Shell Plc 4th Quarter 2025 and Full Year Unaudited Results

Core Insights - Shell plc reported a significant decrease in income attributable to shareholders in Q4 2025, amounting to $4.134 billion, a 22% decline from Q3 2025 and a substantial increase from $928 million in Q4 2024. However, the full year income increased by 11% to $17.838 billion compared to $16.094 billion in 2024 [1][9] Financial Performance Summary - Quarterly Performance: Q4 2025 adjusted earnings were $3.256 billion, down 40% from Q3 2025 and down 22% year-over-year. Adjusted EBITDA for the quarter was $12.799 billion, a 13% decrease from Q3 2025 and a 15% decrease from Q4 2024 [1][4] - Full Year Performance: For the full year 2025, adjusted earnings were $18.529 billion, a 22% decline from $23.716 billion in 2024. Adjusted EBITDA for the year was $56.135 billion, down 15% from $65.803 billion in 2024 [1][12] Cash Flow Analysis - Operating Activities: Cash flow from operating activities in Q4 2025 was $9.438 billion, down 23% from Q3 2025 and down 22% year-over-year. For the full year, cash flow from operating activities was $42.863 billion, a decrease of 22% from $54.687 billion in 2024 [1][13] - Investing Activities: Cash flow from investing activities in Q4 2025 was an outflow of $5.2 billion, including capital expenditures of $6.0 billion. For the full year, the outflow was $16.812 billion, with capital expenditures of $20.915 billion [1][14] Debt and Gearing - At the end of Q4 2025, Shell's net debt increased to $45.687 billion from $41.204 billion in Q3 2025, resulting in a gearing ratio of 20.7%, up from 18.8% [1][7] Shareholder Distributions - Total shareholder distributions in Q4 2025 amounted to $5.5 billion, including $3.4 billion in share repurchases and $2.1 billion in cash dividends. The dividend per share for Q4 2025 was $0.372, marking a 4% increase from the previous year [1][8] Segment Performance - Integrated Gas: Q4 2025 income was $1.839 billion, down 22% from Q3 2025. Full year income was $8.821 billion, an 8% decrease from 2024 [21][27] - Upstream: Q4 2025 income was $3.648 billion, a 114% increase from Q3 2025. Full year income was $9.443 billion, up 22% from 2024 [33][39] - Marketing: Q4 2025 reported a loss of $99 million, down significantly from Q3 2025. Full year income was $2.057 billion, a 20% increase from 2024 [46][52] - Chemicals and Products: Q4 2025 reported a loss of $560 million, with full year income at $262 million, down 84% from 2024 [58][68] - Renewables and Energy Solutions: Most activities were loss-making in Q4 2025, with identified items including impairment charges of $334 million for the full year [76][84] Growth Measures - Renewable power generation capacity in operation increased to 4.2 gigawatts in Q4 2025, a 10% increase from Q3 2025. However, capacity under construction decreased to 1.9 gigawatts, a 26% decline from Q3 2025 [87][89]