Shell reports US$9.5 billion profit, plans to boost dividend
The Shell logo is seen at a Shell petrol station in London, Britain on Jan 31, 2008. (File photo: Reuters/Toby Melville)
LONDON: Shell on Thursday (Oct 27) reported a third-quarter profit of US$9.45 billion, easing from the previous quarter's record high due to weaker refining and gas trading, and announced plans to sharply boost its dividend by year-end. Shell also extended its share repurchasing programme, announcing plans to buy US$4 billion of stock over the next three months.
Shell's cash flow in the quarter dropped sharply to US$12.5 billion from US$18.6 billion in the previous quarter due to a large working capital outflow of US$4.2 billion as a result of changes in the value of European gas inventories.
Its adjusted earnings were slightly above the US$9 billion average analyst forecast provided by the company. Shell had posted record quarterly earnings of US$11.5 billion in the previous quarter and US$4.1 billion a year earlier.
The company said it intends to increase its dividend by 15 per cent in the fourth quarter, when Chief Executive Officer Ben van Beurden will step down after nine years at the helm.
He will be succeeded by Wael Sawan, the current head of Shell's natural gas and low-carbon division.
