Shell Posts $10.8 Billion Third-Quarter Profit on Record Refining Margins and Expands Buybacks

Original summary · What happened

Shell reported third-quarter adjusted earnings of $10.81 billion, nearly doubling the $5.43 billion posted during the corresponding quarter last year and exceeding consensus estimates of $9.92 billion compiled by LSEG. The result marked the group's highest quarterly profit since the second quarter of 2022, bolstered by global fuel supply tightness and elevated crude valuations linked to geopolitical hostilities in the Middle East.

Indicative refining margins reached $42 per barrel, surpassing the previous record of $28.04 per barrel set in mid-2022. Alongside the results, the energy producer expanded its capital return program, launching a $5 billion share repurchase tranche to be carried out over the next three months, compared with $3 billion authorized during the previous quarter, while continuing debt reduction following its $16.4 billion acquisition of ARC.