2 May 2025
If you are covering Shell’s Q1 trading update, please find a comment below from Maurizio Carulli, global energy and materials analyst at Quilter Cheviot:
"Shell has delivered a solid set of Q1 results, demonstrating strong performance across all business segments.
“Particularly encouraging is the upstream division’s contribution to the 52% quarter-on-quarter increase in Adjusted Earnings, which reached $5.6bn – outpacing consensus expectations by 12.4%.
“The company's commitment to shareholder value remains evident with the announcement of a further $3.5bn in buybacks over the next three months, supported by a breakeven dividend price of $40 per barrel of crude oil (bbl) and buyback breakeven at $50/bbl – comfortably below today’s Brent price of $62/bbl.
“Under CEO Wael Sawan’s leadership, Shell continues to execute its strategy of portfolio rationalisation, cost discipline, and operational improvements, positioning the company well amid ongoing oil price volatility and geopolitical uncertainties.
“A robust balance sheet, diverse asset base – including key regions such as Brazil and Qatar – and market-leading position in LNG provide a strong foundation for future cash flow generation and shareholder returns.
“Notably, Shell's foresight in developing the LNG business since the 1970s gives it a unique competitive edge, particularly as LNG remains one of the few oil & gas segments expected to see significant growth in the coming decade, even under aggressive energy transition scenarios."
