Shell has announced its Q1 2025 results.
Shell Chief Executive Officer, Wael Sawan said:
'Shell generated robust cash flows reflecting strong operational performance in a less favourable macro environment. We continued to deliver on our strategy by enhancing our deep-water portfolio in Nigeria and Brazil, and achieved a key milestone by shipping the first cargo from LNG Canada.
Our continued focus on performance, discipline and simplification helped deliver $3.9 billion of structural cost reductions since 2022, with the majority delivered through non-portfolio actions. This focus enables us to commence another $3.5 billion of buybacks for the next three months, the 15th consecutive quarter of at least $3 billion in buybacks.'
ROBUST CASH GENERATION; STRONG OPERATIONAL PERFORMANCE
- Adjusted Earnings(1) of $4.3 billion despite lower trading contribution in a weaker margin environment.
- Robust CFFO of $11.9 billion, supported by strong operational performance, enables commencement of another $3.5 billion share buyback programme for the next three months.
- Strong balance sheet, with gearing of 19%. 2025 cash capex outlook unchanged at $20 - 22 billion. Total shareholder distributions paid over the last 4 quarters were 46% of CFFO.
- Achieved $0.8 billion of structural cost reductions in the first half of 2025, of which $0.5 billion is through non-portfolio actions; cumulative reductions since 2022 are $3.9 billion, against CMD25 target of $5 - 7 billion by end of 2028.
- First cargo shipped from LNG Canada, strengthening our leading LNG position and supporting our ambition to achieve LNG sales cumulative annual growth rate of 4 - 5% to 2030.
- Further enhanced peer-leading deep-water position with start-up of Mero-4 (Brazil) and announced increase of interests in Gato do Mato (Brazil) and Bonga (Nigeria); continued to high-grade Downstream and R&ES portfolio.
(1) Income/(loss) attributable to shareholders for Q2 2025 is $3.6 billion. Reconciliation of non-GAAP measures can be found in the unaudited results, available at www.shell.com/investors.
(2) Chemicals & Products Adjusted Earnings at a subsegment level are as follows - Chemicals $(0.2) billion and Products $0.3 billion.
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Source: Shell
