the first quarter 2017 due to the higher contribution from Exploration & Production. Net investments decreased by more than 3 B$ to 780 M$ in the first quarter 2017 mainly due to investment discipline and the sale of Atotech.

> Return on equity

Return on equity from April 1, 2016, to March 31, 2017, was 9.4%17.

Summary and outlook

Total continues to reduce its breakeven by cutting costs in line with the 3.5 B$ savings target for the year and benefiting from project start-ups. The Group also intends to take advantage of opportunities offered by the current oil cycle. Total is therefore launching new projects in a favorable cost environment and acquiring resources under attractive conditions, as demonstrated recently in Brazil and Uganda.

In the Upstream, the Group maintains its production growth objective of more than 4% in 2017. Production will benefit in the second quarter from the ramp up of projects recently started up, including Moho Nord, but will be affected by seasonal maintenance as well as the full implementation of OPEC quotas. From July, production will benefit from the entry into the Al Shaheen concession in Qatar.

In the Downstream, refining margins remain favorable going into the second quarter. Maintenance operations are planned at Leuna and Normandy, as well as at the petrochemical facilities of the Antwerp integrated platform.

Cash flow will benefit from production growth and cost reductions, while organic investments, excluding resource acquisitions, are expected to be 14-15 B$ in 2017 as previously indicated.

-- -- --

To listen to CFO Patrick de La Chevardière’s conference call with financial analysts today at 14:00 (London time) please log on to total.com or call +44 (0)203 427 1916 in Europe or +1 646 254 3388 in the United States (code: 5625577). For a replay, please consult the website or call +44 (0)203 427 0598 in Europe or +1 347 366 9565 in the United States (code: 5625577).

Operating information by segment

> Exploration & Production

Combined liquids and gas
production by region (kboe/d)

 

  1Q17   4Q16   1Q16  

1Q17
vs
1Q16

 

Europe and Central Asia   806   752   788   +2%
Africa 635 625 630 +1%
Middle East and North Africa 534 503 531 +1%
Americas 334 319 258 +29%
Asia Pacific   259   263   271   -4%
Total production   2,569   2,462   2,479   +4%
including equity affiliates   645   561   620   +4%
Liquids production by region (kb/d)   1Q17   4Q16   1Q16  

1Q17
vs
1Q16

 

Europe and Central Asia   271   258   251   +8%
Africa 485 483 518 -6%
Middle East and North Africa 392 365 380 +3%
Americas 126 121 104 +21%
Asia Pacific   29   30   33   -12%
Total production   1,303   1,257   1,286   +1%
including equity affiliates   264   233   240   +10%
Gas production by region (Mcf/d)   1Q17   4Q16   1Q16  

1Q17
vs
1Q16

 

Europe and Central Asia   2,891   2,665   2,814   +3%
Africa 713 710 564 +26%
Middle East and North Africa 787 767 837 -6%
Americas 1,171 1,108 860 +36%
Asia Pacific   1,332   1,347   1,366   -2%
Total production   6,894   6,597   6,441   +7%
including equity affiliates   2,015   1,779   2,039   -1%
Liquefied natural gas   1Q17   4Q16   1Q16  

1Q17
vs
1Q16

 

LNG sales* (Mt)   2.98   2.75   2.69   +11%

* Sales, Group share, excluding trading; 2016 data restated to reflect volume estimates for Bontang LNG in Indonesia based on the 2016 SEC coefficient.

> Downstream (Refining & Chemicals and Marketing & Services)

Petroleum product sales by region (kb/d)*   1Q17   4Q16   1Q16  

1Q17
vs
1Q16

 

Europe   2,206   2,330   2,288   -4%
Africa 560 569 501 +12%
Americas 570 313 531 +7%
Rest of world   697   997   771   -10%
Total consolidated sales   4,033   4,209   4,091   -1%
Including bulk sales   616   678   699   -12%
Including trading   1,689   1,723   1,635   +3%

* Includes share of TotalErg.

Adjustment items to net income (Group share)

In millions of dollars   1Q17   4Q16   1Q16
Special items affecting net income (Group share)   236   (2,133)   150
Gain (loss) on asset sales   2,139   (45)   358
Restructuring charges (5) (10) (2)
Impairments (1,718) (1,886) -
Other   (180)   (192)   (206)
After-tax inventory effect: FIFO vs. replacement cost   55   262   (183)
Effect of changes in fair value   0   12   3
             
Total adjustments affecting net income   291   (1,859)   (30)
2016 sensitivities*                
    Scenario   Change  

Estimated impact
on adjusted
net operating
income

 

 

Estimated
impact on
cash flow

Dollar   1.1 $/€   -0.1 $ per €   +0.1 B$   ~0 B$
Brent   50 $/b   +10 $/b   +2 B$   +2.5 B$
European refining margin indicator (ERMI)   35 $/t   +10 $/t   +0.5 B$   +0.6 B$

* Sensitivities are revised once per year upon publication of the previous year’s fourth quarter results. Sensitivities are estimates based on assumptions about the Group’s portfolio in 2017. Actual results could vary significantly from estimates based on the application of these sensitivities. The impact of the $-€ sensitivity on adjusted net operating income is essentially attributable to Refining & Chemicals.

Investments - Divestments

In millions of dollars   1Q17   4Q16   1Q16  

1Q17
vs
1Q16

 

Organic investments   2,944   4,728   4,615   -36%
capitalized exploration 111 119 228 -51%
increase in non-current loans 158 157 572 -72%
repayment of non-current loans   (187)   (511)   (100)   +87%
Acquisitions   547   616   193   x2.8
Asset sales   2,711   416   885   x3.1
Other transactions with non-controlling interests   -   -   -   na
Net investments   780   4,928   3,923   -80%

Net-debt-to-equity ratio

In millions of dollars   3/31/2017   12/31/2016   3/31/2016
Current borrowings   13,582   13,920   10,858
Net current financial assets (3,694) (4,221) (3,231)
Net financial assets classified as held for sale (2) (140) 83
Non-current financial debt 42,017 43,067 43,138
Hedging instruments of non-current debt (877) (908) (1,236)
Cash and cash equivalents   (27,526)   (24,597)   (20,570)
Net debt   23,500   27,121   29,042
             
Shareholders’ equity - Group share 103,831 98,680 96,443
Estimated dividend payable (3,239) (1,581) (3,250)
Non-controlling interests   2,823   2,894   2,960
Adjusted shareholders' equity   103,415   99,993   96,153
             
Net-debt-to-equity ratio   22.7%   27.1%   30.2%

Return on equity

In millions of dollars  

April 1, 2016 to
March 31, 2017

 

January 1, 2016 to
December 31, 2016

Adjusted net income   9,363   8,447
Average adjusted shareholders' equity   99,784   96,929
Return on equity (ROE)   9.4%   8.7%

Return on average capital employed

> Twelve months ended March 31, 2017

In millions of dollars  

Exploration &
Production

 

Gas,
Renewables
& Power

 

Refining &
Chemicals

 

Marketing &
Services

  Group
Adjusted net operating income   4,213   427   4,088   1,571 10,245
Capital employed at 3/31/2016* 104,826 4,669 12,555 5,836 127,754
Capital employed at 3/31/2017*   106,937   5,036   11,130   6,331   128,810
ROACE   4.0%   8.8%   34.5%   25.8%   8.0%

> Full-year 2016

In millions of dollars  

Exploration &
Production

 

Gas,
Renewables
& Power

 

Refining &
Chemicals

 

Marketing &
Services

  Group
Adjusted net operating income   3,217   439   4,195   1,559 9,274
Capital employed at 12/31/2015* 103,791 4,340 10,454 5,875 121,143
Capital employed at 12/31/2016*   107,617   4,975   11,618   5,884 127,423
ROACE   3.0%   9.4%   38.0%   26.5% 7.5%

* At replacement cost (excluding after-tax inventory effect).

This press release presents the results for the first quarter 2016 from the consolidated financial statements of TOTAL S.A. as of March 31, 2017 (unaudited). The notes to these consolidated financial statements (unaudited) are available on the TOTAL website total.com.

This document may contain forward-looking information on the Group (including objectives and trends), as well as forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, notably with respect to the financial condition, results of operations, business, strategy and plans of TOTAL. These data do not represent forecasts within the meaning of European Regulation No. 809/2004.

Such forward-looking information and statements included in this document are based on a number of economic data and assumptions made in a given economic, competitive and regulatory environment. They may prove to be inaccurate in the future, and are subject to a number of risk factors that could lead to a significant difference between actual results and those anticipated, including currency fluctuations, the price of petroleum products, the ability to realize cost reductions and operating efficiencies without unduly disrupting business operations, environmental regulatory considerations and general economic and business conditions. Certain financial information is based on estimates particularly in the assessment of the recoverable value of assets and potential impairments of assets relating thereto.

Neither TOTAL nor any of its subsidiaries assumes any obligation to update publicly any forward-looking information or statement, objectives or trends contained in this document whether as a result of new information, future events or otherwise. Further information on factors, risks and uncertainties that could affect the Company’s financial results or the Group’s activities is provided in the most recent Registration Document, the French language version of which is filed by the Company with the French Autorité des Marchés Financiers and annual report on Form 20-F filed with the United States Securities and Exchange Commission (“SEC”).

Financial information by business segment is reported in accordance with the internal reporting system and shows internal segment information that is used to manage and measure the performance of TOTAL. Performance indicators excluding the adjustment items, such as adjusted operating income, adjusted net operating income, and adjusted net income are meant to facilitate the analysis of the financial performance and the comparison of income between periods. These adjustment items include:

(i) Special items
Due to their unusual nature or particular significance, certain transactions qualified as "special items" are excluded from the business segment figures. In general, special items relate to transactions that are significant, infrequent or unusual. However, in certain instances, transactions such as restructuring costs or asset disposals, which are not considered to be representative of the normal course of business, may be qualified as special items although they may have occurred within prior years or are likely to occur again within the coming years.

(ii) Inventory valuation effect
The adjusted results of the Refining & Chemicals and Marketing & Services segments are presented according to the replacement cost method. This method is used to assess the segments’ performance and facilitate the comparability of the segments’ performance with those of its competitors.
In the replacement cost method, which approximates the LIFO (Last-In, First-Out) method, the variation of inventory values in the statement of income is, depending on the nature of the inventory, determined using either the month-end price differentials between one period and another or the average prices of the period rather than the historical value. The inventory valuation effect is the difference between the results according to the FIFO (First-In, First-Out) and the replacement cost.

(iii) Effect of changes in fair value
The effect of changes in fair value presented as an adjustment item reflects, for some transactions, differences between internal measures of performance used by TOTAL’s management and the accounting for these transactions under IFRS.
IFRS requires that trading inventories be recorded at their fair value using period-end spot prices. In order to best reflect the management of economic exposure through derivative transactions, internal indicators used to measure performance include valuations of trading inventories based on forward prices.
Furthermore, TOTAL, in its trading activities, enters into storage contracts, whose future effects are recorded at fair value in Group’s internal economic performance. IFRS precludes recognition of this fair value effect.

The adjusted results (adjusted operating income, adjusted net operating income, adjusted net income) are defined as replacement cost results, adjusted for special items, excluding the effect of changes in fair value.

Euro amounts presented herein represent dollar amounts converted at the average euro-dollar (€-$) exchange rate for the applicable period and are not the result of financial statements prepared in euros.

Cautionary Note to U.S. Investors – The SEC permits oil and gas companies, in their filings with the SEC, to separately disclose proved, probable and possible reserves that a company has determined in accordance with SEC rules. We may use certain terms in this press release, such as “potential reserves” or “resources”, that the SEC’s guidelines strictly prohibit us from including in filings with the SEC. U.S. investors are urged to consider closely the disclosure in our Form 20-F, File N° 1-10888, available from us at 2, place Jean Millier – Arche Nord Coupole/Regnault - 92078 Paris-La Défense Cedex, France, or at our website total.com. You can also obtain this form from the SEC by calling 1-800-SEC-0330 or on the SEC’s website sec.gov.

Total financial statements

First quarter 2017 consolidated accounts, IFRS

CONSOLIDATED STATEMENT OF INCOME      
TOTAL
(unaudited)
 
(M$) (a)  

1st quarter
2017

 

 

4th quarter
2016

 

 

1st quarter
2016

 

Sales 41,183 42,275 32,841
Excise taxes (5,090) (5,408) (5,319)
Revenues from sales 36,093 36,867 27,522
Purchases, net of inventory variation (23,987) (23,967) (17,639)
Other operating expenses (6,166) (6,791) (6,136)
Exploration costs (197) (260) (194)
Depreciation, depletion and impairment of tangible assets and mineral interests (4,579) (4,939) (2,680)
Other income 2,325 337 500
Other expense (291) (473) (70)
Financial interest on debt (331) (299) (274)
Financial income and expense from cash & cash equivalents (11) (2) 10
Cost of net debt (342) (301) (264)
Other financial income 228 203 191
Other financial expense (160) (161) (155)
Equity in net income (loss) of affiliates 548 409 498
Income taxes   (693)   (437)   48
Consolidated net income   2,779   487   1,621
Group share   2,849   548   1,606
Non-controlling interests   (70)   (61)   15
Earnings per share ($)   1.14   0.20   0.67
Fully-diluted earnings per share ($)   1.13   0.20   0.67

(a) Except for per share amounts.

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME      
TOTAL
(unaudited)
 
(M$)  

1st quarter
2017

 

 

4th quarter
2016

 

 

1st quarter
2016

 

Consolidated net income   2,779   487   1,621
Other comprehensive income
 
Actuarial gains and losses 126 205 (81)
Tax effect (41) (64) 32
Currency translation adjustment generated by the parent company   940   (3,515)   3,641
Items not potentially reclassifiable to profit and loss   1,025   (3,374)   3,592
Currency translation adjustment (200) 619 (1,944)
Available for sale financial assets (1) 3 (10)
Cash flow hedge 113 94 98
Share of other comprehensive income of equity affiliates, net amount 331 458 (1)
Other 3 1 3
Tax effect   (39)   (32)   (24)
Items potentially reclassifiable to profit and loss   207   1,143   (1,878)
Total other comprehensive income (net amount)   1,232   (2,231)   1,714
             
Comprehensive income   4,011   (1,744)   3,335
Group share 4,074 (1,676) 3,308
Non-controlling interests (63) (68) 27
CONSOLIDATED BALANCE SHEET      
TOTAL
(unaudited)
 
(M$)  

March 31,
2017
(unaudited)

 

 

December 31,
2016
(unaudited)

 

 

March 31,
2016
(unaudited)

 

ASSETS
Non-current assets
Intangible assets, net 14,048 15,362 14,512
Property, plant and equipment, net 111,100 111,971 111,636
Equity affiliates : investments and loans 21,638 20,576 20,411
Other investments 1,381 1,133 1,413
Non-current financial assets 877 908 1,236
Deferred income taxes 4,766 4,368 3,955
Other non-current assets   4,114   4,143   4,329
Total non-current assets   157,924   158,461   157,492
Current assets
Inventories, net 14,985 15,247 13,887
Accounts receivable, net 12,235 12,213 12,220
Other current assets 13,955 14,835 15,827
Current financial assets 3,971 4,548 3,439
Cash and cash equivalents 27,526 24,597 20,570
Assets classified as held for sale   413   1,077   724
Total current assets   73,085   72,517   66,667
Total assets   231,009   230,978   224,159
CONSOLIDATED STATEMENT OF CASH FLOW      
TOTAL
(unaudited)
 
(M$)  

1st quarter
2017

 

 

4th quarter
2016

 

 

1st quarter
2016

 

CASH FLOW FROM OPERATING ACTIVITIES
Consolidated net income 2,779 487 1,621
Depreciation, depletion, amortization and impairment 4,660 5,030 2,735
Non-current liabilities, valuation allowances and deferred taxes (197) (275) (268)
(Gains) losses on disposals of assets (2,232) 58 (367)
Undistributed affiliates' equity earnings (295) 65 (236)
(Increase) decrease in working capital (54) 1,913 (1,545)
Other changes, net   40   (260)   (59)
Cash flow from operating activities 4,701 7,018 1,881
CASH FLOW USED IN INVESTING ACTIVITIES
Intangible assets and property, plant and equipment additions (2,678) (5,742) (4,146)
Acquisitions of subsidiaries, net of cash acquired (319) 118 (133)
Investments in equity affiliates and other securities (523) (74) (57)
Increase in non-current loans   (158)   (157)   (572)
Total expenditures (3,678) (5,855) (4,908)
Proceeds from disposals of intangible assets and property, plant and equipment 6 413 792
Proceeds from disposals of subsidiaries, net of cash sold 2,696 - -
Proceeds from disposals of non-current investments 9 3 93
Repayment of non-current loans   187   511   100
Total divestments   2,898   927   985
Cash flow used in investing activities (780) (4,928) (3,923)
CASH FLOW USED IN FINANCING ACTIVITIES
Issuance (repayment) of shares:
- Parent company shareholders 15 60 -
- Treasury shares - - -
Dividends paid:
- Parent company shareholders (538) (534) (954)
- Non-controlling interests (15) (16) (3)
Issuance of perpetual subordinated notes - 2,761 -
Payments on perpetual subordinated notes (129) - (133)
Other transactions with non-controlling interests - - -
Net issuance (repayment) of non-current debt 56 (105) 154
Increase (decrease) in current borrowings (1,413) (335) (3,027)
Increase (decrease) in current financial assets and liabilities 658 (3,006) 2,746
Cash flow used in financing activities   (1,366)   (1,175)   (1,217)
Net increase (decrease) in cash and cash equivalents 2,555 915 (3,259)
Effect of exchange rates 374 (1,119) 560
Cash and cash equivalents at the beginning of the period   24,597   24,801   23,269
Cash and cash equivalents at the end of the period   27,526   24,597   20,570
CONSOLIDATED STATEMENT OF CHANGES IN SHAREHOLDERS' EQUITY        
TOTAL          
(unaudited)                                    
Common shares issued

Paid-in
surplus and
retained
earnings

Currency
translation
adjustment

Treasury shares

Shareholders'
equity -
Group share

 

Non-
controlling
interests

Total
shareholders'
equity

(M$)   Number   Amount       Number   Amount            
As of January 1, 2016   2,440,057,883   7,670   101,528   (12,119)   (113,967,758)   (4,585)   92,494   2,915   95,409
Net income of the first quarter 2016 - - 1,606 - - - 1,606 15 1,621
Other comprehensive Income - - 30 1,672 - - 1,702 12 1,714
Comprehensive Income - - 1,636 1,672 - - 3,308 27 3,335
Dividend - - - - - - - (3) (3)
Issuance of common shares 13,972,093 39 573 - - - 612 - 612
Purchase of treasury shares - - - - - - - - -
Sale of treasury shares (1) - - - - 1,230 - - - -
Share-based payments - - 25 - - - 25 - 25
Share cancellation - - - - - - - - -
Issuance of perpetual subordinated notes - - - - - - - - -
Payments on perpetual subordinated notes - - (33) - - - (33) - (33)
Other operations with non-controlling interests - - (11) - - - (11) 11 -
Other items - - 48 - - - 48 10 58
As of march 31, 2016   2,454,029,976   7,709   103,766   (10,447)   (113,966,528)   (4,585)   96,443   2,960   99,403
Net income from April 1 to December 31, 2016 - - 4,590 - - - 4,590 (5) 4,585
Other comprehensive Income - - (138) (3,424) - - (3,562) (11) (3,573)
Comprehensive Income - - 4,452 (3,424) - - 1,028 (16) 1,012
Dividend - - (6,512) - - - (6,512) (90) (6,602)
Issuance of common shares 76,667,154 212 2,980 - - - 3,192 - 3,192
Purchase of treasury shares - - - - - - - - -
Sale of treasury shares (1) - - (163) - 3,047,438 163 - - -
Share-based payments - - 87 - - - 87 - 87
Share cancellation (100,331,268) (317) (3,505) - 100,331,268 3,822 - - -
Issuance of perpetual subordinated notes - - 4,711 - - - 4,711 - 4,711
Payments on perpetual subordinated notes - - (170) - - - (170) - (170)
Other operations with non-controlling interests - - (87) - - - (87) (54) (141)
Other items - - (12) - - - (12) 94 82
As of December 31, 2016   2,430,365,862   7,604   105,547   (13,871)   (10,587,822)   (600)   98,680   2,894   101,574
Net income of the first quarter 2017 - - 2,849 - - - 2,849 (70) 2,779
Other comprehensive Income - - 173 1,052 - - 1,225 7 1,232
Comprehensive Income - - 3,022 1,052 - - 4,074 (63) 4,011
Dividend - - - - - - - (15) (15)
Issuance of common shares 23,571,852 63 987 - - - 1,050 - 1,050
Purchase of treasury shares - - - - - - - - -
Sale of treasury shares (1) - - - - - - - - -
Share-based payments - - 44 - - - 44 - 44
Share cancellation - - - - - - - - -
Issuance of perpetual subordinated notes - - - - - - - - -
Payments on perpetual subordinated notes - - (69) - - - (69) - (69)
Other operations with non-controlling interests - - (6) - - - (6) 6 -
Other items - - 58 - - - 58 1 59
As of march 31, 2017   2,453,937,714   7,667   109,583   (12,819)   (10,587,822)   (600)   103,831   2,823   106,654

(1) Treasury shares related to the restricted stock grants.

BUSINESS SEGMENT INFORMATION              
TOTAL
(unaudited)
                             

1st quarter 2017
(M$)

 

 

Exploration
&
Production

 

Gas,
Renewables
& Power

 

Refining &
Chemicals

 

Marketing &
Services

  Corporate   Intercompany   Total
Non-Group sales 2,103 3,197 18,574 17,298 11 - 41,183
Intersegment sales 5,548 309 6,346 274 105 (12,582) -
Excise taxes   -   -   (701)   (4,389)   -   -   (5,090)
Revenues from sales 7,651 3,506 24,219 13,183 116 (12,582) 36,093
Operating expenses (3,687) (3,469) (22,878) (12,665) (233) 12,582 (30,350)
Depreciation, depletion and impairment of tangible assets and mineral interests   (4,068)   (72)   (287)   (144)   (8)   -   (4,579)
Operating income (104) (35) 1,054 374 (125) - 1,164
Equity in net income (loss) of affiliates and other items 190 (45) 2,453 30 22 - 2,650
Tax on net operating income   (439)   (37)   (356)   (108)   171   -   (769)
Net operating income (353) (117) 3,151 296 68 - 3,045
Net cost of net debt (266)
Non-controlling interests                           70
Net income 2,849

1st quarter 2017 (adjustments) (a)
(M$)

 

 

Exploration
&
Production

 

Gas,
Renewables
& Power

 

Refining &
Chemicals

 

Marketing &
Services

  Corporate   Intercompany   Total
Non-Group sales   -   -   -   -   -   -   -
Intersegment sales - - - - - - -
Excise taxes   -   -   -   -   -   -   -
Revenues from sales - - - - - - -
Operating expenses - (89) 57 (15) - - (47)
Depreciation, depletion and impairment of tangible assets and mineral interests   (1,854)   (26)   (50)   -   -   -   (1,930)
Operating income (b) (1,854) (115) 7 (15) - - (1,977)
Equity in net income (loss) of affiliates and other items (210) (63) 2,209 5 - - 1,941
Tax on net operating income   329   -   (88)   5   -   -   246
Net operating income (b) (1,735) (178) 2,128 (5) - - 210
Net cost of net debt (7)
Non-controlling interests                           88
Net income 291

(a) Adjustments include special items, inventory valuation effect and the effect of changes in fair value.

(b) Of which inventory valuation effect

On operating income       -       -       83       (15)       -
On net operating income - - 58 (5) -

1st quarter 2017 (adjusted)
(M$) (a)

 

 

Exploration
&
Production

 

Gas,
Renewables
& Power

 

Refining &
Chemicals

 

Marketing &
Services

  Corporate   Intercompany   Total
Non-Group sales   2,103   3,197   18,574   17,298   11   -   41,183
Intersegment sales 5,548 309 6,346 274 105 (12,582) -
Excise taxes   -   -   (701)   (4,389)   -   -   (5,090)
Revenues from sales 7,651 3,506 24,219 13,183 116 (12,582) 36,093
Operating expenses (3,687) (3,380) (22,935) (12,650) (233) 12,582 (30,303)
Depreciation, depletion and impairment of tangible assets and mineral interests   (2,214)   (46)   (237)   (144)   (8)   -   (2,649)
Adjusted operating income 1,750 80 1,047 389 (125) - 3,141
Equity in net income (loss) of affiliates and other items 400 18 244 25 22 - 709
Tax on net operating income   (768)   (37)   (268)   (113)   171   -   (1,015)
Adjusted net operating income 1,382 61 1,023 301 68 - 2,835
Net cost of net debt (259)
Non-controlling interests                           (18)
Adjusted net income                           2,558
Adjusted fully-diluted earnings per share ($)                           1.01

(a) Except for earnings per share.

1st quarter 2017
(M$)

 

 

Exploration
&
Production

 

Gas,
Renewables
& Power

 

Refining &
Chemicals

 

Marketing &
Services

  Corporate   Intercompany   Total
Total expenditures   2,636   315   266   439   22   -   3,678
Total divestments 113 4 2,740 36 5 - 2,898
Cash flow from operating activities   2,496   125   1,765   313   2   -   4,701
BUSINESS SEGMENT INFORMATION              
TOTAL
(unaudited)
                             

4th quarter 2016
(M$)

 

 

Exploration
&
Production

 

Gas,
Renewables
& Power

 

Refining &
Chemicals

 

Marketing &
Services

  Corporate   Intercompany   Total
Non-Group sales 2,066 3,675 19,077 17,454 3 - 42,275
Intersegment sales 5,187 306 6,707 257 82 (12,539) -
Excise taxes   -   -   (784)   (4,624)   -   -   (5,408)
Revenues from sales 7,253 3,981 25,000 13,087 85 (12,539) 36,867
Operating expenses (3,724) (3,847) (23,155) (12,535) (296) 12,539 (31,018)
Depreciation, depletion and impairment of tangible assets and mineral interests   (4,329)   (193)   (252)   (154)   (11)   -   (4,939)
Operating income (800) (59) 1,593 398 (222) - 910
Equity in net income (loss) of affiliates and other items 25 (50) 162 41 137 - 315
Tax on net operating income   (53)   (5)   (392)   (132)   77   -   (505)
Net operating income (828) (114) 1,363 307 (8) - 720
Net cost of net debt (233)
Non-controlling interests                           61
Net income 548

4th quarter 2016 (adjustments) (a)
(M$)

 

 

Exploration
&
Production

 

Gas,
Renewables
& Power

 

Refining &
Chemicals

 

Marketing &
Services

  Corporate   Intercompany   Total
Non-Group sales   -   17   -   -   -   -   17
Intersegment sales - - - - - - -
Excise taxes   -   -   -   -   -   -   -
Revenues from sales - 17 - - - - 17
Operating expenses - (64) 379 (116) - - 199
Depreciation, depletion and impairment of tangible assets and mineral interests   (1,889)   (139)   -   (1)   -   -   (2,029)
Operating income (b) (1,889) (186) 379 (117) - - (1,813)
Equity in net income (loss) of affiliates and other items (406) (59) (32) (20) (4) - (521)
Tax on net operating income   460   (1)   (115)   38   1   -   383
Net operating income (b) (1,835) (246) 232 (99) (3) - (1,951)
Net cost of net debt (6)
Non-controlling interests                           98
Net income (1,859)

(a) Adjustments include special items, inventory valuation effect and the effect of changes in fair value.

(b) Of which inventory valuation effect

On operating income       -       -       380       (33)       -
On net operating income - - 281 (14) -

4th quarter 2016 (adjusted)
(M$) (a)

 

 

Exploration
&
Production

 

Gas,
Renewables
& Power

 

Refining &
Chemicals

 

Marketing &
Services

  Corporate   Intercompany   Total
Non-Group sales   2,066   3,658   19,077   17,454   3   -   42,258
Intersegment sales 5,187 306 6,707 257 82 (12,539) -
Excise taxes   -   -   (784)   (4,624)   -   -   (5,408)
Revenues from sales 7,253 3,964 25,000 13,087 85 (12,539) 36,850
Operating expenses (3,724) (3,783) (23,534) (12,419) (296) 12,539 (31,217)
Depreciation, depletion and impairment of tangible assets and mineral interests   (2,440)   (54)   (252)   (153)   (11)   -   (2,910)
Adjusted operating income 1,089 127 1,214 515 (222) - 2,723
Equity in net income (loss) of affiliates and other items 431 9 194 61 141 - 836
Tax on net operating income   (513)   (4)   (277)   (170)   76   -   (888)
Adjusted net operating income 1,007 132 1,131 406 (5) - 2,671
Net cost of net debt (227)
Non-controlling interests                           (37)
Adjusted net income                           2,407
Adjusted fully-diluted earnings per share ($)                           0.96

(a) Except for earnings per share.

4th quarter 2016
(M$)

 

 

Exploration
&
Production

 

Gas,
Renewables
& Power

 

Refining &
Chemicals

 

Marketing &
Services

  Corporate   Intercompany   Total
Total expenditures   4,833   (118)   566   500   74   -   5,855
Total divestments 818 29 15 65 - - 927
Cash flow from operating activities   4,039   732   1,746   340   161   -   7,018
BUSINESS SEGMENT INFORMATION              
TOTAL
(unaudited)
                             

1st quarter 2016
(M$)

 

 

Exploration
&
Production

 

Gas,
Renewables
& Power

 

 

Refining &
Chemicals

 

Marketing &
Services

  Corporate   Intercompany   Total
Non-Group sales 1,889 2,025 13,938 14,986 3 - 32,841
Intersegment sales 3,378 226 4,148 132 70 (7,954) -
Excise taxes   -   -   (961)   (4,358)   -   -   (5,319)
Revenues from sales 5,267 2,251 17,125 10,760 73 (7,954) 27,522
Operating expenses (3,307) (2,314) (15,782) (10,300) (220) 7,954 (23,969)
Depreciation, depletion and impairment of tangible assets and mineral interests   (2,246)   (28)   (253)   (145)   (8)   -   (2,680)
Operating income (286) (91) 1,090 315 (155) - 873
Equity in net income (loss) of affiliates and other items 627 51 179 4 103 - 964
Tax on net operating income   313   5   (277)   (85)   38   -   (6)
Net operating income 654 (35) 992 234 (14) - 1,831
Net cost of net debt (210)
Non-controlling interests                           (15)
Net income 1,606

1st quarter 2016 (adjustments) (a)
(M$)

 

 

Exploration
&
Production

 

Gas,
Renewables
& Power

 

Refining &
Chemicals

 

Marketing &
Services

  Corporate   Intercompany   Total
Non-Group sales   -   (126)   -   -   -   -   (126)
Intersegment sales - - - - - - -
Excise taxes   -   -   -   -   -   -   -
Revenues from sales - (126) - - - - (126)
Operating expenses (333) - (207) (77) - - (617)
Depreciation, depletion and impairment of tangible assets and mineral interests   -   -   -   -   -   -   -
Operating income (b) (333) (126) (207) (77) - - (743)
Equity in net income (loss) of affiliates and other items 329 (8) (1) (8) - - 312
Tax on net operating income   272   26   70   30   -   -   398
Net operating income (b) 268 (108) (138) (55) - - (33)
Net cost of net debt (6)
Non-controlling interests                           9
Net income (30)

(a) Adjustments include special items, inventory valuation effect and the effect of changes in fair value.

(b) Of which inventory valuation effect

On operating income       -       -       (205)       (77)       -
On net operating income - - (133) (50) -

1st quarter 2016 (adjusted)
(M$) (a)

 

 

Exploration
&
Production

 

Gas,
Renewables
& Power

 

Refining &
Chemicals

 

Marketing &
Services

  Corporate   Intercompany   Total
Non-Group sales   1,889   2,151   13,938   14,986   3   -   32,967
Intersegment sales 3,378 226 4,148 132 70 (7,954) -
Excise taxes   -   -   (961)   (4,358)   -   -   (5,319)
Revenues from sales 5,267 2,377 17,125 10,760 73 (7,954) 27,648
Operating expenses (2,974) (2,314) (15,575) (10,223) (220) 7,954 (23,352)
Depreciation, depletion and impairment of tangible assets and mineral interests   (2,246)   (28)   (253)   (145)   (8)   -   (2,680)
Adjusted operating income 47 35 1,297 392 (155) - 1,616
Equity in net income (loss) of affiliates and other items 298 59 180 12 103 - 652
Tax on net operating income   41   (21)   (347)   (115)   38   -   (404)
Adjusted net operating income 386 73 1,130 289 (14) - 1,864
Net cost of net debt (204)
Non-controlling interests                           (24)
Adjusted net income                           1,636
Adjusted fully-diluted earnings per share ($)                           0.68

(a) Except for earnings per share.

1st quarter 2016
(M$)

 

 

Exploration
&
Production

 

Gas,
Renewables
& Power

 

Refining &
Chemicals

 

Marketing &
Services

  Corporate   Intercompany   Total
Total expenditures   4,235   147   261   251   14   -   4,908
Total divestments 818 98 29 36 4 - 985
Cash flow from operating activities   2,101   (329)   (419)   580   (52)   -   1,881
Reconciliation of the information by business segment with consolidated financial statements
TOTAL      
(unaudited)
 

1st quarter 2017
(M$)

 

  Adjusted   Adjustments (a)  

Consolidated
statement of income

Sales 41,183 - 41,183
Excise taxes (5,090) - (5,090)
Revenues from sales 36,093 - 36,093
Purchases, net of inventory variation (23,990) 3 (23,987)
Other operating expenses (6,116) (50) (6,166)
Exploration costs (197) - (197)
Depreciation, depletion and impairment of tangible assets and mineral interests (2,649) (1,930) (4,579)
Other income 108 2,217 2,325
Other expense (58) (233) (291)
Financial interest on debt (324) (7) (331)
Financial income and expense from cash & cash equivalents (11) - (11)
Cost of net debt (335) (7) (342)
Other financial income 228 - 228
Other financial expense (160) - (160)
Equity in net income (loss) of affiliates 591 (43) 548
Income taxes   (939)   246   (693)
Consolidated net income 2,576 203 2,779
Group share 2,558 291 2,849
Non-controlling interests 18 (88) (70)

(a) Adjustments include special items, inventory valuation effect and the effect of changes in fair value.

1st quarter 2016
(M$)

 

  Adjusted   Adjustments (a)  

Consolidated
statement of income

Sales   32,967   (126)   32,841
Excise taxes (5,319) - (5,319)
Revenues from sales 27,648 (126) 27,522
Purchases, net of inventory variation (17,357) (282) (17,639)
Other operating expenses (5,801) (335) (6,136)
Exploration costs (194) - (194)
Depreciation, depletion and impairment of tangible assets and mineral interests (2,680) - (2,680)
Other income 171 329 500
Other expense (54) (16) (70)
Financial interest on debt (268) (6) (274)
Financial income and expense from cash & cash equivalents 10 - 10
Cost of net debt (258) (6) (264)
Other financial income 191 - 191
Other financial expense (155) - (155)
Equity in net income (loss) of affiliates 499 (1) 498
Income taxes   (350)   398   48
Consolidated net income 1,660 (39) 1,621
Group share 1,636 (30) 1,606
Non-controlling interests 24 (9) 15

(a) Adjustments include special items, inventory valuation effect and the effect of changes in fair value.

1 Definitions on page 2.

2 Group share.

3 The ex-dividend date will be September 25, 2017, and the payment date will be set for October 12, 2017.

4 Adjusted results are defined as income using replacement cost, adjusted for special items, excluding the impact of changes for fair value; adjustment items are on page 9.

5 Includes foreign exchange effect on Yamal LNG financing, which is reversed for total adjusted net operating income.

6 Tax on adjusted net operating income / (adjusted net operating income – income from equity affiliates – dividends received from investments – impairment of goodwill + tax on adjusted net operating income).

7 In accordance with IFRS norms, adjusted fully-diluted earnings per share is calculated from the adjusted net income less the perpetual subordinated bond coupon

8 Including acquisitions and increases in non-current loans.

9 Net investments = investments - divestments - repayment of non-current loans - other operations with non-controlling interests.

10 Organic investments = net investments excluding acquisitions, asset sales and other operations with non-controlling interests.

11 Operating cash flow before working capital changes, previously referred to as adjusted cash flow from operations, is defined as cash flow from operating activities before changes in working capital at replacement cost. The inventory valuation effect is explained on page 12.

12 Certain transactions referred to in the highlights are subject to approval by authorities or to other conditions as per the agreements.

13 Tax on adjusted net operating income / (adjusted net operating income – income from equity affiliates – dividends received from investments – impairment of goodwill + tax on adjusted net operating income).

14 Details shown on page 12.

15 Details shown on page 9 and in the annex to the accounts.

16 Net cash flow = operating cash flow before working capital changes - net investments (including other transactions with non-controlling interests).

17 Details shown on page 11.

TOTAL S.A.
Mike SANGSTER
Nicolas FUMEX
Kim HOUSEGO
Romain RICHEMONT
Tel. : + 44 (0)207 719 7962
Fax : + 44 (0)207 719 7959
or
Robert HAMMOND (U.S.)
Tel. : +1 713-483-5070
Fax : +1 713-483-5629

Short Name: Total S.A.
Category Code: QRF
Sequence Number: 582443
Time of Receipt (offset from UTC): 20170427T065023+0100

Contacts

TOTAL S.A.

Contacts

TOTAL S.A.