Shell plc (SHEL) Q2 FY2026

Business

From the Form 20-F 2025, accession 0001628280-26-017024.

Shell is an integrated energy company. It finds and produces oil and natural gas, turns gas into liquefied natural gas (LNG) and ships and trades it, refines crude oil, makes petrochemicals, and sells fuels, lubricants and related products to drivers, fleets, airlines, shipping lines and industrial customers through its own branded retail network and commercial channels. It also trades crude, oil products, gas, LNG and power on a very large scale, and calls trading and optimisation "the heart of our integrated model". Revenue in 2025 was $266.9 billion (2024: $284.3 billion). Shell describes itself as the world's leading publicly listed LNG supplier, serving nearly a fifth of global LNG demand. It is also the world's largest supplier of finished lubricants and a leading fuel retailer. It employs about 85,000 people in more than 70 countries and is headquartered in London. Its shares trade in London, Amsterdam and, as ADSs, in New York.

Shell reports six segments. The 2025 figures below show where the earnings come from: the two production segments, Integrated Gas and Upstream, earned most of the year's $18.5 billion of Adjusted Earnings.

• Integrated Gas: natural gas exploration and production, liquefaction into LNG, conversion of gas to liquid fuels (GTL), and the marketing, trading and optimisation of LNG. 2025: income $8.8 billion, Adjusted Earnings $8.0 billion, cash flow from operations $14.1 billion, production 931 thousand barrels of oil equivalent a day (kboe/d), LNG sales 73 million tonnes.
• Upstream: exploration and production of crude oil, gas and natural gas liquids, both in deep water (Gulf of America, Brazil, Nigeria) and in conventional fields, plus the transport and marketing of that output. 2025: income $9.4 billion, Adjusted Earnings $7.4 billion, cash flow from operations $19.6 billion, production 1,828 kboe/d.
• Marketing: Mobility (the retail network, including electric-vehicle charging and convenience retail, and wholesale commercial fuels), Lubricants, and Sectors and Decarbonisation (fuels, specialty products and low-carbon products such as biofuels for aviation, marine and agriculture customers). 2025: income $2.1 billion, Adjusted Earnings $4.0 billion, sales volumes 2,753 thousand barrels a day.
• Chemicals and Products: refineries and chemical plants, the pipeline business, and the trading and optimisation of crude oil, oil products and petrochemicals. 2025: income $0.3 billion, Adjusted Earnings $1.1 billion; the chemicals business lost money for the year.
• Renewables and Energy Solutions: renewable power generation; marketing and trading of power and pipeline gas; hydrogen; carbon capture and storage (CCS) hubs; carbon credits and nature-based projects; and Shell Ventures. 2025: loss $0.5 billion, Adjusted Earnings $0.2 billion. Trading and energy marketing earnings more than covered losses in generation, hydrogen, CCS and the other activities.
• Corporate: holding companies and treasury, headquarters costs, self-insurance and the longer-term innovation portfolio. All group finance costs and income are booked here.

Strategy and financial framework. Shell's stated strategy is "more value with less emissions". It aims to grow its LNG business, keep liquids production steady, and reshape its downstream and low-carbon businesses for returns. The targets set at its June 2025 Capital Markets Day are:

• grow LNG sales by 4–5% a year to 2030;
• sustain liquids production at 1.4 million barrels a day while growing combined Upstream and Integrated Gas production by 1% a year to 2030;
• hold cash capital expenditure at $20–22 billion a year over 2025–2028;
• return 40–50% of cash flow from operations to shareholders through the cycle, favouring buybacks, with a progressive dividend rising 4% a year (subject to Board approval);
• cut structural costs by a cumulative $5–7 billion by the end of 2028 compared with 2022 ($5.1 billion had been delivered by the end of 2025);
• grow normalised free cash flow per share by more than 10% a year to 2030.

Its climate targets are net-zero emissions by 2050, a halving of Scope 1 and 2 operational emissions by 2030 compared with 2016 (about 70% of that reduction achieved by 2025), and a 15–20% cut in the net carbon intensity of the energy products it sells by 2030 (9% achieved by end-2025). Shell had about $20 billion of capital employed in lower-carbon platforms at the end of 2025.

How the portfolio changed in 2025.

• LNG. LNG Canada shipped its first cargoes in June 2025, and Shell completed its acquisition of Pavilion Energy in Singapore, which strengthened its LNG trading portfolio.
• Upstream. Shell sold The Shell Petroleum Development Company of Nigeria (SPDC) in March 2025. It formed the Adura Energy joint venture, one of the largest independent producers in the UK North Sea, and the gain on that deal drove most of Upstream's $2.8 billion of disposal gains. New projects started up, including Whale in the Gulf of America and Mero-4 offshore Brazil.
• Chemicals and Products. Shell divested the Energy and Chemicals Park in Singapore and its interest in Colonial Pipeline. In November 2025 it swapped its remaining 10% oil-sands mining interest in Canada for a further 10% of the Scotford upgrader and the Quest CCS facility.
• Downstream and low-carbon. Shell decided not to restart construction of the Rotterdam biofuels plant. It withdrew from the Atlantic Shores offshore wind project and closed or sold around 800 lower-performing retail sites.

Risk factors

From the Form 20-F 2025, accession 0001628280-26-017024. The second-quarter 2026 interim report states that no material changes to these risk factors are expected for the rest of 2026.

• Commodity prices and the macro economy. Shell's earnings rise and fall with oil, gas, product, chemical and power prices. Low prices cut Integrated Gas and Upstream revenue and have in the past led to project delays, impairments and reserve debookings. High prices can shrink Shell's reserve entitlement under production-sharing contracts and reduce demand in Marketing and in Chemicals and Products. Tariffs, including those announced by the USA, and government price caps add uncertainty.
• Project delivery and reserves replacement. Future output depends on delivering large integrated projects and replacing proved reserves. Proved reserves fell to 8,123 million boe at December 31, 2025 from 9,620 million boe a year earlier, largely because of the Canadian oil-sands swap and the Nigeria (SPDC) sale. Reserve estimates are judgemental and have been corrected in the past.
• Country and geopolitical risk. Shell has experienced forced divestment, expropriation, contract renegotiation, windfall and retroactive taxes, and security threats such as kidnapping, sabotage and crude theft. It names the conflicts in the Middle East as a live risk to its operations "in the region and beyond".
• Joint arrangements. Many major assets are run with partners or by other operators. That limits Shell's control over performance and costs, but it still carries environmental, legal and sanctions exposure, sometimes jointly and severally.
• Climate change and the energy transition. Shell faces lower demand and prices for oil and gas, low-carbon businesses that earn thinner margins than oil and gas, investors and lenders pulling back from fossil-fuel financing, rising carbon costs, and the physical effects of climate change on its assets. It also faces climate litigation: in the Netherlands, Milieudefensie has appealed to the Dutch Supreme Court against the November 12, 2024 Court of Appeal judgment that overturned an order requiring Shell to cut emissions by 2030.
• Financial risk. Shell relies on bond and commercial-paper markets, some financial institutions are limiting their exposure to fossil-fuel projects, and it is exposed to currency movements, counterparty credit and the funding of large defined-benefit pension plans.
• Trading. Commodity trading exposes Shell to market losses that hedging cannot fully remove. Because of the volume of trades, there is also a risk of control failures or traders exceeding limits, which Shell says has happened before, and of regulatory fines.
• Health, safety, security and the environment. A major explosion, leak or spill could cause deaths, environmental damage and loss of permits, and insurance covers such losses only partly. Shell cites the 2023 fire at its Deer Park chemicals facility. Four people died in Shell-operated businesses in 2025.
• Cyber security and technology. Shell depends heavily on IT systems and faces ransomware, denial-of-service attacks and attacks by state actors on energy infrastructure. AI adds new security and regulatory risks.
• Litigation and regulatory compliance. Shell is exposed to antitrust, anti-bribery, sanctions and data-privacy rules, and has been fined under EU competition law and settled with the SEC under the Foreign Corrupt Practices Act in the past. English courts are increasingly letting claims proceed against UK parent companies over the conduct of overseas subsidiaries. The NAM joint venture with ExxonMobil remains financially responsible for its liability for earthquake damage caused by production from the Groningen gas field.
• Reputation, people and culture. Public debate over the role of oil and gas, accusations of profiteering when prices are high, and advertising complaints can erode Shell's licence to operate. Delivering the strategy depends on adapting the culture and skills of its workforce.
• Shareholder remedies. Shell's Articles of Association require shareholder disputes to be settled by arbitration in London. That could limit the remedies available to investors, including under securities laws.

Management's discussion: fiscal 2025

From the Form 20-F 2025, accession 0001628280-26-017024.

Lower oil, gas and LNG prices outweighed higher volumes and lower costs in 2025. Brent averaged $69.1 a barrel against $80.8 in 2024. Henry Hub rose to $3.5 per MMBtu from $2.2 and EU TTF to $11.9 from $11.0. Shell's indicative refining margin improved to $10.14 a barrel from $7.74, while the indicative chemical margin slipped to $147.9 a tonne from $151.72 under pressure from overcapacity in China.

Income for the period rose to $18.1 billion from $16.5 billion, and income attributable to Shell plc shareholders to $17.8 billion from $16.1 billion. Basic earnings per share were $3.03, against $2.55. Net income rose even though underlying earnings fell, because identified items were a net loss of only $53 million in 2025 against $7.36 billion in 2024. Adjusted Earnings, which exclude identified items and inventory price effects, fell to $18.5 billion from $23.7 billion. Management attributes the fall mainly to lower realised liquids and LNG prices, lower trading and optimisation, and weaker chemicals margins, partly offset by higher volumes, lower operating expenses, favourable tax movements and better Marketing margins. Operating expenses fell to $35.7 billion from $36.9 billion. Return on average capital employed (ROACE), Shell's non-GAAP measure, fell to 9.4% from 11.3%. Oil and gas production available for sale averaged 2,800 kboe/d, against 2,836, as divestments and field decline outweighed new production.

The segments contributed as follows (Adjusted Earnings, 2025 against 2024):

• Integrated Gas: $8.0 billion against $11.4 billion. Lower trading and optimisation contributions and lower realised prices cost $3.0 billion. LNG sales rose 11% to 73 million tonnes, with a record number of cargoes, helped by Pavilion Energy. Liquefaction volumes eased to 28 million tonnes from 29.
• Upstream: $7.4 billion against $8.4 billion. Lower realised liquids prices cost $2.9 billion, partly offset by lower well write-offs and higher sales volumes. Reported income rose to $9.4 billion on the Adura disposal gains, partly offset by a $536 million UK Energy Profits Levy charge.
• Marketing: $4.0 billion against $3.9 billion. Mobility and Lubricants had their best-ever results on higher premium-product margins, while Sectors and Decarbonisation margins fell. Identified items included $1.4 billion of net impairments, including the impact of the decision not to restart the Rotterdam biofuels plant.
• Chemicals and Products: $1.1 billion against $2.9 billion. Products margins fell by $972 million, mostly from trading and optimisation even though refining margins improved, and chemicals margins fell by $604 million.
• Renewables and Energy Solutions: $0.2 billion against a $0.5 billion loss, on lower operating expenses and better generation and energy-marketing margins.
• Corporate: the net loss narrowed by $98 million as favourable tax movements outweighed higher net interest costs.

Cash flow, balance sheet and distributions. Cash flow from operating activities fell to $42.9 billion from $54.7 billion. The main drivers were lower Adjusted EBITDA ($56.1 billion against $65.8 billion) and a $1.8 billion working-capital outflow, against an inflow in 2024. Free cash flow was $26.1 billion, against $39.5 billion. Cash capital expenditure was $20.9 billion, of which Upstream took $9.3 billion and Integrated Gas $4.7 billion. Divestment proceeds were $2.4 billion. Net debt rose to $45.7 billion from $38.8 billion, and gearing to 20.7% from 17.7%. Total debt fell to $75.6 billion, and cash ended the year at $30.2 billion. Shell maintains an undrawn $8 billion committed credit facility maturing in 2030. Shareholders received $8.5 billion in dividends and $13.9 billion in buybacks, a combined 52% of cash flow from operations. The buybacks retired 396.4 million shares at an average $35.01. The 2025 dividend totalled $1.446 per share. The fourth-quarter 2025 dividend of $0.372 was 4% above the third quarter's.

Events after the 2025 year end (disclosed in the 20-F):

• Share buyback. A $3.5 billion buyback was announced on February 5, 2026.
• Middle East. The 20-F records that, after the balance-sheet date, the Iran conflict disrupted oil and gas supply from the Middle East and made commodity markets highly volatile. Shell said that, at the date of the 20-F, the conflict had not had a material impact on its financial position.
• Jiffy Lube sale. On March 9, 2026, Shell agreed to sell 100% of its Jiffy Lube business (Jiffy Lubricants International in the 20-F; Jiffy Lube International in the interim report) to an affiliate of Monomoy Capital Partners for $1.3 billion, keeping a long-term lubricants supply agreement. That sale closed on June 30, 2026 (see below).

Current quarter: second quarter 2026

From the Unaudited Condensed Interim Financial Report for the three and six months ended June 30, 2026, Form 6-K, accession 0001628280-26-050763.

What changed this quarter. The Middle East conflict cut Shell's production but lifted prices, margins and trading results. Shell earned much more as a result, and cash flow recovered after a first quarter weighed down by working capital.

• Earnings. Revenue was $94.7 billion, against $69.7 billion in the first quarter of 2026 and $65.4 billion in the second quarter of 2025; total revenue and other income, which adds the share of profit of joint ventures and associates and interest and other income, was $96.4 billion. Income attributable to Shell plc shareholders was $10.8 billion, against $5.7 billion in the first quarter and $3.6 billion a year earlier. Basic earnings per share were $1.94 (diluted $1.92). Adjusted Earnings were $9.8 billion, against $6.9 billion and $4.3 billion. Against the first quarter, management attributes the rise to higher realised prices, higher LNG trading and optimisation, favourable tax movements, stronger chemicals margins, and higher crude and oil-products trading. Lower volumes, mainly from the conflict's impact on Qatari output, and lower lubricants margins partly offset these gains.
• Production. Oil and gas production available for sale fell to 2,455 kboe/d from 2,752 in the first quarter and 2,682 a year earlier.
• Identified items. Identified items were a net gain of $0.4 billion, against a net loss of $2.4 billion in the first quarter. The second-quarter items included favourable fair-value movements on commodity derivatives, gains on asset sales and impairment charges.
• Cash flow and debt. Cash flow from operating activities was $21.4 billion, against $6.1 billion in the first quarter. It included a $3.4 billion working-capital inflow and $1.3 billion of inflows from the timing of emission-certificate and biofuel-programme payments, less $2.9 billion of tax paid. Free cash flow was $17.5 billion. Net debt fell to $41.8 billion from $52.6 billion at the end of March, and gearing to 18.7% from 23.2%. Cash and cash equivalents were $31.4 billion, total debt $73.1 billion and total equity $181.8 billion at June 30, 2026. ROACE was 12.4%.
• Shareholder returns. Shell paid $5.2 billion to shareholders in the quarter: $3.0 billion of buybacks and $2.2 billion of dividends. It declared a second-quarter dividend of $0.3906 per share ($0.7812 per ADS), the same as the first quarter and up from $0.358 a year earlier. Shell temporarily suspended the $3.0 billion buyback announced with its first-quarter results because of the ARC Resources agreement, and only $1.8 billion of it was completed. Shares in issue fell to 5,570,928,127 at June 30, 2026 from 5,718,636,398 at the start of the year.

Segments, second quarter 2026 (Adjusted Earnings, against the first quarter of 2026):

• Integrated Gas: $2.69 billion against $1.82 billion. Higher trading and optimisation and realised prices added $1.36 billion, partly offset by $0.91 billion from lower volumes. Production fell 31% to 631 kboe/d, mainly because of the conflict's impact on Qatari volumes. LNG liquefaction fell 2% to 7.73 million tonnes, mainly because of the conflict's impact on Qatari volumes and higher planned maintenance across the portfolio, partly offset by strong performance in Australia and Canada. LNG sales were 17.96 million tonnes.
• Upstream: $3.49 billion against $2.38 billion, on higher realised prices (+$1.13 billion) and favourable tax movements, partly offset by $242 million of oil export levies in Brazil. Production was 1,824 kboe/d against 1,843, as heavier maintenance was partly offset by new oil production in Brazil and the Gulf of America.
• Marketing: $1.33 billion, flat with the first quarter. Weaker lubricants margins and lower trading were offset by higher Mobility unit margins and favourable tax movements. Sales volumes fell to 2,570 thousand barrels a day on market impacts from the Middle East conflict. Reported income included $282 million of disposal gains, mainly from the sale of Jiffy Lube International.
• Chemicals and Products: $2.88 billion against $1.93 billion in the first quarter and $0.12 billion a year earlier. Chemicals margins rose by $454 million and Products margins by $429 million, mainly on higher trading and optimisation. Products earned $2.52 billion and Chemicals $0.35 billion. Refinery utilisation was 102% and chemical plant utilisation 83%.
• Renewables and Energy Solutions: $79 million against $348 million, on lower trading and optimisation margins. Reported results included $536 million of impairments, mainly on renewable generation assets in Asia and Europe.
• Corporate: a net expense of $617 million against $908 million, helped by favourable net interest and tax movements.

First half 2026. Income attributable to shareholders was $16.5 billion against $8.4 billion in the first half of 2025, and Adjusted Earnings were $16.8 billion against $9.8 billion. Cash flow from operations was $27.5 billion against $21.2 billion. That was despite $7.7 billion of net working-capital outflows for the half: a large first-quarter outflow partly reversed by the second-quarter inflow. Shell has now delivered $5.8 billion of pre-tax structural cost reductions since 2022, $0.7 billion of them in the first half of 2026. Integrated Gas cash flow in the half also included a $635 million payment relating to a legal case, which the report does not describe further.

Portfolio developments reported with the results:

• ARC Resources (agreed, April 2026). Shell agreed to buy ARC Resources Ltd., a producer focused on the Montney shale basin in British Columbia and Alberta. Each ARC share would receive C$8.20 in cash (about $5.92 at the completion-date rate; see Subsequent events) plus 0.40247 Shell ordinary shares, giving an equity value of about $13.6 billion at Shell's April 24, 2026 share price. The deal closed on September 2, 2026 (see Subsequent events).
• Na Kika and Coulomb (agreed, June 2026). Shell agreed to sell its 50% non-operated interest in the Na Kika platform and associated fields in the Gulf of America, together with its 100%-owned Coulomb tieback, for $1.7 billion, subject to adjustments and certain contingent payments. Closing is expected by the end of 2026.
• Jiffy Lube International (completed June 30, 2026). The sale to an affiliate of Monomoy Capital Partners for $1.3 billion closed, with a long-term lubricants supply agreement retained.
• Sprng Energy (agreed, July 2026). Shell agreed to sell 100% of Solenergi Power Private Limited, which owns the Sprng Energy group, to Aditya Birla Renewables Limited for $1.8 billion. Completion is expected by the end of 2026.
• Raizen. In June 2026, Shell's 44%-owned joint venture Raizen filed a restructuring plan, which still needs court approval. The plan would convert debt into equity, diluting Shell's stake, and require a capital injection from Shell of BRL 3.5 billion ($685 million as stated by Shell). The plan terminates automatically if its conditions are not met by March 31, 2027, extendable once by up to six months.
• Assets held for sale. Assets classified as held for sale rose to $2.4 billion at June 30, 2026, principally Sprng Energy and a working interest in Brazil.
• Price assumptions. Shell's future long-term commodity price assumptions, which it treats as a significant accounting estimate, changed during the second quarter and remain under review given continued market volatility.

Guidance given with the results:

• Capital spending. Full-year 2026 cash capital expenditure is expected to be $24–26 billion, above the $20–22 billion annual range in the Capital Markets Day framework ($21 billion was spent in 2025).
• Third-quarter 2026 outlook (excluding any volumes from ARC Resources and from Qatar): Integrated Gas production of 570–630 kboe/d; LNG liquefaction of 7.1–7.7 million tonnes; Upstream production of 1,680–1,880 kboe/d, reflecting heavier maintenance; Marketing sales of 2,550–2,750 thousand barrels a day; refinery utilisation of 93–101%; chemical plant utilisation of 78–86%; and a Corporate net expense of $500–700 million.

Subsequent events

These events cover July 7 through October 7, 2026. Each is cited to the Form 6-K that reports it, with the Q2 2026 interim report (accession 0001628280-26-050763) for events it records after June 30.

• ARC Resources acquisition completed (September 2, 2026). ARC shareholders approved the deal on July 14, 2026, with about 99.54% of votes cast in favour (Q2 interim report, Note 9). Shell completed the acquisition on September 2, 2026, after receiving all shareholder, court and regulatory approvals (6-K accession 0001171843-26-005865).
  • Price. ARC holders receive C$8.20 in cash (about $5.92 at the September 2, 2026 closing rate of C$1.385 per US dollar) plus 0.40247 Shell ordinary shares per ARC share. At Shell's September 2 closing price, the equity value was about $13.9 billion, funded with $3.3 billion of cash and $10.6 billion of new Shell shares. Shell also takes on about $2.5 billion of net debt and leases, for an enterprise value of about $16.5 billion.
  • What Shell gains. The deal adds about 370 kboe/d of liquids and gas production immediately. Shell says this supports production growth of around 4% a year to 2030 compared with 2025, and that the deal should be accretive to free cash flow per share from 2027.
  • New shares. Shell applied to list 228,003,843 new ordinary shares issued as part of the consideration, with admission expected on September 3, 2026 (6-K accession 0001171843-26-005830).
• New share buyback programme (July 30, 2026). The programme totals $4.232 billion: $3.000 billion of new buybacks plus the $1.232 billion not executed under the previous programme, which was suspended in connection with the ARC agreement. It runs to October 23, 2026, and Shell intends to finish it before its third-quarter results (6-K accession 0001171843-26-005059, Exhibit 99.2).
• Debt exchange (July 9, 2026). Holders of $6.298 billion of unregistered Shell Finance US Inc. notes, guaranteed by Shell plc, exchanged them for a like amount of new registered notes. This was not new borrowing (6-K accession 0001193125-26-299287, Exhibit 99.1).
• UK tax proposal (July 13, 2026). The UK Government published draft legislation that would exempt foreign permanent establishments from UK tax, which could limit Shell's use of foreign tax attributes against UK profits. Shell says it is monitoring the proposal (Q2 interim report, Note 7).
• Updated third-quarter outlook (October 7, 2026). Including ARC, Integrated Gas production is now expected at 740–780 kboe/d. The July guidance of 570–630 kboe/d had excluded both ARC and Qatar volumes. Shell also expects an outflow of about $2.5 billion in operating cash flow for German fuel-emissions certificates, and says net debt will reflect the ARC cash consideration and assumed debt. Third-quarter results are scheduled for October 29, 2026 (6-K accession 0001171843-26-006483).
• Still pending at October 7, 2026. The Na Kika/Coulomb sale ($1.7 billion) and the Sprng Energy sale ($1.8 billion), both expected to close by the end of 2026, and court approval of the Raizen restructuring plan.

Filings that contain financial statements

• Form 6-K filed July 30, 2026, accession 0001628280-26-050763. Unaudited Condensed Interim Financial Report for the three and six month periods ended June 30, 2026 (Exhibit 99.2). It holds the consolidated statements of income, comprehensive income, financial position, cash flows and changes in equity, the notes, segment results and the non-GAAP reconciliations. Exhibit 99.1 is a one-paragraph regulatory release announcing the report.
• Form 6-K filed July 7, 2026, accession 0001171843-26-004510 (second quarter 2026 update note) and Form 6-K filed October 7, 2026, accession 0001171843-26-006483 (third quarter 2026 update note) carry outlook tables and non-GAAP reconciliation tables only, not financial statements.

Second quarter 2026 results (July 30, 2026, accession 0001628280-26-050763)

• Income attributable to Shell plc shareholders was $10,821 million for Q2 2026, against $5,694 million in Q1 2026 and $3,601 million in Q2 2025. Adjusted Earnings were $9,836 million (Q1 2026: $6,915 million; Q2 2025: $4,264 million). Adjusted EBITDA was $20,710 million.
• Cash flow from operating activities was $21,432 million and free cash flow $17,524 million. Net debt fell to $41,754 million from $52,606 million at the end of Q1 2026; gearing was 18.7% (Q1 2026: 23.2%). Cash capital expenditure was $4,237 million.
• Oil and gas production available for sale was 2,455 thousand boe/d, down from 2,752 thousand boe/d in Q1 2026 and 2,682 thousand boe/d in Q2 2025. Shell attributes the decline mainly to the effect of the Middle East conflict on Qatari volumes (Integrated Gas production fell 31% from Q1 2026 to 631 thousand boe/d).
• Identified items were a net gain of $0.4 billion in the quarter, against a net loss of $2.4 billion in Q1 2026.
• Basic earnings per share were $1.94; Adjusted Earnings per share were $1.76.
• Shell guided full-year 2026 cash capital expenditure to $24-$26 billion (2025: $21 billion).

Dividend and share buybacks

• Interim dividend (July 30, 2026, accession 0001171843-26-005059, Exhibit 99.1). Q2 2026 dividend of $0.3906 per ordinary share, equal to $0.7812 per ADS (each ADS represents two ordinary shares). Ex-dividend date for ordinary shares August 13, 2026 and for ADSs August 14, 2026; record date August 14, 2026; payment date September 21, 2026. The Q2 2025 dividend was $0.3580 per share.
• New buyback programme (July 30, 2026, accession 0001171843-26-005059, Exhibit 99.2). Shell announced a programme running to October 23, 2026 comprising $3.000 billion of new buybacks plus $1.232 billion of buybacks that were not undertaken under the earlier programme. The earlier programme (announced May 7, 2026) was suspended from June 12, 2026 through July 14, 2026 in connection with the ARC Resources transaction and completed, apart from the suspended amount, on July 24, 2026. Under the earlier programme $1.8 billion of the $3.0 billion was completed by the time it ended on July 24, 2026. The maximum number of shares that may be bought under the new programme is 565,550,000.
• Routine buyback notices (accessions 0001171843-26-005152, 0001171843-26-005834, 0001171843-26-006351). Shell filed daily "Transaction in Own Shares" notices through September 30, 2026. Summing the notices, about 31.1 million ordinary shares were bought for cancellation under the new programme in August 2026 and about 30.8 million in September 2026, on the London and Amsterdam venues.
• Director and officer share dealing notices (July 31, August 5, September 1 and September 28, 2026) report routine disposals and dividend-share acquisitions by executives; none is a material transaction.

M&A and portfolio

• ARC Resources Ltd. acquisition: closed September 2, 2026 (Form 6-K, accession 0001171843-26-005865). Shell reported that it "has completed" the arrangement agreement to acquire ARC Resources Ltd. after receipt of all required shareholder, court and regulatory approvals; the effective date was September 2, 2026. ARC shareholders receive CAD 8.20 in cash (about $5.92 at the September 2, 2026 closing rate) and 0.40247 Shell ordinary shares per ARC share. Shell put the equity value at about $13.9 billion (funded with $3.3 billion of cash and $10.6 billion of new Shell shares), with about $2.5 billion of net debt and leases assumed, for an enterprise value of about $16.5 billion. Shell said the deal adds about 370 thousand boe/d of production, is expected to produce double-digit returns, and is expected to be accretive to free cash flow per share from 2027 onwards. The accounting purchase price allocation had not yet been completed.
• Milestones before closing. The agreement was signed in April 2026 (equity value then about $13.6 billion). ARC shareholders approved it on July 14, 2026 with about 99.54% of the votes cast (accession 0001628280-26-050763, Exhibit 99.2). On September 1, 2026 Shell applied to admit 228,003,843 new ordinary shares to trading on the London Stock Exchange as part of the consideration, with admission expected September 3, 2026 (accession 0001171843-26-005830).
• Disposals announced or completed. Shell completed the sale of Jiffy Lube International to Monomoy Capital Partners for $1.3 billion on June 30, 2026 (closed). It agreed in June 2026 to sell its 50% non-operated interest in the Na Kika platform and the Coulomb tieback in the Gulf of America for $1.7 billion, expected to close by the end of 2026 (signed, not closed). In July 2026 it agreed to sell Solenergi Power Private Limited, including Sprng Energy, to Aditya Birla Renewables Limited for $1.8 billion, expected to complete by the end of 2026 (signed, not closed). All three are from accession 0001628280-26-050763, Exhibit 99.2.

Debt

• Exchange offers for Shell Finance US notes (July 9, 2026, accession 0001193125-26-299287, Exhibit 99.1). Shell announced final results of offers to exchange unregistered notes issued by Shell Finance US Inc. and guaranteed by Shell plc for registered notes with the same terms. $6,298,101,000 of principal was tendered and accepted across six series (3.875% due 2028, 6.375% due 2038, 5.500% due 2040, 5.125% due 2041, 3.125% due 2049 and 3.000% due 2051). Settlement was expected July 13, 2026. This swaps notes for registered notes of the same principal; it does not add debt.

Outlook updates

• July 7, 2026 (accession 0001171843-26-004510). Ahead of the Q2 results, Shell raised the ranges for Q2 2026 production: Integrated Gas to 610-650 thousand boe/d (from 580-640) and Upstream to 1,750-1,850 thousand boe/d (from 1,620-1,820). It noted working capital inflows of $1 billion to $6 billion for the quarter after an $11.2 billion outflow in Q1 2026, and an indicative refining margin of about $20/bbl.
• October 7, 2026 (accession 0001171843-26-006483). Third quarter update note ahead of results due October 29, 2026. Integrated Gas production is guided to 740-780 thousand boe/d (the earlier range was 570-630) and the note says the outlook includes ARC, which completed on September 2, 2026. Upstream production is guided to 1,735-1,835 thousand boe/d, Marketing sales volumes to 2,550-2,650 thousand b/d, and refinery utilisation to 93%-97% (Low Rhine water levels are cited for the Rheinland refinery). The indicative refining margin for Q3 is $42/bbl (Q2: $24/bbl) and the indicative chemicals margin $208/tonne (Q2: $270/tonne). Cash flow from operating activities is expected to include a roughly $2.5 billion outflow for German emissions certificate payments. Net debt will be affected by the ARC cash consideration and assumed debt and by higher variable shipping lease costs. Shell expects Q3 exploration well write-offs of about $0.3 billion and non-cash post-tax impairments of biogas assets in Marketing that are largely offset by an impairment reversal in Integrated Gas, both reported as identified items.

Board

• July 30, 2026 (accession 0001171843-26-005062). Ann Godbehere stepped down as Chair and member of the Audit and Risk Committee effective August 1, 2026, after more than eight years on the committee, seven as Chair. Non-executive director Holly Keller Koeppel became Chair of the committee effective the same date.

About this file

SHEL annual income statement, balance sheet and cash flow

Taken from the SEC filings and normalized to actual dollars.

• Accounting basis. IFRS as issued by the IASB (audited consolidated financial statements, Form 20-F)

SHEL quarterly income statement, balance sheet and cash flow

Taken from the SEC filings and normalized to actual dollars.

• Accounting basis. IAS 34 condensed consolidated interim financial statements (unaudited, furnished on Form 6-K)

SHEL year-to-date income statement and cash flow

Taken from the SEC filings and normalized to actual dollars.

• Accounting basis. IAS 34 condensed consolidated interim financial statements (unaudited, furnished on Form 6-K)

SHEL trailing twelve month income statement and cash flow

Derived by AI from the figures the filings report. No filing prints these, so none of them is linked.

• Derivation. Full year 2025 from the 2025 Form 20-F, plus the first half of 2026 and less the first half of 2025, both from the second-quarter 2026 interim report on Form 6-K. These are arithmetic combinations of reported periods, not amounts Shell itself presents.

Adjustments

Notes

• Template: integrated oil and gas. The income statement follows Shell's own IFRS presentation (revenue, purchases, operating cost lines, depreciation, depletion and amortisation, interest, tax). Shell does not report a gross profit or operating income line, so none is shown.
• Annual figures (FY2025, FY2024, FY2023) come from the audited consolidated financial statements in the FY2025 Form 20-F (accession 0001628280-26-017024). Quarterly and half-year figures come from Shell's unaudited Condensed Interim Financial Report for the three and six months ended June 30, 2026, furnished as Exhibit 99.2 to the Form 6-K filed July 30, 2026 (accession 0001628280-26-050763). That report prints the second quarter of 2026, the first quarter of 2026 and the second quarter of 2025 side by side, plus both half years, so all three quarters here come from it.
• Balance sheet coverage follows what the filings print. The 20-F has balance sheets at December 31, 2025 and 2024 only, so FY2023 has no balance sheet; its net debt and gearing come from the 20-F's non-GAAP reconciliation. The interim report has a balance sheet at June 30, 2026 only. For March 31, 2026 and June 30, 2025 this record carries current, non-current and total debt from the interim report's total-debt reconciliation (Note 8). For June 30, 2025 it also carries equity from the statement of changes in equity and the issued share count from Note 4.
• The December 31, 2025 balance sheet comparative in the interim report matches the 20-F on every line taken here. No period was restated.
• Sign convention: income statement expense lines are positive, as Shell prints them. Cash flow lines named as outflows (tax paid, capex, investments in joint ventures and associates, cash capital expenditure, debt repayments, interest paid, dividends paid, share repurchases) are stored as positive amounts. Net investing and financing cash flows keep the filing's sign, so a negative value is a net outflow. Income attributable to non-controlling interest was a loss of $16 million in the second quarter of 2026 and is shown as negative.
• free_cash_flow in the cash flow block is cash flow from operating activities less the 'Capital expenditure' line. Shell defines free cash flow differently: cash flow from operating activities plus cash flow from investing activities, which also counts divestment proceeds, interest received and investments in joint ventures. Shell's figure is in non_gaap_measures.free_cash_flow_company_definition. For the second quarter of 2026 the two are $17.40 billion and $17.52 billion.
• capex is the 'Capital expenditure' line of the cash flow statement. cash_capital_expenditure is Shell's broader measure, printed in the same statement. It adds investments in joint ventures and associates and in equity securities.
• non_gaap_measures holds Shell's alternative performance measures as Shell presents them. Adjusted Earnings is measured on a current cost of supplies basis, excludes identified items (such as divestment gains, impairments and fair-value accounting effects on commodity derivatives) and excludes the non-controlling interest share. Adjusted EBITDA also strips out tax, depreciation, depletion and amortisation, exploration well write-offs and net interest, and includes the non-controlling interest share. Net debt is total debt less cash and cash equivalents, adjusted for debt-related derivatives and associated collateral. Gearing is net debt as a percentage of net debt plus total equity. roace_percent is Shell's return on average capital employed as printed. These are not IFRS measures.
• segment_adjusted_earnings shows each segment's Adjusted Earnings including the non-controlling interest share, as in Shell's segment note, so its total differs slightly from group Adjusted Earnings attributable to shareholders (second quarter of 2026: $9,845 million against $9,836 million). segment_third_party_revenue sums to consolidated revenue. segment_cash_capital_expenditure sums to cash capital expenditure.
• Earnings per share use the weighted average number of shares, which excludes shares held in employee share trusts. ordinary_shares_issued_at_period_end is the issued share count from the share capital note. Shell cancels repurchased shares, and the count fell from 5,718,636,398 at December 31, 2025 to 5,570,928,127 at June 30, 2026.
• Dividends per ADS are dividends declared in respect of each period. The interim dividend for the second quarter of 2026 is $0.3906 per ordinary share, or $0.7812 per ADS, which is also the per-ADS amount in Shell's dividend announcement of July 30, 2026 (Form 6-K, accession 0001171843-26-005059). Annual amounts are the 20-F's 'dividend per share' key metric, which counts the dividends declared for that year: for 2025, three quarterly dividends of $0.358 plus $0.372 announced in February 2026, or $1.446 per share ($2.892 per ADS). This differs from the dividends paid during 2025, $1.432 per share in the 20-F's dividends note.
• Operating metrics: oil and gas production available for sale is the group total in thousand barrels of oil equivalent per day. LNG liquefaction and LNG sales volumes are Integrated Gas segment figures in million tonnes.
• The trailing-twelve-month view is full year 2025 plus the first half of 2026 less the first half of 2025, using the printed half-year columns. No trailing earnings per share is shown, because the share count changed through the period.
• The interim report describes the ARC Resources Ltd. acquisition as a post-balance-sheet event. ARC shareholders approved it on July 14, 2026, and closing was expected in the third quarter of 2026, subject to remaining regulatory approval. No figure in this record includes ARC.

Uncertainties

• Quarterly and half-year columns are each rounded to the nearest $1 million, so the first and second quarters of 2026 can differ from the printed half-year total by $1 million on some lines (for example, cash flow from operating activities: $21,432 million plus $6,062 million against $27,495 million for the half year). The figures here are as printed.
• The interim report labels its return measure simply 'ROACE'. The 20-F's annual figure is ROACE on an Adjusted Earnings plus non-controlling interest basis. The quarterly figures are shown as printed, and the measurement window behind them is not restated here.

Company details

Fiscal period

Source filings