A Shell logo is displayed outside a petrol station in Radstock, Somerset, England on February 17, 2024.
Matt Cady | Getty Images News | Getty Images
British oil giant shell Third-quarter profit reported on Thursday fell slightly from a year earlier and was stronger than expected, partly due to a sharp drop in crude oil prices and lower refining margins.
The energy company reported adjusted earnings of $6 billion in the July-September period, beating analysts’ expectations of $5.3 billion, according to estimates compiled by LSEG.
Shell reported adjusted earnings of $6.3 billion in the second quarter of 2023 and $6.2 billion in the third quarter.
Shell said it would repurchase a further $3.5 billion worth of shares over the next three months while maintaining its dividend of 34 cents per share.
Net debt was $35.2 billion as of the end of September, down from $38.3 billion in the second quarter.
Shares in the London-listed company have fallen about 3% so far this year.
Ahead of the company’s third-quarter earnings, Shell warn Refining margins fell by more than 28% quarter-on-quarter, while trading results at its chemicals and petroleum products division are expected to be even lower.
British rival BP reported its weakest quarterly earnings in nearly four years on Tuesday, weighed down by falling refining profits.
BP reported third-quarter underlying replacement cost earnings, used as a proxy for net income, of $2.3 billion. That beat analysts’ expectations but was a sharp decline from the same period last year.
Oil prices fell more than 17% in the third quarter on concerns about the outlook for global oil demand.
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