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The Markets
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by Proactive
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Energy

Shell unveils $3.5bn buyback and lifts dividend to sweeten profit drop

Shell PLC (LSE:SHEL, NYSE:SHEL) has ramped up shareholder rewards despite flagging lower profit for the fourth quarter on the likes of weaker oil prices and squeezed margins.

A US$3.5 billion (£2.8 billion) buyback was unveiled in results on Thursday, alongside a 4% increase in dividends to US$0.3580 per share.

Adjusted earnings slumped just under 50% year on year and by 39% against the third quarter to US$3.7 billion.

Shell cited higher exploration well write-offs, lower oil prices, squeezed margins and unfavourable tax movements.

Cash flow from operating activities of US$13.2 billion was down 10% versus the previous quarter but 5% higher than a year earlier as working capital inflows partly offset tax and timing of emission certificate payments.

Shell added capital expenditure over the coming year was expected to be lower than 2024’s US$21 billion.

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