Shell (SHEL) investor relations material

Executive summary

• Achieved Q2 2026 Adjusted Earnings of $9.8 billion and income attributable to shareholders of $10.8 billion, driven by strong operational performance, higher realised prices, and portfolio repositioning despite Middle East disruptions.

• Cash flow from operations reached $21.4 billion, supported by higher prices and a $3.4 billion working capital inflow.

• Completed significant portfolio actions, including the ARC Resources acquisition (valued between $13.6B and $16.4B) and divestments such as Jiffy Lube, Sprng Energy, and Na Kika.

• Maintained disciplined capital allocation with $3 billion in new share buybacks and a 40-50% CFFO distribution policy.

• Delivered $700 million in structural cost savings in H1 2026 and $5.8 billion since 2022.

Financial highlights

• Adjusted EBITDA for Q2 2026 was $20.7 billion, with free cash flow at $17.5 billion and net debt reduced to $41.8 billion.

• Revenue for Q2 2026 was $94.7 billion, up from $65.4 billion in Q2 2025.

• Distributed 44% of CFFO to shareholders over the last 12 months, with $5.2 billion in Q2 2026 distributions.

• Dividend per share for Q2 2026 was $0.3906.

• Basic earnings per share for Q2 2026 was $1.94.

Outlook and guidance

• Full-year 2026 cash capex guidance remains at $24–$26 billion, including ARC Resources.

• ARC Resources acquisition expected to close in Q3 2026, increasing production growth to 4% CAGR to 2030.

• Q3 2026 guidance: Integrated Gas production 570–630 kboe/d, LNG liquefaction 7.1–7.7 Mt, Upstream production 1,680–1,880 kboe/d, refinery utilisation 93–101%.

• Committed to $5–$7 billion in structural cost reductions by 2028.

• Corporate Adjusted Earnings expected to be a net expense of $500–$700 million in Q3 2026.