Shell missed fourth-quarter profit expectations on Thursday with an 11% drop to the lowest level since early 2021 amid weaker oil prices, but kept its share buyback programme steady at $3…
Shell missed fourth-quarter profit expectations on Thursday with an 11% drop to the lowest level since early 2021 amid weaker oil prices, but kept its share buyback programme steady at $3.5 billion for the next three months.
Profits at its integrated gas and marketing divisions came in below expectations, while a loss in its chemicals and products unit - hit by weak oil trading that Shell had already flagged - was deeper than analysts expected.
The stock was down about 2% in early trading.
Fourth-quarter net profit came in at $3.3 billion, below analysts' average estimate of $3.5 billion in a company-provided poll for adjusted earnings, Shell’s definition of net profit.
Shareholder Payouts
The $3.5 billion buyback pace, together with $2.1 billion in dividends, lifts shareholder payouts over the last four quarters to 52% of operating cash flow, above Shell's 40% to 50% target range. Asked about this, Chief Financial Officer Sinead Gorman told reporters the rolling 12-month range was "sacrosanct".
By the end of 2025, Shell had bought back more than a quarter of its shares in four years.
Shell increased its quarterly dividend by 4% to $0.372 per share.
The world’s largest liquefied natural gas
Content Original Link:
" target="_blank">
