Shell's profit beats expectations at $6.9 billion, cuts share buybacks
Shell said higher oil prices and stronger trading lifted adjusted earnings to $6.92 billion, while it cut buybacks to $3 billion and raised the dividend 5%.
- Shell reported underlying first-quarter earnings of $6.92 billion on Thursday, more than double the prior quarter and 24% higher year-on-year. Chief Executive Wael Sawan credited relentless operational focus during unprecedented market disruption.
- Surging Brent crude, jet fuel, and gas prices linked to the Iran war drove the profit surge. Regional attacks in March halted production at Shell's PearlGTL site in Qatar and disrupted shipping in the Strait of Hormuz.
- Shell announced $3 billion in share buybacks and a 5% dividend increase for shareholders. The company recently agreed to a $16.4 billion deal acquiring Canadian energy firm ARC Resources, which Sawan said will "deliver value for decades to come."
- Shell's chemicals and products division saw underlying earnings more than quadruple to $1.93 billion from $449 million a year earlier. Rival BP reported strong first-quarter profits of $3.2 billion last week, capitalizing on volatile trading conditions.
- Campaigners warn households face higher energy bills, intensifying political scrutiny of energy-sector returns. These concerns arise ahead of the July 1 price-cap update, which could shape future regulatory responses to Shell's financial results.
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35 Articles
Adjusted profits of the British energy giant have risen to US$ 6,915 billion, compared to US$ 3,26 billion recorded in the previous quarter
Shell's profits have skyrocketed due to high oil and gas prices, even though part of its production facilities have been shut down or even...
Shell posted significantly higher profits last quarter. It benefited from sharply rising oil prices due to the war in the Middle East. The profit came…
The war in Iran has given oil company Shell's profits a significant boost. The once-Dutch company – now based in London – ended up with a net profit of $6.92 billion, while analysts had projected a profit of ‘only’ $6.1 billion. ‘It is a very strong set of figures that Shell is showing,’ concludes Jean-Paul van Oudheusden, market analyst at eToro and founder of Markets Are Everywhere.
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