Shell (UK) (SHELL) Q3 2026 Earnings Report

The call was strongly positive overall. Shell reported approximately $10.8 billion of adjusted earnings, $21 billion of operating cash flow, lower net debt, strong operational performance, record or near-record refining metrics, portfolio strengthening and continued shareholder distributions. The main challenges were sharply higher freight costs, disruptions affecting Qatar and Pearl, lower expected fourth-quarter refining margins, and unresolved chemicals transactions, but these lowlights were outweighed by the breadth of operational and financial achievements.

Shell’s cash CapEx range for 2026 is now between $23 billion and $25 billion, including some $4 billion for the acquisition of ARC Resources, and the company expects to complete its further $5 billion share buyback program by the time of its Q4 results announcement. Shareholder distributions remain 40% to 50% of CFFO through the cycle, with distributions likely toward the lower end of that range, closer to 40%, at the high point of the cycle and at the higher end or sometimes over 50% at the low point of the cycle; Shell would not guide towards the fourth quarter in any way. LNG Canada Phase 2 will provide nearly 6 million tonnes per annum of additional LNG volumes, Bonga South West could reach FID by next year, if all the stars align, and the second impacted Qatar train remains planned for start-up in late in Q1, subject to the Strait of Hormuz opening and Shell’s ability to evacuate product.