Shell Plc 1st Quarter 2025 Unaudited Results

Core Insights - Shell plc reported a significant increase in income attributable to shareholders, reaching $4.78 billion in Q1 2025, compared to$928 million in Q4 2024 and $7.36 billion in Q1 2024, reflecting a 415$5.58 billion, a 52% increase from $3.66 billion in Q4 2024, while Adjusted EBITDA rose to$15.25 billion, a 7% increase from $14.28 billion in the previous quarter [1] - Cash flow from operating activities decreased by 29$9.28 billion compared to $13.16 billion in Q4 2024, primarily due to tax payments and working capital outflows [1][4] Financial Performance - Total revenue for Q1 2025 was$70.15 billion, an increase from $66.81 billion in Q4 2024 [71] - The company reported a basic earnings per share of$0.79, up from $0.15 in Q4 2024 [1] - Total debt at the end of Q1 2025 was$76.51 billion, with net debt increasing to $41.52 billion from$38.81 billion in Q4 2024, resulting in a gearing ratio of 18.7% [1][6] Segment Analysis Integrated Gas - Income for the Integrated Gas segment was $2.79 billion, up 60$1.74 billion in Q4 2024, driven by lower exploration well write-offs and higher product margins [18][21] - Adjusted Earnings for this segment increased to $2.48 billion, a 15$2.17 billion in the previous quarter [18] Upstream - The Upstream segment reported income of $2.08 billion, a 102$1.03 billion in Q4 2024, attributed to lower exploration well write-offs and favorable tax movements [27][29] - Adjusted Earnings rose to $2.34 billion, a 39$1.68 billion in Q4 2024 [27] Marketing - The Marketing segment's income was $814 million, a significant increase from$103 million in Q4 2024, driven by lower operating expenses and higher marketing margins [34][37] - Adjusted Earnings for this segment were $900 million, reflecting a 7$839 million in the previous quarter [34] Chemicals and Products - The Chemicals and Products segment reported a loss of $77 million, an improvement from a loss of$276 million in Q4 2024, driven by higher product margins [42][44] - Adjusted Earnings for this segment were $449 million, a substantial increase from a loss of$229 million in the previous quarter [42] Renewables and Energy Solutions - The Renewables and Energy Solutions segment reported a loss of $247 million, an improvement from a loss of$1.23 billion in Q4 2024, primarily due to higher trading and optimization margins [50][55] - Adjusted Earnings were negative at $42 million, compared to a loss of$311 million in the previous quarter [50] Shareholder Distributions - Total shareholder distributions in Q1 2025 amounted to $5.5 billion, including$3.3 billion in share repurchases and $2.2 billion in cash dividends [7] - The dividend declared for Q1 2025 was$0.3580 per share, consistent with the previous quarter [1][7] Outlook - For the full year 2025, Shell expects cash capital expenditure to be between $20 billion and$22 billion [64] - Integrated Gas production is projected to be approximately 890 - 950 thousand boe/d, while Upstream production is expected to be around 1,560 - 1,760 thousand boe/d [65][66]