Royal Dutch Shell Produces a Gusher of Cash
- Cash flow covers dividend, buybacks and investment at $60 oil
- Shares rise as much as 4.7% in London, the most in eight weeks
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Royal Dutch Shell Plc is pumping out a torrent of cash, delivering the payoff that was promised to investors after the company’s biggest-ever acquisition three years ago.
Chief Executive Officer Ben van Beurden is close to achieving all the targets he set after buying BG Group Plc in 2016 -- generating more cash at lower oil prices, delivering double-digit returns to shareholders and keeping spending under control. Shell’s cash flow in the last three months of 2018 was three times the typical quarterly level before the deal, while a measure of indebtedness fell to the lowest level since the $50 billion purchase.