Energy
Shell Keeps Up Investor Payouts Even as Profit Drops, Debt Rises
- Company keeps share buyback at $3.5 billion per quarter
- Free cash flow was stronger than analysts had expected
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Shell Plc maintained the pace of its share buybacks even as profit dropped by more than expected and net-debt rose due to weaker trading amid lower oil prices.
Chief Executive Officer Wael Sawan partly attributed the under-performance to the expiry of some liquefied natural gas hedging contracts, something that affects profit but not cash flow. Shell’s cash generation was strong and the company had a “tremendous year,” he said in an interview with Bloomberg TV on Thursday.