REG-Shell Plc 1st Quarter 2026 Unaudited Results
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SHELL PLC 1st QUARTER 2026 UNAUDITED RESULTS
SUMMARY OF UNAUDITED RESULTS
Quarters $ million
Q1 2026 Q4 2025 Q1 2025 Reference
5,694 4,134 4,780 Income attributable to Shell plc shareholders
6,915 3,256 5,577 Adjusted Earnings A.
17,741 12,799 15,250 Adjusted EBITDA A.
6,062 9,438 9,281 Cash flow from operating activities
(3,136) (5,190) (3,959) Cash flow from investing activities
2,927 4,249 5,322 Free cash flow G.
4,202 6,015 4,175 Cash capital expenditure C.
8,716 9,559 8,575 Operating expenses F.
8,585 9,436 8,453 Underlying operating expenses F.
9.9% 9.4% 10.4% ROACE D.
75,645 75,643 76,511 Total debt E.
52,606 45,687 41,521 Net debt E.
23.2% 20.7% 18.7% Gearing E.
2,752 2,859 2,838 Oil and gas production available for sale (thousand boe/d)
1.01 0.72 0.79 Basic earnings per share ($)
1.22 0.57 0.92 Adjusted Earnings per share ($) B.
0.3906 0.3720 0.3580 Dividend per share ($)
Quarter Analysis1
Income attributable to Shell plc shareholders was driven by the same factors
as Adjusted Earnings and includes the impact of identified items and a
current cost of supplies adjustment of $1.2 billion.
Adjusted Earnings, compared with the fourth quarter 2025, reflected higher
contributions from trading and optimisation mainly impacting our Downstream,
Renewables and Energy Solutions businesses, higher realised prices, higher
refining margins, lower operating expenses and higher Lubricants margins,
partly offset by lower volumes.
Identified items in the first quarter 2026 amounted to a net loss of
$2.4 billion and included unfavourable movements due to the fair value
accounting of commodity derivatives. This compares with identified items in
the fourth quarter 2025 which amounted to a net gain of $1.2 billion.
Adjusted EBITDA was driven by the same factors as Adjusted Earnings.
Cash flow from operating activities for the first quarter 2026 was
$6.1 billion, and primarily driven by Adjusted EBITDA, the non-cash cost of
supplies adjustment of $1.7 billion (before tax) and net cash inflows related
to the timing impact of payments for emission certificates and biofuel
programmes of $1.3 billion. These were partly offset by working capital
outflows of $11.2 billion and tax payments of $2.3 billion. The working
capital outflows mainly reflected the impact of commodity prices on inventory
and accounts receivables.
Cash flow from investing activities for the first quarter 2026 was an outflow
of $3.1 billion, and included cash capital expenditure of $4.2 billion,
partly offset by interest received of $0.4 billion and divestment proceeds of
$0.4 billion.
Net debt and Gearing: At the end of the first quarter 2026, net debt was
$52.6 billion, compared with $45.7 billion at the end of the fourth quarter
2025. This reflects free cash flow of $2.9 billion, more than offset by lease
liability increases of $3.9 billion2, share buybacks of $3.2 billion, cash
dividends paid to Shell plc shareholders of $2.1 billion and interest
payments of $1.0 billion. Gearing was 23.2% at the end of the first quarter
2026, compared with 20.7% at the end of the fourth quarter 2025, mainly driven
by higher net debt.
SHELL PLC 1st QUARTER 2026 UNAUDITED RESULTS
Shareholder distributions: Total shareholder distributions in the quarter
amounted to $5.3 billion, comprising repurchases of shares of $3.2 billion
and cash dividends paid to Shell plc shareholders of $2.1 billion. Dividends
declared to Shell plc shareholders for the first quarter 2026 amount to
$0.3906 per share. Shell has now completed the $3.5 billion of share buybacks
announced in the fourth quarter 2025 results announcement. Today, Shell
announces a share buyback programme of $3.0 billion which is expected to be
completed by the second quarter 2026 results announcement.3
This Unaudited Condensed Financial Report, together with supplementary
financial and operational disclosure for this quarter, is available at
www.shell.com/investors 4 .
1.All earnings amounts are shown post-tax, unless stated otherwise.
2.Includes a non-cash increase of $3.2 billion in the variable component of
shipping leases in the current macro environment. See Note 7 “Other notes to
the unaudited Condensed Consolidated Interim Financial Statements” for
further details.
3.Given the securities law requirements that apply to Shell plc in connection
with its agreement to acquire ARC Resources Ltd. (“ARC”), it will be
necessary to suspend the programme from the time of publication of the ARC
shareholder circular until the conclusion of the ARC shareholder meeting. Any
buybacks not undertaken due to such suspension will be part of the remaining
2026 programmes (subject to Board approval).
4.Not incorporated by reference.
PORTFOLIO DEVELOPMENTS
Integrated Gas
In April 2026, we entered into a definitive agreement to acquire ARC Resources
Ltd. (“ARC”), an energy company focused on the Montney shale basin in
British Columbia and Alberta, Canada. Under the terms of the agreement,
ARC’s shareholders will receive CAD 8.20 in cash and 0.40247 ordinary shares
of Shell plc for each ARC share, resulting in an equity value of approximately
USD 13.6 billion.1 The boards of both companies have unanimously supported
the transaction, which is expected to close in the second half of 2026,
subject to ARC shareholder, court and regulatory approvals.
Marketing
In March 2026, we entered into an agreement to sell Jiffy Lube International
to an affiliate of Monomoy Capital Partners (Monomoy) for $1.3 billion. As
part of the agreement, we entered into a long-term lubricants supply agreement
with Monomoy. The transaction is subject to regulatory approvals and closing
conditions, and is expected to close in the second half of 2026.
1. Based on Shell’s closing share price at April 24, 2026 of GBP 33.08 and
GBP:CAD exchange ratio of 1.8480.
Page 2
SHELL PLC 1st QUARTER 2026 UNAUDITED RESULTS
PERFORMANCE BY SEGMENT
INTEGRATED GAS
Quarters $ million
Q1 2026 Q4 2025 Q1 2025 Reference
1,321 1,839 2,789 Income/(loss) for the period
(497) 178 306 Of which: Identified items A.
1,819 1,661 2,483 Adjusted Earnings A.
4,115 4,127 4,735 Adjusted EBITDA A.
483 3,956 3,463 Cash flow from operating activities A.
1,014 1,207 1,116 Cash capital expenditure C.
115 128 126 Liquids production available for sale (thousand b/d)
4,607 4,760 4,644 Natural gas production available for sale (million scf/d)
909 948 927 Total production available for sale (thousand boe/d)
7.86 7.81 6.60 LNG liquefaction volumes (million tonnes)
19.16 19.79 16.49 LNG sales volumes (million tonnes)
Integrated Gas includes natural gas and liquids exploration and extraction.
The gas is then processed to produce liquefied natural gas (LNG) or converted
into gas-to-liquids (GTL) fuels and other products. The business includes the
operation of both upstream and midstream infrastructure necessary to deliver
natural gas and its derivatives to market. Integrated Gas also includes the
marketing, trading and optimisation of LNG.
Quarter Analysis1
Income/(loss) for the period was driven by the same factors as Adjusted
Earnings and includes the impact of identified items.
Adjusted Earnings, compared with the fourth quarter 2025, reflected the higher
realised prices mainly from liquid products (increase of $263 million), partly
offset by lower volumes (decrease of $131 million). Trading and optimisation
results were in line with the fourth quarter 2025.
Identified items in the first quarter 2026 included unfavourable movements of
$634 million due to the fair value accounting of commodity derivatives and
gains of $133 million from the sale of assets. These unfavourable movements
and gains compare with the fourth quarter 2025 which included favourable
movements of $225 million due to the fair value accounting of commodity
derivatives. As part of Shell's normal business, commodity derivative
contracts are entered into as hedges for mitigation of economic exposures on
future purchases, sales and inventory.
Adjusted EBITDA was driven by the same factors as Adjusted Earnings.
Cash flow from operating activities for the first quarter 2026 was primarily
driven by Adjusted EBITDA, partly offset by working capital outflows of $1,121
million, net cash outflows related to derivatives of $819 million, tax
payments of $722 million, and a payment relating to a legal case of $635
million.
Total oil and gas production, compared with the fourth quarter 2025, decreased
by 4% mainly due to the impact of the Middle East conflict on Qatari volumes.
LNG liquefaction volumes increased by 1% mainly due to LNG Canada ramp-up,
partly offset by unfavourable weather in Australia.
1.All earnings amounts are shown post-tax, unless stated otherwise.
Page 3
SHELL PLC 1st QUARTER 2026 UNAUDITED RESULTS
UPSTREAM
Quarters $ million
Q1 2026 Q4 2025 Q1 2025 Reference
2,556 3,648 2,080 Income/(loss) for the period
179 2,079 (257) Of which: Identified items A.
2,377 1,570 2,337 Adjusted Earnings A.
7,261 6,114 7,387 Adjusted EBITDA A.
3,178 4,287 3,945 Cash flow from operating activities A.
2,159 2,682 1,923 Cash capital expenditure C.
1,346 1,393 1,335 Liquids production available for sale (thousand b/d)
2,884 2,894 3,020 Natural gas production available for sale (million scf/d)
1,843 1,892 1,855 Total production available for sale (thousand boe/d)
Upstream explores for and extracts crude oil, natural gas and natural gas
liquids. The segment also includes marketing and transportation of oil, gas
and liquids, supported by the infrastructure required to deliver them to
market or to process them within Shell's chemicals manufacturing plants and
refineries. Upstream activities span deep-water and conventional oil and gas
operations.
Quarter Analysis1
Income/(loss) for the period was driven by the same factors as Adjusted
Earnings and includes the impact of identified items.
Adjusted Earnings, compared with the fourth quarter 2025, reflected higher
realised prices (increase of $1,149 million) and lower exploration expenses
(decrease of $124 million), partly offset by unfavourable tax movements ($183
million) and lower volumes (decrease of $121 million).
Identified items in the first quarter 2026 included gains of $184 million
related to the impact of inflationary adjustments in Argentinian peso on a
deferred tax position and gains of $88 million related to the impact of the
strengthening Brazilian real on a deferred tax position. These gains compare
with the fourth quarter 2025 which included gains on the disposal of assets
of $2,282 million, mainly related to the incorporation of the Adura joint
venture in the UK.
Adjusted EBITDA was driven by the same factors as Adjusted Earnings.
Cash flow from operating activities for the first quarter 2026 was primarily
driven by Adjusted EBITDA, partly offset by working capital outflows of $2,316
million and tax payments of $1,492 million.
Total production, compared with the fourth quarter 2025, decreased mainly due
to the impact of the incorporation of the Adura joint venture.
1.All earnings amounts are shown post-tax, unless stated otherwise.
Page 4
SHELL PLC 1st QUARTER 2026 UNAUDITED RESULTS
MARKETING
Quarters $ million
Q1 2026 Q4 2025 Q1 2025 Reference
1,895 (99) 814 Income/(loss) for the period
(147) (547) (49) Of which: Identified items A.
1,334 578 900 Adjusted Earnings A.
2,437 1,604 1,869 Adjusted EBITDA A.
2,224 (75) 1,907 Cash flow from operating activities A.
248 688 256 Cash capital expenditure C.
2,627 2,701 2,674 Marketing sales volumes (thousand b/d)
Marketing includes Mobility, Lubricants, and Sectors and Decarbonisation.
Mobility operates our retail network, including electric vehicle charging,
convenience retail, and the Wholesale Commercial Fuels business for transport
and industry. Lubricants produces, markets and sells products for road
transport and machinery in manufacturing, mining, power generation,
agriculture and construction. Sectors and Decarbonisation supplies fuels,
speciality products and services, including low-carbon energy solutions such
as biofuels, to a broad range of commercial customers, including in the
aviation, marine and agriculture sectors.
Quarter Analysis1
Income/(loss) for the period was driven by the same factors as Adjusted
Earnings and includes the impact of identified items and a current cost of
supplies adjustment of $709 million.
Adjusted Earnings, compared with the fourth quarter 2025, reflected higher
Marketing margins (increase of $478 million) and lower operating expenses
(decrease of $171 million). Higher margins were supported by trading and
optimisation as well as higher Lubricants margins resulting from seasonally
higher volumes and improved unit margins. These favourable movements in
margins were partly offset by seasonally lower volumes and lower unit margins
in Mobility and higher losses in a joint venture.
Identified items in the first quarter 2026 included net impairment charges
and reversals of $182 million and favourable movements of $73 million due to
the fair value accounting of commodity derivatives. As part of Shell's normal
business, commodity derivative contracts are entered into as hedges for
mitigation of economic exposures on future purchases, sales and inventory.
These net charges and favourable movements compare with the fourth quarter
2025 which included impairment charges of $527 million.
Adjusted EBITDA was driven by the same factors as Adjusted Earnings.
Cash flow from operating activities for the first quarter 2026 was primarily
driven by Adjusted EBITDA, the non-cash cost of supplies adjustment of $950
million (before tax), net inflows related to the timing impact of emission
certificates and biofuel programmes of $653 million and dividends (net of
share of losses) from joint ventures and associates of $493 million. These
were partly offset by working capital outflows of $1,748 million.
Marketing sales volumes (comprising hydrocarbon sales), compared with the
fourth quarter 2025, decreased mainly due to seasonality.
1.All earnings amounts are shown post-tax, unless stated otherwise.
Page 5
SHELL PLC 1st QUARTER 2026 UNAUDITED RESULTS
CHEMICALS AND PRODUCTS
Quarters $ million
Q1 2026 Q4 2025 Q1 2025 Reference
395 (560) (77) Income/(loss) for the period
(2,086) (310) (581) Of which: Identified items A.
1,925 (66) 449 Adjusted Earnings A.
3,544 939 1,410 Adjusted EBITDA A.
(2,308) 1,775 130 Cash flow from operating activities A.
363 1,016 458 Cash capital expenditure C.
1,219 1,178 1,362 Refinery processing intake (thousand b/d)
2,253 2,136 2,813 Chemicals sales volumes (thousand tonnes)
The Chemicals and Products segment includes chemicals manufacturing plants
with their own marketing network; and refineries, which turn crude oil and
other feedstocks into a range of oil products that are moved and marketed
around the world for domestic, industrial and transport use. The segment also
includes the pipeline business, and trading and optimisation of crude oil, oil
products and petrochemicals.
Quarter Analysis1
Income/(loss) for the period was driven by the same factors as Adjusted
Earnings and includes the impact of identified items and a current cost of
supplies adjustment of $557 million.
Adjusted Earnings, compared with the fourth quarter 2025, reflected higher
Products margins (increase of $1,523 million), mainly driven by higher
contributions from trading and optimisation and higher refining margins.
Adjusted Earnings also reflected higher Chemicals margins (increase of $211
million) and lower operating expenses (decrease of $197 million).
In the first quarter 2026, Chemicals had negative Adjusted Earnings of $117
million and Products had positive Adjusted Earnings of $2,042 million.
Identified items in the first quarter 2026 included unfavourable movements of
$2,016 million due to the fair value accounting of commodity derivatives that,
as part of Shell's normal business, are entered into as hedges for mitigation
of economic exposures on future purchases, sales and inventory. These
unfavourable movements compare with the fourth quarter 2025, which included
impairment charges of $187 million and net losses from the disposal of assets
of $127 million.
Adjusted EBITDA was driven by the same factors as Adjusted Earnings.
Cash flow from operating activities for the first quarter 2026 was primarily
driven by working capital outflows of $5,646 million and outflows related to
derivatives of $1,887 million. These were partly offset by Adjusted EBITDA,
the non-cash cost of supplies adjustment of $763 million (before tax) and net
inflows related to the timing impact of payments for emission certificates and
biofuel programmes of $600 million.
Refinery utilisation was 99% compared with 95% in the fourth quarter
2025, mainly due to lower maintenance activities in the first quarter 2026.
Chemicals manufacturing plant utilisation was 85% compared with 76% in the
fourth quarter 2025, mainly due to lower planned and unplanned maintenance
activities in the first quarter 2026.
1.All earnings amounts are shown post-tax, unless stated otherwise.
Page 6
SHELL PLC 1st QUARTER 2026 UNAUDITED RESULTS
RENEWABLES AND ENERGY SOLUTIONS
Quarters $ million
Q1 2026 Q4 2025 Q1 2025 Reference
527 (98) (247) Income/(loss) for the period
179 (229) (205) Of which: Identified items A.
348 131 (42) Adjusted Earnings A.
548 329 111 Adjusted EBITDA A.
2,937 (405) 367 Cash flow from operating activities A.
404 391 403 Cash capital expenditure C.
72 72 76 External power sales (terawatt hours)1
197 160 184 Sales of pipeline gas to end-use customers (terawatt hours)2
1.Physical power sales to third parties; excluding financial trades and
physical trade with brokers, investors, financial institutions, trading
platforms, and wholesale traders.
2.Physical natural gas sales to third parties; excluding financial trades and
physical trade with brokers, investors, financial institutions, trading
platforms, and wholesale traders. Excluding sales of natural gas by other
segments and LNG sales.
Renewables and Energy Solutions encompasses renewable power generation,
marketing, trading, and optimisation of power and pipeline gas. It also
includes hydrogen production, commercial carbon capture and storage (CCS) hubs
and carbon credits. The business invests in nature-based projects that
compensate for carbon emissions and Shell Ventures, which invests in or works
with start-ups and other early-stage businesses to help them scale up and
grow.
Quarter Analysis1
Income/(loss) for the period was driven by the same factors as Adjusted
Earnings and includes the impact of identified items.
Adjusted Earnings, compared with the fourth quarter 2025, reflected higher
margins (increase of $225 million), mainly due to higher trading and
optimisation margins.
Most Renewables and Energy Solutions activities were loss-making in the first
quarter 2026, these were more than offset by positive Adjusted Earnings from
trading and optimisation and energy marketing.
Identified items in the first quarter 2026 included favourable movements of
$189 million due to the fair value accounting of commodity derivatives. As
part of Shell's normal business, commodity derivative contracts are entered
into as hedges for mitigation of economic exposures on future purchases, sales
and inventory. These favourable movements compare with the fourth quarter 2025
which included net impairment charges of $156 million.
Adjusted EBITDA was driven by the same factors as Adjusted Earnings.
Cash flow from operating activities for the first quarter 2026 was primarily
driven by net cash inflows related to derivatives of $2,358 million and
Adjusted EBITDA.
1.All earnings amounts are shown post-tax, unless stated otherwise.
Page 7
SHELL PLC 1st QUARTER 2026 UNAUDITED RESULTS
CORPORATE
Quarters $ million
Q1 2026 Q4 2025 Q1 2025 Reference
(937) (550) (483) Income/(loss) for the period
(29) 18 (26) Of which: Identified items A.
(908) (567) (457) Adjusted Earnings A.
(164) (313) (261) Adjusted EBITDA A.
(451) (100) (531) Cash flow from operating activities A.
The Corporate segment covers the non-operating activities supporting Shell. It
comprises Shell’s holdings and treasury organisation, headquarters and
central functions, self-insurance activities and centrally managed longer-term
innovation portfolio. All finance expense, income and related taxes are
included in Corporate segment earnings rather than in the earnings of business
segments.
Quarter Analysis1
Income/(loss) for the period was driven by the same factors as Adjusted
Earnings and includes the impact of identified items.
Adjusted Earnings, compared with the fourth quarter 2025, reflected
unfavourable net interest movements ($287 million) and unfavourable tax
movements ($176 million), partly offset by lower operating expenses (decrease
of $80 million) and favourable foreign exchange rate effects ($42 million).
Adjusted EBITDA was mainly driven by lower operating expenses and favourable
foreign exchange rate effects.
Cash flow from operating activities for the first quarter 2026 was primarily
driven by working capital outflows of $287 million and Adjusted EBITDA.
1.All earnings amounts are shown post-tax, unless stated otherwise.
Page 8
SHELL PLC 1st QUARTER 2026 UNAUDITED RESULTS
OUTLOOK FOR THE SECOND QUARTER 2026
Full year 2025 cash capital expenditure was $21 billion. Our cash capital
expenditure for the full year 2026 is expected to be $24 - $26 billion,
including ~$4 billion related to the acquisition of ARC Resources Ltd.
Integrated Gas production is expected to be approximately 580 - 640 thousand
boe/d. LNG liquefaction volumes are expected to be approximately 6.8 - 7.4
million tonnes. Second quarter 2026 outlook reflects impact of Middle East
conflict including Qatar and higher planned maintenance across the portfolio.
Upstream production is expected to be approximately 1,620 - 1,820 thousand
boe/d. Second quarter 2026 outlook reflects higher planned maintenance across
the portfolio.
Marketing sales volumes are expected to be approximately 2,500 - 2,700
thousand b/d.
Refinery utilisation is expected to be approximately 91% - 99%. Chemicals
manufacturing plant utilisation is expected to be approximately 76% - 84%.
Corporate Adjusted Earnings1 were a net expense of $908 million for the
first quarter 2026. Corporate Adjusted Earnings are expected to be a net
expense of approximately $600 - $800 million in the second quarter 2026.
1.For the definition of Adjusted Earnings and the most comparable GAAP measure
please see Reference A.
FORTHCOMING EVENTS
Date Event
May 19, 2026 Annual General Meeting
July 30, 2026 Second quarter 2026 results and dividends
October 29, 2026 Third quarter 2026 results and dividends
Page 9
SHELL PLC 1st QUARTER 2026 UNAUDITED RESULTS
UNAUDITED CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
CONSOLIDATED STATEMENT OF INCOME
Quarters $ million
Q1 2026 Q4 2025 Q1 2025
69,691 64,093 69,234 Revenue1
(93) (215) 615 Share of profit/(loss) of joint ventures and associates
535 2,848 302 Interest and other income/(expenses)2
70,133 66,725 70,152 Total revenue and other income/(expenses)
44,775 42,102 45,849 Purchases
5,745 5,830 5,549 Production and manufacturing expenses
2,803 3,432 2,840 Selling, distribution and administrative expenses
167 298 185 Research and development
98 391 210 Exploration
5,743 6,581 5,441 Depreciation, depletion and amortisation2
1,473 1,193 1,120 Interest expense
60,805 59,827 61,194 Total expenditure
9,328 6,898 8,959 Income/(loss) before taxation
3,570 2,718 4,083 Taxation charge/(credit)2
5,758 4,180 4,875 Income/(loss) for the period
64 46 95 Income/(loss) attributable to non-controlling interest
5,694 4,134 4,780 Income/(loss) attributable to Shell plc shareholders
1.01 0.72 0.79 Basic earnings per share ($)3
1.00 0.71 0.79 Diluted earnings per share ($)3
1.See Note 2 “Segment information”.
2.See Note 7 “Other notes to the unaudited Condensed Consolidated Interim
Financial Statements”.
3.See Note 3 “Earnings per share”.
Page 10
SHELL PLC 1st QUARTER 2026 UNAUDITED RESULTS
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
Quarters $ million
Q1 2026 Q4 2025 Q1 2025
5,758 4,180 4,875 Income/(loss) for the period
Other comprehensive income/(loss) net of tax:
Items that may be reclassified to income in later periods:
(820) 348 1,711 – Currency translation differences1
2 — 6 – Debt instruments remeasurements
2 22 (25) – Cash flow hedging gains/(losses)
(3) 16 — – Net investment hedging gains/(losses)
9 (6) (42) – Deferred cost of hedging
(11) (3) 74 – Share of other comprehensive income/(loss) of joint ventures and associates
(821) 377 1,723 Total
Items that are not reclassified to income in later periods:
191 7 306 – Retirement benefits remeasurements
8 14 (16) – Equity instruments remeasurements
— 25 (36) – Share of other comprehensive income/(loss) of joint ventures and associates
199 46 254 Total
(621) 423 1,977 Other comprehensive income/(loss) for the period
5,137 4,603 6,852 Comprehensive income/(loss) for the period
96 110 105 Comprehensive income/(loss) attributable to non-controlling interest
5,041 4,493 6,748 Comprehensive income/(loss) attributable to Shell plc shareholders
1. See Note 7 “Other notes to the unaudited Condensed Consolidated Interim
Financial Statements”.
Page 11
SHELL PLC 1st QUARTER 2026 UNAUDITED RESULTS
CONDENSED CONSOLIDATED BALANCE SHEET
$ million
March 31, 2026 December 31, 2025
Assets
Non-current assets
Goodwill 15,189 15,662
Other intangible assets 10,873 11,010
Property, plant and equipment 185,708 185,077
Joint ventures and associates 27,579 27,775
Investments in securities 1,554 1,557
Deferred tax 7,474 8,173
Retirement benefits 5,192 5,052
Trade and other receivables 7,294 8,252
Derivative financial instruments1 573 619
261,436 263,177
Current assets
Inventories 28,700 22,216
Trade and other receivables 53,891 44,597
Derivative financial instruments1 11,086 9,114
Cash and cash equivalents 23,117 30,216
116,795 106,143
Assets classified as held for sale2 2,367 1,030
119,162 107,173
Total assets 380,598 370,350
Liabilities
Non-current liabilities
Debt2 65,585 66,515
Trade and other payables 5,119 4,463
Derivative financial instruments1 1,161 1,108
Deferred tax 11,884 11,983
Retirement benefits 6,876 7,136
Decommissioning and other provisions 21,899 21,411
112,524 112,616
Current liabilities
Debt2 10,060 9,128
Trade and other payables 64,288 57,770
Derivative financial instruments1 10,324 5,664
Income taxes payable 3,883 3,149
Decommissioning and other provisions 3,963 5,884
92,518 81,595
Liabilities directly associated with assets classified as held for sale2 955 820
93,473 82,415
Total liabilities 205,998 195,031
Equity attributable to Shell plc shareholders 173,583 174,392
Non-controlling interest 1,018 927
Total equity 174,601 175,319
Total liabilities and equity 380,598 370,350
1. See Note 6 “Derivative financial instruments and debt excluding
lease liabilities”.
2. See Note 7 “Other notes to the unaudited Condensed Consolidated
Interim Financial Statements”.
Page 12
SHELL PLC 1st QUARTER 2026 UNAUDITED RESULTS
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
Equity attributable to Shell plc shareholders
$ million Share capital 1 Shares held in trust Other reserves² Retained earnings Total Non-controlling interest Total equity
At January 1, 2026 477 (847) 21,234 153,528 174,392 927 175,319
Comprehensive income/(loss) for the period — — (653) 5,694 5,041 96 5,137
Transfer from other comprehensive income — — (27) 27 — — —
Dividends³ — — — (2,100) (2,100) (9) (2,109)
Repurchases of shares4 (7) — 7 (3,515) (3,515) — (3,515)
Share-based compensation — 615 (667) (231) (283) — (283)
Other changes — — — 48 48 3 51
At March 31, 2026 471 (231) 19,893 153,451 173,583 1,018 174,601
At January 1, 2025 510 (803) 19,766 158,834 178,307 1,861 180,168
Comprehensive income/(loss) for the period — — 1,967 4,780 6,748 105 6,852
Transfer from other comprehensive income — — 11 (11) — — —
Dividends³ — — — (2,179) (2,179) (86) (2,265)
Repurchases of shares4 (8) — 8 (3,513) (3,513) — (3,513)
Share-based compensation — 500 (663) (405) (567) — (567)
Other changes — — — 23 22 (24) (2)
At March 31, 2025 502 (304) 21,090 157,527 178,813 1,856 180,670
1. See Note 4 “Share capital”.
2. See Note 5 “Other reserves”.
3. The amount charged to retained earnings is based on prevailing
exchange rates on payment date.
4. Includes shares committed to repurchase under an irrevocable contract and
repurchases subject to settlement at the end of the quarter.
Page 13
SHELL PLC 1st QUARTER 2026 UNAUDITED RESULTS
CONSOLIDATED STATEMENT OF CASH FLOWS
Quarters $ million
Q1 2026 Q4 2025 Q1 2025
9,328 6,898 8,959 Income before taxation for the period
Adjustment for:
1,102 741 636 – Interest expense (net)
5,743 6,581 5,441 – Depreciation, depletion and amortisation1
1 94 28 – Exploration well write-offs
(64) (2,121) 127 – Net (gains)/losses on sale and revaluation of non-current assets and businesses
93 215 (615) – Share of (profit)/loss of joint ventures and associates
595 987 523 – Dividends received from joint ventures and associates
(6,686) 738 854 – (Increase)/decrease in inventories
(10,404) 647 (2,610) – (Increase)/decrease in current receivables
5,912 (109) (907) – Increase/(decrease) in current payables
2,475 (327) (244) – Derivative financial instruments
(80) (162) (100) – Retirement benefits
(1,086) (994) (480) – Decommissioning and other provisions
1,433 (1,110) 570 – Other1
(2,301) (2,638) (2,900) Tax paid
6,062 9,438 9,281 Cash flow from operating activities
(3,757) (5,250) (3,748) Capital expenditure
(426) (724) (413) Investments in joint ventures and associates
(20) (42) (15) Investments in equity securities
(4,202) (6,015) (4,175) Cash capital expenditure
272 (101) 559 Proceeds from sale of property, plant and equipment and businesses
42 148 33 Proceeds from joint ventures and associates from sale, capital reduction and repayment of long-term loans
39 6 5 Proceeds from sale of equity securities
362 472 508 Interest received
694 856 506 Other investing cash inflows
(343) (555) (1,394) Other investing cash outflows
(3,136) (5,190) (3,959) Cash flow from investing activities
10 (62) 80 Net increase/(decrease) in debt with maturity period within three months
Other debt:
— 2,425 139 – New borrowings
(2,794) (2,416) (2,514) – Repayments
(1,037) (1,197) (846) Interest paid
(316) 96 326 Derivative financial instruments
30 (1) (25) Change in non-controlling interest
Cash dividends paid to:
(2,100) (2,068) (2,179) – Shell plc shareholders
(9) (28) (86) – Non-controlling interest
(3,182) (3,425) (3,311) Repurchases of shares
(423) (373) (768) Shares held in trust: net sales/(purchases) and dividends received
(9,820) (7,049) (9,183) Cash flow from financing activities
(205) (39) 353 Effects of exchange rate changes on cash and cash equivalents
(7,098) (2,838) (3,509) Increase/(decrease) in cash and cash equivalents
30,216 33,053 39,110 Cash and cash equivalents at beginning of period
23,117 30,216 35,601 Cash and cash equivalents at end of period
1.See Note 7 “Other notes to the unaudited Condensed Consolidated Interim
Financial Statements”.
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SHELL PLC 1st QUARTER 2026 UNAUDITED RESULTS
NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
1. Basis of preparation
These unaudited Condensed Consolidated Interim Financial Statements of Shell
plc (“the Company”) and its subsidiaries (collectively referred to as
“Shell”) have been prepared in accordance with IAS 34 Interim Financial
Reporting as issued
by the International Accounting Standards Board ("IASB") and adopted by the
UK, and on the basis of the same accounting principles as those used in the
Company's Annual Report and Accounts (pages 229 to 306) for the year ended
December 31, 2025, as filed with the Registrar of Companies for England and
Wales and as filed with the Autoriteit Financiële Markten (the Netherlands)
and Form 20-F (pages 214 to 290) for the year ended December 31, 2025, as
filed with the US Securities and Exchange Commission, and should be read in
conjunction with these filings.
The financial information presented in the unaudited Condensed Consolidated
Interim Financial Statements does not constitute statutory accounts within the
meaning of section 434(3) of the Companies Act 2006 (“the Act”). Statutory
accounts for the year ended December 31, 2025, were published in Shell's
Annual Report and Accounts, a copy of which was delivered to the Registrar of
Companies for England and Wales, and in Shell's Form 20-F. The auditor's
report on those accounts was unqualified, did not include a reference to any
matters to which the auditor drew attention by way of emphasis without
qualifying the report and did not contain a statement under sections 498(2) or
498(3) of the Act.
Key accounting considerations, significant judgements and estimates
Future long-term commodity price assumptions, which represent a significant
estimate, remained unchanged in the first quarter 2026 (see Note 7). Noting
continued volatility in markets, price assumptions remain under review.
The discount rates applied for impairment testing and the discount rate
applied to provisions are reviewed on a regular basis. These discount rates
applied in the first quarter 2026 remain unchanged compared with 2025.
2. Segment information
Segment earnings are presented on an Adjusted Earnings basis (Adjusted
Earnings), which is the earnings measure used by the Chief Executive Officer,
who serves as the Chief Operating Decision Maker, for the purposes of making
decisions about allocating resources and assessing performance. This aligns
with Shell's focus on performance, discipline and simplification.
The Adjusted Earnings measure is presented on a current cost of supplies (CCS)
basis and aims to facilitate a comparative understanding of Shell's financial
performance from period to period by removing the effects of oil price changes
on inventory carrying amounts and removing the effects of identified items.
Identified items are in some cases driven by external factors and may, either
individually or collectively, hinder the comparative understanding of Shell's
financial results from period to period.
ADJUSTED EARNINGS BY SEGMENT
Q1 2026 $ million
Integrated Gas Upstream Marketing Chemicals and Products Renewables and Energy Solutions Corporate Total
Income/(loss) attributable to Shell plc shareholders 5,694
Income/(loss) attributable to non-controlling interest 64
Income/(loss) for the period 1,321 2,556 1,895 395 527 (937) 5,758
Current cost of supplies adjustment before taxation (950) (763) (1,713)
Tax on current cost of supplies adjustment 241 206 447
Identified items before taxation 598 156 99 2,712 (279) — 3,286
Tax on identified items (100) (335) 48 (626) 100 29 (884)
Adjusted Earnings 1,819 2,377 1,334 1,925 348 (908) 6,894
Adjusted Earnings attributable to Shell plc shareholders 6,915
Adjusted Earnings attributable to non-controlling interest (21)
Page 15
SHELL PLC 1st QUARTER 2026 UNAUDITED RESULTS
Q4 2025 $ million
Integrated Gas Upstream Marketing Chemicals and Products Renewables and Energy Solutions Corporate Total
Income/(loss) attributable to Shell plc shareholders 4,134
Income/(loss) attributable to non-controlling interest 46
Income/(loss) for the period 1,839 3,648 (99) (560) (98) (550) 4,180
Current cost of supplies adjustment before taxation 174 248 422
Tax on current cost of supplies adjustment (44) (64) (108)
Identified items before taxation (237) (2,067) 587 382 238 (8) (1,105)
Tax on identified items 59 (11) (40) (72) (9) (10) (83)
Adjusted Earnings 1,661 1,570 578 (66) 131 (567) 3,307
Adjusted Earnings attributable to Shell plc shareholders 3,256
Adjusted Earnings attributable to non-controlling interest 51
Q1 2025 $ million
Integrated Gas Upstream Marketing Chemicals and Products Renewables and Energy Solutions Corporate Total
Income/(loss) attributable to Shell plc shareholders 4,780
Income/(loss) attributable to non-controlling interest 95
Income/(loss) for the period 2,789 2,080 814 (77) (247) (483) 4,875
Current cost of supplies adjustment before taxation 52 (67) (15)
Tax on current cost of supplies adjustment (14) 12 (2)
Identified items before taxation (348) (121) 44 679 260 (4) 510
Tax on identified items 43 378 4 (99) (54) 29 301
Adjusted Earnings 2,483 2,337 900 449 (42) (457) 5,670
Adjusted Earnings attributable to Shell plc shareholders 5,577
Adjusted Earnings attributable to non-controlling interest 94
CASH CAPITAL EXPENDITURE BY SEGMENT
Cash capital expenditure is a measure used by the Chief Executive Officer for
the purposes of making decisions about allocating resources and assessing
performance.
Q1 2026 $ million
Integrated Gas Upstream Marketing Chemicals and Products Renewables and Energy Solutions Corporate Total
Capital expenditure 780 2,002 240 332 390 12 3,757
Investments in joint ventures and associates 233 157 4 31 — 1 426
Investments in equity securities — — 4 — 14 1 20
Cash capital expenditure 1,014 2,159 248 363 404 14 4,202
Page 16
SHELL PLC 1st QUARTER 2026 UNAUDITED RESULTS
Q4 2025 $ million
Integrated Gas Upstream Marketing Chemicals and Products Renewables and Energy Solutions Corporate Total
Capital expenditure 1,020 2,401 681 792 325 31 5,250
Investments in joint ventures and associates 187 281 5 222 28 — 724
Investments in equity securities — — 3 2 37 — 42
Cash capital expenditure 1,207 2,682 688 1,016 391 31 6,015
Q1 2025 $ million
Integrated Gas Upstream Marketing Chemicals and Products Renewables and Energy Solutions Corporate Total
Capital expenditure 943 1,727 252 451 358 17 3,748
Investments in joint ventures and associates 174 197 4 7 30 1 413
Investments in equity securities — — — — 14 — 15
Cash capital expenditure 1,116 1,923 256 458 403 19 4,175
REVENUE BY SEGMENT
Third-party revenue includes revenue from sources other than from contracts
with customers, which mainly comprises the impact of fair value accounting of
commodity derivatives.
Q1 2026 $ million
Integrated Gas Upstream Marketing Chemicals and Products Renewables and Energy Solutions Corporate Total
Revenue:
Third-party revenue 7,748 1,400 30,695 19,221 10,622 5 69,691
Inter-segment revenue 3,410 9,389 2,245 9,660 1,352 — 26,055
Q4 2025 $ million
Integrated Gas Upstream Marketing Chemicals and Products Renewables and Energy Solutions Corporate Total
Revenue:
Third-party revenue 9,542 1,559 26,881 17,655 8,446 10 64,093
Inter-segment revenue 2,804 8,300 1,717 8,488 1,222 — 22,531
Q1 2025 $ million
Integrated Gas Upstream Marketing Chemicals and Products Renewables and Energy Solutions Corporate Total
Revenue:
Third-party revenue 9,602 1,510 27,083 21,610 9,417 12 69,234
Inter-segment revenue 2,675 9,854 1,849 8,255 1,164 — 23,797
Page 17
SHELL PLC 1st QUARTER 2026 UNAUDITED RESULTS
Identified Items
The objective of identified items is to exclude material impacts1 on net
income/loss arising from transactions which are typically outside the control
of management and are unusual in nature (e.g., infrequent or non-recurring
events) or that result in a misalignment between accounting and economic
outcomes. Certain transactions that are generally excluded from underlying
results within the industry may also be classified as identified items.
Identified items comprise divestment gains and losses, impairment losses and
reversals, redundancy and restructuring, fair value accounting effects on
commodity derivatives and certain gas contracts, the impact of exchange rate
movements and inflationary adjustments on certain deferred tax balances, and
other items.
1. For the purpose of identification of items in certain categories
materiality thresholds are applied.
Q1 2026 $ million
Integrated Gas Upstream Marketing Chemicals and Products Renewables and Energy Solutions Corporate Total
Identified items included in Income/(loss) before taxation
Divestment gains/(losses) 136 (81) (9) (16) 30 — 60
Impairment reversals/(impairments) — (22) (171) (41) (29) — (263)
Redundancy and restructuring (13) (33) (42) (38) (6) — (131)
Fair value accounting of commodity derivatives and certain gas contracts1 (721) — 122 (2,616) 283 — (2,932)
Other2 — (20) — — — — (20)
Total identified items included in Income/(loss) before taxation (598) (156) (99) (2,712) 279 — (3,286)
Total identified items included in Taxation (charge)/credit 100 335 (48) 626 (100) (29) 884
Identified items included in Income/(loss) for the period
Divestment gains/(losses) 133 (38) (7) (13) 23 — 99
Impairment reversals/(impairments) — (15) (182) (29) (29) — (255)
Redundancy and restructuring (9) (20) (31) (28) (4) (1) (95)
Fair value accounting of commodity derivatives and certain gas contracts1 (634) — 73 (2,016) 189 — (2,388)
Impact of exchange rate movements and inflationary adjustments on tax balances3 13 272 — — — (28) 257
Other2 — (20) — — — — (20)
Impact on Income/(loss) for the period (497) 179 (147) (2,086) 179 (29) (2,402)
Impact on Income/(loss) attributable to non-controlling interest — — — (2) — — (3)
Impact on Income/(loss) attributable to Shell plc shareholders (497) 179 (147) (2,084) 179 (29) (2,399)
1.Fair value accounting of commodity derivatives and certain gas contracts: In
the ordinary course of business, Shell enters into contracts to supply or
purchase oil and gas products, as well as power and environmental products.
Shell also enters into contracts for tolling, pipeline and storage capacity.
Derivative contracts are entered into for mitigation of resulting economic
exposures (generally price exposure) and these derivative contracts are
carried at period-end market price (fair value), with movements in fair value
recognised in income for the period. Supply and purchase contracts entered
into for operational purposes, as well as contracts for tolling, pipeline and
storage capacity, are, by contrast, recognised when the transaction occurs;
furthermore, inventory is carried at historical cost or net realisable value,
whichever is lower. As a consequence, accounting mismatches occur because: (a)
the supply or purchase transaction is recognised in a different period; or (b)
the inventory is measured on a different basis. In addition, certain contracts
are, due to pricing or delivery conditions, deemed to contain embedded
derivatives or written options and are also required to be carried at fair
value even though they are entered into for operational purposes. The
accounting impacts are reported as identified items.
2.Other identified items represent other credits or charges that based on
Shell management's assessment hinder the comparative understanding of Shell's
financial results from period to period.
3.Impact of exchange rate movements and inflationary adjustments on tax
balances represents the impact on tax balances of exchange rate movements and
inflationary adjustments arising on: (a) the conversion to dollars of the
local currency tax base of non-monetary assets and liabilities, as well as
recognised tax losses (this primarily impacts the Integrated Gas and Upstream
segments); and (b) the conversion of dollar-denominated inter-segment loans to
local currency, leading to taxable exchange rate gains or losses (this
primarily impacts the Corporate segment).
Page 18
SHELL PLC 1st QUARTER 2026 UNAUDITED RESULTS
Q4 2025 $ million
Integrated Gas Upstream Marketing Chemicals and Products Renewables and Energy Solutions Corporate Total
Identified items included in Income/(loss) before taxation
Divestment gains/(losses) (12) 2,318 (9) (172) (41) 17 2,100
Impairment reversals/(impairments) 23 (210) (540) (222) (178) (8) (1,136)
Redundancy and restructuring (15) (42) (46) (17) (3) — (123)
Fair value accounting of commodity derivatives and certain gas contracts1 241 — (13) 32 (16) — 244
Other1 — 1 21 (2) — — 20
Total identified items included in Income/(loss) before taxation 237 2,067 (587) (382) (238) 8 1,105
Total identified items included in Taxation (charge)/credit (59) 11 40 72 9 10 83
Identified items included in Income/(loss) for the period
Divestment gains/(losses) (7) 2,282 1 (127) (31) 11 2,130
Impairment reversals/(impairments) 21 (151) (527) (187) (156) (6) (1,006)
Redundancy and restructuring (11) (20) (34) (13) (2) — (81)
Fair value accounting of commodity derivatives and certain gas contracts1 225 — (8) 18 (15) — 220
Impact of exchange rate movements and inflationary adjustments on tax balances1 6 (33) — — — 13 (14)
Other1 (56) 1 21 (1) (24) — (60)
Impact on Income/(loss) for the period 178 2,079 (547) (310) (229) 18 1,188
Impact on Income/(loss) attributable to non-controlling interest — — — — — — —
Impact on Income/(loss) attributable to Shell plc shareholders 178 2,079 (547) (310) (229) 18 1,188
1. For a detailed description, see the corresponding footnotes to the Q1 2026
identified items table above.
Page 19
SHELL PLC 1st QUARTER 2026 UNAUDITED RESULTS
Q1 2025 $ million
Integrated Gas Upstream Marketing Chemicals and Products Renewables and Energy Solutions Corporate Total
Identified items included in Income/(loss) before taxation
Divestment gains/(losses) (1) 154 (57) (15) (187) — (106)
Impairment reversals/(impairments) — (21) 10 (293) (38) — (341)
Redundancy and restructuring (1) (15) (9) (13) (9) 4 (44)
Fair value accounting of commodity derivatives and certain gas contracts1 420 (1) 12 (258) 20 — 194
Other1 (70) 4 — (101) (46) — (212)
Total identified items included in Income/(loss) before taxation 348 121 (44) (679) (260) 4 (510)
Total identified items included in Taxation (charge)/credit (43) (378) (4) 99 54 (29) (301)
Identified items included in Income/(loss) for the period
Divestment gains/(losses) — 8 (61) (12) (143) — (208)
Impairment reversals/(impairments) — (15) 6 (277) (31) — (317)
Redundancy and restructuring (1) (5) (1) (12) (7) 2 (24)
Fair value accounting of commodity derivatives and certain gas contracts1 362 — 7 (202) 20 — 187
Impact of exchange rate movements and inflationary adjustments on tax balances1 4 132 — — — (28) 108
Other1 (59) (377) — (77) (45) — (558)
Impact on Income/(loss) for the period 306 (257) (49) (581) (205) (26) (811)
Impact on Income/(loss) attributable to non-controlling interest — — — — — — —
Impact on Income/(loss) attributable to Shell plc shareholders 306 (257) (49) (581) (205) (26) (811)
1. For a detailed description, see the corresponding footnotes to the Q1 2026
identified items table above.
The categories of identified items may include after-tax effects of joint
ventures and associates, which are fully reported within "Share of profit
of joint ventures and associates" in the Consolidated Statement of Income,
and are also fully reflected as identified items included within income/(loss)
before taxation in the tables above. Identified items related to subsidiaries
are consolidated and presented across appropriate lines of the Consolidated
Statement of Income.
3. Earnings per share
EARNINGS PER SHARE
Quarters
Q1 2026 Q4 2025 Q1 2025
5,694 4,134 4,780 Income/(loss) attributable to Shell plc shareholders ($ million)
Weighted average number of shares used as the basis for determining:
5,653.9 5,739.6 6,033.5 Basic earnings per share (million)
5,703.7 5,799.7 6,087.8 Diluted earnings per share (million)
Page 20
SHELL PLC 1st QUARTER 2026 UNAUDITED RESULTS
4. Share capital
ISSUED AND FULLY PAID ORDINARY SHARES OF €0.07 EACH
Number of shares Nominal value ($ million)
At January 1, 2026 5,718,636,398 477
Repurchases of shares (80,079,981) (7)
At March 31, 2026 5,638,556,417 471
At January 1, 2025 6,115,031,158 510
Repurchases of shares (98,948,766) (8)
At March 31, 2025 6,016,082,392 502
At Shell plc’s Annual General Meeting on May 20, 2025, the Board was
authorised to allot ordinary shares in Shell plc, and to grant rights to
subscribe for, or to convert, any security into ordinary shares in Shell plc,
up to an aggregate nominal amount of approximately €140 million
(representing approximately 2,007 million ordinary shares of €0.07 each),
and to list such shares or rights on any stock exchange. This authority
expires at the earlier of the close of business on August 19, 2026, or the
end of the Annual General Meeting to be held in 2026, unless previously
renewed, revoked or varied by Shell plc in a general meeting.
5. Other reserves
OTHER RESERVES
$ million Merger reserve Share premium reserve Capital redemption reserve Share plan reserve Accumulated other comprehensive income Total
At January 1, 2026 37,298 154 303 1,359 (17,880) 21,234
Other comprehensive income/(loss) attributable to Shell plc shareholders — — — — (653) (653)
Transfer from other comprehensive income — — — — (27) (27)
Repurchases of shares — — 7 — — 7
Share-based compensation — — — (667) — (667)
At March 31, 2026 37,298 154 310 691 (18,561) 19,893
At January 1, 2025 37,298 154 270 1,417 (19,373) 19,766
Other comprehensive income/(loss) attributable to Shell plc shareholders — — — — 1,967 1,967
Transfer from other comprehensive income — — — — 11 11
Repurchases of shares — — 8 — — 8
Share-based compensation — — — (663) — (663)
At March 31, 2025 37,298 154 279 754 (17,394) 21,090
The merger reserve and share premium reserve were established as a consequence
of Shell plc (formerly Royal Dutch Shell plc) becoming the single parent
company of Royal Dutch Petroleum Company and The “Shell” Transport and
Trading Company, p.l.c., now The Shell Transport and Trading Company Limited,
in 2005. The merger reserve increased in 2016 following the issuance of shares
for the acquisition of BG Group plc. The capital redemption reserve was
established in connection with repurchases of shares of Shell plc. The share
plan reserve is in respect of equity-settled share-based compensation plans.
6. Derivative financial instruments and debt excluding lease liabilities
As disclosed in the Consolidated Financial Statements for the year ended
December 31, 2025, presented in the Annual Report and Accounts and Form 20-F
for that year, Shell is exposed to the risks of changes in fair value of its
financial assets and liabilities. The fair values of the financial assets and
liabilities are defined as the price that would be received to sell an asset
or paid to transfer a liability in an orderly transaction between market
participants at the measurement date. Methods and assumptions used to estimate
the fair values at March 31, 2026, are consistent with those used in the year
ended December 31, 2025, though the carrying amounts of derivative financial
instruments have changed since that date. The movement of the derivative
financial instruments between December 31, 2025 and March 31, 2026 is an
increase of $1,972 million for the current assets and an increase of $4,660
million for the current liabilities.
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SHELL PLC 1st QUARTER 2026 UNAUDITED RESULTS
The table below provides the comparison of the fair value with the carrying
amount of debt excluding lease liabilities, disclosed in accordance with IFRS
7 Financial Instruments: Disclosures.
DEBT EXCLUDING LEASE LIABILITIES
$ million March 31, 2026 December 31, 2025
Carrying amount1 45,051 46,710
Fair value2 41,281 43,142
1. Shell issued no debt under the US shelf or under the Euro
medium-term note programmes during the first quarter 2026.
2. Mainly determined from the prices quoted for these securities.
7. Other notes to the unaudited Condensed Consolidated Interim Financial
Statements
Consolidated Statement of Income
Interest and other income
Quarters $ million
Q1 2026 Q4 2025 Q1 2025
535 2,848 302 Interest and other income/(expenses)
Of which:
372 452 481 Interest income
— 21 1 Dividend income (from investments in equity securities)
64 2,121 (127) Net gains/(losses) on sales and revaluation of non-current assets and businesses
30 (34) (137) Net foreign exchange gains/(losses) on financing activities
70 288 85 Other
Depreciation, depletion and amortisation
Quarters $ million
Q1 2026 Q4 2025 Q1 2025
5,743 6,581 5,441 Depreciation, depletion and amortisation
Of which:
5,738 5,751 5,130 Depreciation
84 837 311 Impairments
(79) (7) (1) Impairment reversals
Depreciation
On March 18, 2026, an attack on Ras Laffan Industrial City (Qatar) damaged one
of the two trains at the Pearl GTL facility, resulting in a limited
write‑off recognised within depreciation in the first quarter 2026. It is
currently anticipated that the full repair of the damaged train will take
around one year.
Impairment
The ongoing conflict in the Middle East has resulted in production shutdowns
and export constraints, and delivery under LNG supply contracts has been
stopped following declaration of force majeure, due to the blockage of the
Strait of Hormuz. No impairment has been identified as a result of these
events. Since the start of the conflict, commodity prices and refining margins
have been highly volatile; however, the long‑term price assumptions applied
in impairment testing have remained unchanged since 2025 (see Note 1).
Accordingly, no impairment or impairment reversal has been identified in the
first quarter 2026.
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SHELL PLC 1st QUARTER 2026 UNAUDITED RESULTS
Taxation charge/credit
Quarters $ million
Q1 2026 Q4 2025 Q1 2025
3,570 2,718 4,083 Taxation charge/(credit)
Of which:
3,407 2,639 4,024 Income tax excluding Pillar Two income tax
163 80 59 Income tax related to Pillar Two income tax
As required by IAS 12 Income Taxes, Shell has applied the exception to
recognising and disclosing information about deferred tax assets and
liabilities related to Pillar Two income taxes.
Consolidated Statement of Comprehensive Income
Currency translation differences
Quarters $ million
Q1 2026 Q4 2025 Q1 2025
(820) 348 1,711 Currency translation differences
Of which:
(767) 308 1,618 Recognised in Other comprehensive income
(53) 40 92 (Gain)/loss reclassified to profit or loss
Condensed Consolidated Balance Sheet
Debt
$ million March 31, 2026 December 31, 2025
Debt Lease liabilities Total Debt Lease liabilities Total
(excluding (excluding
lease liabilities) lease liabilities)
Current debt: 4,696 5,364 10,060 4,517 4,611 9,128
Non-current debt 40,355 25,229 65,585 42,193 24,322 66,515
Total 45,051 30,594 75,645 46,710 28,933 75,643
Lease liabilities at March 31, 2026, and December 31, 2025, include vessel
leases with index-linked payments. In accordance with IFRS 16, these lease
liabilities are remeasured to reflect changes in the relevant index at the
balance sheet date. During the first quarter 2026, a significant increase in
the underlying index due to the Middle East conflict resulted in an increase
in lease liabilities at March 31, 2026, compared with December 31, 2025, of
$3,199 million, with a corresponding adjustment to the related right-of-use
assets within Property, plant and equipment. Depreciation of the remeasurement
of the right-of-use assets is recognised prospectively over the remaining
lease term.
Assets classified as held for sale
$ million March 31, 2026 December 31, 2025
Assets classified as held for sale 2,367 1,030
Liabilities directly associated with assets classified as held for sale 955 820
Assets classified as held for sale and associated liabilities at March 31,
2026, principally relate to Jiffy Lube International and two retail operations
in Mexico in Marketing and a working interest in Brazil in Upstream.
The major classes of assets and liabilities classified as held for sale at
March 31, 2026, are Property, plant and equipment ($1,062 million; December
31, 2025: $662 million), Intangible assets ($569 million; December 31, 2025:
$17 million), Trade and other receivables ($544 million: December 31, 2025:
$141 million) and Debt ($788 million; December 31, 2025: $185 million).
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SHELL PLC 1st QUARTER 2026 UNAUDITED RESULTS
Consolidated Statement of Cash Flows
Cash flow from operating activities - Other
Quarters $ million
Q1 2026 Q4 2025 Q1 2025
1,433 (1,110) 570 Cash flow from operating activities - Other
Cash flow from operating activities - Other for the first quarter 2026
includes $1,289 million of net inflows (fourth quarter 2025: $838 million
net outflows; first quarter 2025: $652 million net inflows) due to the timing
of payments relating to emission certificates and biofuel programmes in Europe
and North America.
8. Reconciliation of Operating expenses and Total Debt
RECONCILIATION OF OPERATING EXPENSES
Quarters $ million
Q1 2026 Q4 2025 Q1 2025
5,745 5,830 5,549 Production and manufacturing expenses
2,803 3,432 2,840 Selling, distribution and administrative expenses
167 298 185 Research and development
8,716 9,559 8,575 Operating expenses
RECONCILIATION OF TOTAL DEBT
March 31, 2026 December 31, 2025 March 31, 2025 $ million
10,060 9,128 11,391 Current debt
65,585 66,515 65,120 Non-current debt
75,645 75,643 76,511 Total debt
9. Post-balance sheet events
On April 27, 2026, Shell entered into a definitive agreement to acquire ARC
Resources Ltd (“ARC”), an energy company focused on the Montney shale
basin in British Columbia and Alberta, Canada. Under the terms of the
agreement, ARC’s shareholders will receive CAD 8.20 in cash and 0.40247
ordinary shares of Shell plc for each ARC share, resulting in an equity value
of approximately USD 13.6 billion, based on Shell’s closing share price at
April 24, 2026 of GBP 33.08 and GBP:CAD exchange ratio of 1.8480. The boards
of both companies have unanimously supported the transaction, which is
expected to close in the second half of 2026, subject to ARC shareholder,
court and regulatory approvals.
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SHELL PLC 1st QUARTER 2026 UNAUDITED RESULTS
ALTERNATIVE PERFORMANCE (NON-GAAP) MEASURES
A. Adjusted Earnings, Adjusted earnings before interest, taxes, depreciation
and amortisation (“Adjusted EBITDA”) and Cash flow from operating
activities
The “Adjusted Earnings” measure is presented on a current cost of supplies
basis and aims to facilitate a comparative understanding of Shell’s
financial performance from period to period by removing the effects of oil
price changes on inventory carrying amounts and removing the effects of
identified items. These items are in some cases driven by external factors and
may, either individually or collectively, hinder the comparative understanding
of Shell’s financial results from period to period. This measure excludes
earnings attributable to non-controlling interest when presenting the total
Shell Group result but includes this item when presenting individual segment
Adjusted Earnings as set out in the table below.
See Note 2 “Segment information” for the reconciliation of Adjusted
Earnings.
We define “Adjusted EBITDA” as “Income/(loss) for the period” adjusted
for current cost of supplies; identified items; tax charge/(credit);
depreciation, amortisation and depletion; exploration well write-offs and net
interest expense. All items include the non-controlling interest component.
Management uses this measure to evaluate Shell's performance in the period and
over time.
Q1 2026 $ million
Integrated Gas Upstream Marketing Chemicals and Products Renewables and Energy Solutions Corporate Total
Adjusted Earnings 6,915
Add: Non-controlling interest (21)
Adjusted Earnings plus non-controlling interest 1,819 2,377 1,334 1,925 348 (908) 6,894
Add: Taxation charge/(credit) excluding tax impact of identified items 708 2,134 537 689 115 (176) 4,007
Add: Depreciation, depletion and amortisation excluding impairments 1,528 2,616 560 942 84 7 5,738
Add: Exploration well write-offs — 1 — — — — 1
Add: Interest expense excluding identified items 62 151 8 20 2 1,229 1,473
Less: Interest income 2 19 1 32 2 316 372
Adjusted EBITDA 4,115 7,261 2,437 3,544 548 (164) 17,741
Less: Current cost of supplies adjustment before taxation (950) (763) (1,713)
Joint ventures and associates (dividends received less profit) (143) 27 493 (22) 10 — 364
Derivative financial instruments (819) (34) (4) (1,887) 2,358 (27) (414)
Taxation paid (722) (1,492) (65) 38 (7) (53) (2,301)
Other (827) (268) 160 902 91 80 138
(Increase)/decrease in working capital (1,121) (2,316) (1,748) (5,646) (62) (287) (11,179)
Cash flow from operating activities 483 3,178 2,224 (2,308) 2,937 (451) 6,062
Page 25
SHELL PLC 1st QUARTER 2026 UNAUDITED RESULTS
Q4 2025 $ million
Integrated Gas Upstream Marketing Chemicals and Products Renewables and Energy Solutions Corporate Total
Adjusted Earnings 3,256
Add: Non-controlling interest 51
Adjusted Earnings plus non-controlling interest 1,661 1,570 578 (66) 131 (567) 3,307
Add: Taxation charge/(credit) excluding tax impact of identified items 836 1,686 415 159 109 (297) 2,909
Add: Depreciation, depletion and amortisation excluding impairments 1,540 2,663 593 861 88 6 5,751
Add: Exploration well write-offs 32 62 — — — — 94
Add: Interest expense excluding identified items 59 171 19 15 3 924 1,191
Less: Interest income — 38 1 30 3 380 452
Adjusted EBITDA 4,127 6,114 1,604 939 329 (313) 12,799
Less: Current cost of supplies adjustment before taxation 174 248 422
Joint ventures and associates (dividends received less profit) 59 143 308 308 83 — 900
Derivative financial instruments 319 8 16 (92) (150) (186) (85)
Taxation paid (724) (1,859) (149) 47 7 39 (2,638)
Other (125) (1,043) (1,568) 260 30 56 (2,390)
(Increase)/decrease in working capital 301 924 (112) 561 (704) 304 1,275
Cash flow from operating activities 3,956 4,287 (75) 1,775 (405) (100) 9,438
Page 26
SHELL PLC 1st QUARTER 2026 UNAUDITED RESULTS
Q1 2025 $ million
Integrated Gas Upstream Marketing Chemicals and Products Renewables and Energy Solutions Corporate Total
Adjusted Earnings 5,577
Add: Non-controlling interest 94
Adjusted Earnings plus non-controlling interest 2,483 2,337 900 449 (42) (457) 5,670
Add: Taxation charge/(credit) excluding tax impact of identified items 803 2,619 391 99 63 (191) 3,784
Add: Depreciation, depletion and amortisation excluding impairments 1,404 2,213 566 852 90 6 5,130
Add: Exploration well write-offs — 29 — — — — 28
Add: Interest expense excluding identified items 51 200 12 14 2 841 1,119
Less: Interest income 4 11 — 4 2 461 481
Adjusted EBITDA 4,735 7,387 1,869 1,410 111 (261) 15,250
Less: Current cost of supplies adjustment before taxation 52 (67) (15)
Joint ventures and associates (dividends received less profit) (286) (159) 203 54 10 — (178)
Derivative financial instruments 542 14 10 (508) (169) 73 (38)
Taxation paid (773) (1,999) (174) 63 52 (68) (2,900)
Other (68) (386) 396 125 (17) (257) (206)
(Increase)/decrease in working capital (687) (913) (344) (1,081) 380 (19) (2,663)
Cash flow from operating activities 3,463 3,945 1,907 130 367 (531) 9,281
Identified items
The objective of identified items is to exclude material impacts1 on net
income/loss arising from transactions which are typically outside the control
of management and are unusual in nature (e.g., infrequent or non-recurring
events) or that result in a misalignment between accounting and economic
outcomes. Certain transactions that are generally excluded from underlying
results within the industry may also be classified as identified items.
Identified items comprise divestment gains and losses, impairment losses and
reversals, redundancy and restructuring, fair value accounting effects on
commodity derivatives and certain gas contracts, the impact of exchange rate
movements and inflationary adjustments on certain deferred tax balances, and
other items.
See Note 2 “Segment information” for details.
1. For the purpose of identification of items in certain categories
materiality thresholds are applied.
B. Adjusted Earnings per share
Adjusted Earnings per share is calculated as Adjusted Earnings (see Reference
A), divided by the weighted average number of shares used as the basis for
basic earnings per share (see Note 3).
C. Cash capital expenditure
Cash capital expenditure represents cash spent on maintaining and developing
assets as well as on investments in the period. Management regularly monitors
this measure as a key lever to delivering sustainable cash flows. Cash capital
expenditure is the sum of the following lines from the Consolidated Statement
of Cash Flows: Capital expenditure, Investments in joint ventures and
associates and Investments in equity securities.
See Note 2 “Segment information” for the reconciliation of cash capital
expenditure.
D. Capital employed and Return on average capital employed
Return on average capital employed ("ROACE") measures the efficiency of
Shell’s utilisation of the capital that it employs.
The measure refers to Capital employed which consists of total equity, current
debt, and non-current debt reduced by cash and cash equivalents.
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SHELL PLC 1st QUARTER 2026 UNAUDITED RESULTS
In this calculation, the sum of Adjusted Earnings (see Reference A) plus
non-controlling interest (NCI) excluding identified items for the current and
previous three quarters, adjusted for after-tax interest expense and after-tax
interest income, is expressed as a percentage of the average capital employed
excluding cash and cash equivalents for the same period.
$ million Quarters
Q1 2026 Q4 2025 Q1 2025
Current debt 11,391 11,630 11,046
Non-current debt 65,120 65,448 68,886
Total equity 180,670 180,168 188,304
Less: Cash and cash equivalents (35,601) (39,110) (39,949)
Capital employed – opening 221,580 218,134 228,286
Current debt 10,060 9,128 11,391
Non-current debt 65,585 66,515 65,120
Total equity 174,601 175,319 180,670
Less: Cash and cash equivalents (23,117) (30,216) (35,601)
Capital employed – closing 227,128 220,747 221,580
Capital employed – average 224,354 219,441 224,933
ROACE on an Adjusted Earnings plus Non-controlling interest (NCI) basis
$ million Quarters
Q1 2026 Q4 2025 Q1 2025
Adjusted Earnings - current and previous three quarters (Reference A) 19,867 18,528 21,558
Add: Income/(loss) attributable to NCI - current and previous three quarters 251 282 441
Add: Current cost of supplies adjustment attributable to NCI - current and previous three quarters (83) 3 25
Less: Identified items attributable to NCI (Reference A) - current and previous three quarters (3) — 18
Adjusted Earnings plus NCI excluding identified items - current and previous three quarters 20,038 18,814 22,005
Add: Interest expense after tax - current and previous three quarters 2,951 2,673 2,639
Less: Interest income after tax on cash and cash equivalents - current and previous three quarters 853 954 1,329
Adjusted Earnings plus NCI excluding identified items before interest expense and interest income - current and previous three quarters 22,136 20,534 23,315
Capital employed – average 224,354 219,441 224,933
ROACE on an Adjusted Earnings plus NCI basis 9.9% 9.4% 10.4%
E. Net debt and gearing
Net debt is defined as the sum of current and non-current debt, less cash and
cash equivalents, adjusted for the fair value of derivative financial
instruments used to hedge foreign exchange and interest rate risk relating to
debt, and associated collateral balances. Management considers this adjustment
useful because it reduces the volatility of net debt caused by fluctuations in
foreign exchange and interest rates, and eliminates the potential impact of
related collateral payments or receipts. Debt-related derivative financial
instruments are a subset of the derivative financial instrument assets and
liabilities presented on the balance sheet. Collateral balances are reported
under “Trade and other receivables” or “Trade and other payables” as
appropriate.
Gearing is a measure of Shell's capital structure and is defined as net debt
(total debt less cash and cash equivalents) as a percentage of total capital
(net debt plus total equity).
Page 28
SHELL PLC 1st QUARTER 2026 UNAUDITED RESULTS
$ million
March 31, 2026 December 31, 2025 March 31, 2025
Current debt 10,060 9,128 11,391
Non-current debt 65,585 66,515 65,120
Total debt 75,645 75,643 76,511
Of which: lease liabilities 30,594 28,933 28,488
Add: Debt-related derivative financial instruments: net liability/(asset) 706 547 1,905
Add: Collateral on debt-related derivatives: net liability/(asset) (627) (287) (1,295)
Less: Cash and cash equivalents (23,117) (30,216) (35,601)
Net debt 52,606 45,687 41,521
Total equity 174,601 175,319 180,670
Total capital 227,207 221,006 222,190
Gearing 23.2 % 20.7 % 18.7 %
F. Operating expenses and Underlying operating expenses
Operating expenses*
Operating expenses is a measure of Shell’s cost management performance,
comprising the following items from the Consolidated Statement of Income:
production and manufacturing expenses; selling, distribution and
administrative expenses; and research and development expenses.
Q1 2026 $ million
Integrated Gas Upstream Marketing Chemicals and Products Renewables and Energy Solutions Corporate Total
Production and manufacturing expenses 1,124 2,126 471 1,591 430 2 5,745
Selling, distribution and administrative expenses 66 81 1,966 398 184 107 2,803
Research and development 23 44 22 18 9 52 167
Operating expenses 1,213 2,251 2,459 2,007 623 161 8,716
Q4 2025 $ million
Integrated Gas Upstream Marketing Chemicals and Products Renewables and Energy Solutions Corporate Total
Production and manufacturing expenses 1,156 2,269 263 1,686 452 4 5,830
Selling, distribution and administrative expenses 47 144 2,381 532 166 162 3,432
Research and development 29 76 44 28 18 102 298
Operating expenses 1,232 2,489 2,688 2,246 636 268 9,559
Q1 2025 $ million
Integrated Gas Upstream Marketing Chemicals and Products Renewables and Energy Solutions Corporate Total
Production and manufacturing expenses 947 2,139 349 1,621 486 8 5,549
Selling, distribution and administrative expenses 38 42 2,053 442 153 111 2,840
Research and development 22 32 42 25 21 43 185
Operating expenses 1,006 2,213 2,444 2,088 661 162 8,575
* Operational measure for US reporting purposes
Underlying operating expenses
Underlying operating expenses is a measure aimed at facilitating a comparative
understanding of performance from period to period by removing the effects of
identified items, which, either individually or collectively, can cause
volatility, in some cases driven by external factors.
Page 29
SHELL PLC 1st QUARTER 2026 UNAUDITED RESULTS
Quarters $ million
Q1 2026 Q4 2025 Q1 2025
8,716 9,559 8,575 Operating expenses
(130) (122) (44) Redundancy and restructuring (charges)/reversal
— (2) (78) Other
(130) (124) (121) Total identified items
8,585 9,436 8,453 Underlying operating expenses
G. Free cash flow and Organic free cash flow
Free cash flow is used to evaluate cash available for financing activities,
including dividend payments and debt servicing, after investment in
maintaining and growing the business. It is defined as the sum of “Cash flow
from operating activities” and “Cash flow from investing activities”.
Cash flows from acquisition and divestment activities are removed from Free
cash flow to arrive at the Organic free cash flow, a measure used by
management to evaluate the generation of free cash flow without these
activities.
Quarters $ million
Q1 2026 Q4 2025 Q1 2025
6,062 9,438 9,281 Cash flow from operating activities
(3,136) (5,190) (3,959) Cash flow from investing activities
2,927 4,249 5,322 Free cash flow
352 53 597 Less: Divestment proceeds (Reference I)
— 103 45 Add: Tax paid on divestments (reported under "Other investing cash outflows")
349 822 130 Add: Cash outflows related to inorganic capital expenditure1
2,923 5,121 4,899 Organic free cash flow 2
1.Cash outflows related to inorganic capital expenditure includes portfolio
actions which expand Shell's activities through acquisitions and restructuring
activities as reported in capital expenditure lines in the Consolidated
Statement of Cash Flows.
2.Free cash flow less divestment proceeds, adding back outflows related to
inorganic expenditure.
H. Cash flow from operating activities excluding working capital movements
Working capital movements are defined as the sum of the following items in the
Consolidated Statement of Cash Flows:
(i) (increase)/decrease in inventories, (ii) (increase)/decrease in current
receivables, and (iii) increase/(decrease) in current payables.
Cash flow from operating activities excluding working capital movements is a
measure used by Shell to analyse its operating cash generation over time
excluding the timing effects of changes in inventories and operating
receivables and payables from period to period.
Quarters $ million
Q1 2026 Q4 2025 Q1 2025
6,062 9,438 9,281 Cash flow from operating activities
(6,686) 738 854 (Increase)/decrease in inventories
(10,404) 647 (2,610) (Increase)/decrease in current receivables
5,912 (109) (907) Increase/(decrease) in current payables
(11,179) 1,275 (2,663) (Increase)/decrease in working capital
17,241 8,164 11,944 Cash flow from operating activities excluding working capital movements
Page 30
SHELL PLC 1st QUARTER 2026 UNAUDITED RESULTS
I. Divestment proceeds
Divestment proceeds represent cash received from divestment activities in the
period. Management regularly monitors this measure as a key lever to deliver
free cash flow.
Quarters $ million
Q1 2026 Q4 2025 Q1 2025
272 (101) 559 Proceeds from sale of property, plant and equipment and businesses
42 148 33 Proceeds from joint ventures and associates from sale, capital reduction and repayment of long-term loans
39 6 5 Proceeds from sale of equity securities
352 53 597 Divestment proceeds
Page 31
SHELL PLC 1st QUARTER 2026 UNAUDITED RESULTS
CAUTIONARY STATEMENT
All amounts shown throughout this Unaudited Condensed Financial Report are
unaudited. All peak production figures in Portfolio Developments are quoted at
100% expected production. The numbers presented throughout this Unaudited
Condensed Financial Report may not sum precisely to the totals provided and
percentages may not precisely reflect the absolute figures, due to rounding.
The companies in which Shell plc directly and indirectly owns investments are
separate legal entities. In this Unaudited Condensed Financial Report
“Shell”, “Shell Group” and “Group” are sometimes used for
convenience to reference Shell plc and its subsidiaries in general. Likewise,
the words “we”, “us” and “our” are also used to refer to Shell plc
and its subsidiaries in general or to those who work for them. These terms are
also used where no useful purpose is served by identifying the particular
entity or entities. ‘‘Subsidiaries’’, “Shell subsidiaries” and
“Shell companies” as used in this Unaudited Condensed Financial Report
refer to entities over which Shell plc either directly or indirectly has
control. The terms “joint venture”, “joint operations”, “joint
arrangements”, and “associates” may also be used to refer to a
commercial arrangement in which Shell has a direct or indirect ownership
interest with one or more parties. The term “Shell interest” is used for
convenience to indicate the direct and/or indirect ownership interest held by
Shell in an entity or unincorporated joint arrangement, after exclusion of all
third-party interest.
Forward-Looking statements
This Unaudited Condensed Financial Report contains forward-looking statements
(within the meaning of the U.S. Private Securities Litigation Reform Act of
1995) concerning the financial condition, results of operations and businesses
of Shell. All statements other than statements of historical fact are, or may
be deemed to be, forward-looking statements. Forward-looking statements are
statements of future expectations that are based on management’s current
expectations and assumptions and involve known and unknown risks and
uncertainties that could cause actual results, performance or events to differ
materially from those expressed or implied in these statements.
Forward-looking statements include, among other things, statements concerning
the potential exposure of Shell to market risks and statements expressing
management’s expectations, beliefs, estimates, forecasts, projections and
assumptions. These forward-looking statements are identified by their use of
terms and phrases such as “aim”; “ambition”; ‘‘anticipate’’;
“aspire”, “aspiration”, ‘‘believe’’; “commit”;
“commitment”; ‘‘could’’; “desire”; ‘‘estimate’’;
‘‘expect’’; ‘‘goals’’; ‘‘intend’’; ‘‘may’’;
“milestones”; ‘‘objectives’’; ‘‘outlook’’;
‘‘plan’’; ‘‘probably’’; ‘‘project’’;
‘‘risks’’; “schedule”; ‘‘seek’’; ‘‘should’’;
‘‘target’’; “vision”; ‘‘will’’; “would” and similar
terms and phrases. There are a number of factors that could affect the future
operations of Shell and could cause those results to differ materially from
those expressed in the forward-looking statements included in this Unaudited
Condensed Financial Report, including (without limitation): (a) price
fluctuations in crude oil and natural gas; (b) changes in demand for Shell’s
products; (c) currency fluctuations; (d) drilling and production results; (e)
reserves estimates; (f) loss of market share and industry competition; (g)
environmental and physical risks, including climate change; (h) risks
associated with the identification of suitable potential acquisition
properties and targets, and successful negotiation and completion of such
transactions; (i) the risk of doing business in developing countries and
countries subject to international sanctions; (j) legislative, judicial,
fiscal and regulatory developments including tariffs and regulatory measures
addressing climate change; (k) economic and financial market conditions in
various countries and regions; (l) political risks, including the risks of
expropriation and renegotiation of the terms of contracts with governmental
entities, delays or advancements in the approval of projects and delays in the
reimbursement for shared costs; (m) risks associated with the impact of
pandemics, regional conflicts, such as the Russia-Ukraine war and the conflict
in the Middle East, and a significant cyber security, data privacy or IT
incident; (n) the pace of the energy transition; and (o) changes in trading
conditions. No assurance is provided that future dividend payments will match
or exceed previous dividend payments. All forward-looking statements contained
in this Unaudited Condensed Financial Report are expressly qualified in their
entirety by the cautionary statements contained or referred to in this
section. Readers should not place undue reliance on forward-looking
statements. Additional risk factors that may affect future results are
contained in Shell plc’s Form 20-F for the year ended December 31, 2025
(available at www.shell.com/investors/news-and-filings/sec-filings.html and
www.sec.gov). These risk factors also expressly qualify all forward-looking
statements contained in this Unaudited Condensed Financial Report and should
be considered by the reader. Each forward-looking statement speaks only as of
the date of this Unaudited Condensed Financial Report, May 7, 2026. Neither
Shell plc nor any of its subsidiaries undertake any obligation to publicly
update or revise any forward-looking statement as a result of new information,
future events or other information. In light of these risks, results could
differ materially from those stated, implied or inferred from the
forward-looking statements contained in this Unaudited Condensed Financial
Report.
Shell’s net carbon intensity
Also, in this Unaudited Condensed Financial Report we may refer to Shell’s
"net carbon intensity" (NCI), which includes Shell’s carbon emissions from
the production of our energy products, our suppliers’ carbon emissions in
supplying energy for that production and our customers’ carbon emissions
associated with their use of the energy products we sell. Shell’s NCI also
includes the emissions associated with the production and use of energy
products produced by others which Shell purchases for resale. Shell only
controls its own emissions. The use of the terms Shell’s "net carbon
intensity" or NCI is for convenience only and not intended to suggest these
emissions are those of Shell plc or its subsidiaries.
Shell’s net-zero emissions target
Shell’s operating plan and outlook are forecasted for a three-year period
and ten-year period, respectively, and are updated every year. They reflect
the current economic environment and what we can reasonably expect to see over
the next three and ten years. Accordingly, the outlook reflects our combined
Scope 1 and 2 target, NCI target and our oil products ambition over the next
ten years. However, Shell’s operating plan and outlook cannot reflect our
2050 net-zero emissions target, as this target is outside our planning period.
Such future operating plans and outlooks could include changes to our
portfolio, efficiency improvements and the use of carbon capture and storage
and carbon credits.
In the future, as society moves towards net-zero emissions, we expect
Shell’s operating plans and outlooks to reflect this movement. However, if
society is not net zero in 2050, as of today, there would be significant risk
that Shell may not meet this target.
Forward-Looking non-GAAP measures
This Unaudited Condensed Financial Report may contain certain forward-looking
non-GAAP measures such as cash capital expenditure and Adjusted Earnings. We
are unable to provide a reconciliation of these forward-looking non-GAAP
measures to the most comparable GAAP financial measures because certain
information needed to reconcile those non-GAAP measures to the most comparable
GAAP financial measures is dependent on future events some of which are
outside the control of Shell, such as oil and gas prices, interest rates and
exchange rates. Moreover, estimating such GAAP measures with the required
precision necessary to provide a meaningful reconciliation is extremely
difficult and could not be accomplished without unreasonable effort. Non-GAAP
measures in respect of future periods which cannot be reconciled to the most
comparable GAAP financial measure are calculated in a manner which is
consistent with the accounting policies applied in Shell plc’s consolidated
financial statements.
The contents of websites referred to in this Unaudited Condensed Financial
Report do not form part of this Unaudited Condensed Financial Report.
We may have used certain terms, such as resources, in this Unaudited Condensed
Financial Report that the United States Securities and Exchange Commission
(SEC) strictly prohibits us from including in our filings with the SEC.
Investors are urged to consider closely the disclosure in our Form 20-F, File
No 1-32575, available on the SEC website www.sec.gov.
Page 32
SHELL PLC 1st QUARTER 2026 UNAUDITED RESULTS
This announcement contains inside information.
May 7, 2026
The information in this Unaudited Condensed Financial Report reflects the unaudited consolidated financial position and results of Shell plc. Company No. 4366849, Registered Office: Shell Centre, London, SE1 7NA, England, UK.
Contacts:
- Sean Ashley, Company Secretary
- Media: International +44 (0) 207 934 5550; U.S. and Canada:
https://www.shell.us/about-us/news-and-insights/media/submit-an-inquiry.html
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