Shell (NYSE:SHEL) reported adjusted earnings of $18.5 billion for 2025, compared with $23.7 billion recorded in the previous year.
Cash flow generated from operations totaled $42.9 billion, down from $54.7 billion in 2024. Free cash flow also declined, coming in at $26.1 billion compared with $39.5 billion a year earlier.
Despite the drop in cash generation, Shell continued to return substantial capital to investors. The company distributed about $22.4 billion to shareholders during the year, including $8.5 billion in dividends and $13.9 billion through share repurchases. These returns represented approximately 52% of operating cash flow, positioning payouts at the upper end of Shell’s target distribution range of 40% to 50%.
Shell reported total capital expenditure of $18.9 billion in 2025, while cash capital expenditure reached $20.9 billion. The spending level remained within the company’s planned annual investment range of $20 billion to $22 billion.
On the operational side, Shell produced around 2.8 million barrels of oil equivalent per day available for sale in 2025, slightly below the 2.836 million boe/d reported in 2024. LNG liquefaction volumes totaled 28 million tonnes during the year.
The company also highlighted progress in lowering costs and emissions. Structural cost reductions reached $5.1 billion compared with 2022 levels, while Scope 1 and 2 emissions fell to 53 million tonnes of CO2 equivalent in 2025 from 58 million tonnes the previous year.
The results came shortly after Reuters reported that Shell, the world’s largest trader of liquefied natural gas, declared force majeure on LNG cargoes sourced from QatarEnergy and delivered to global customers. The development followed Qatar’s decision to halt production at its 77 million-tonne-per-year LNG facility and issue a force majeure on shipments.
Analysts estimate Shell receives about 6.8 million tonnes per annum of LNG from Qatar under supply agreements, while TotalEnergies is estimated to take approximately 5.2 mtpa, according to the report.
More about Shell
Shell is an international energy and petrochemical company involved in upstream oil and gas production, LNG trading, refining, chemicals, and energy marketing. The company is expanding its portfolio of lower-carbon energy solutions while continuing to operate a large global oil and gas business.