Copy Tracking Code

Prime Mover Magazine

Shell launches share buyback after quarterly profits miss target

Royal Dutch Shell today launched the shares buyback program it first announced two years ago.

The global oil giant confirmed its intention to reshape its portfolio through a $AU40 billion divestment program and new projects, as part of its strategy to reduce net debt and consolidate expenditure as it builds upon the acquisition of British multinational resource company BG in 2016.

Oil and gas production rose in 5.4 per cent year-on-year in the second quarter of 2018 despite being lower than the previous three months as Shell revealed a leap in earnings.

Rising oil prices saw underlying earnings on a current cost supply basis increase by 37 per cent to $AU13.7 billion across the first six months of the year.

The share price of the company, however, fell more than three per cent after it recorded lower than expected profits.

Shell has completed nearly $US27 billion of asset sales with over another seven billion announced or in advanced progress.

“We are taking another important step towards the delivery of our world-class investment case, with the launch of a 25 billion US share buyback programme,” said Ben van Beurden, Shell Chief Executive.

Featured Article

  • Engine oil at work

    Engine oil at work

    Changes to global emission standards have resulted in engine manufacturers requiring the next generation of oils that can survive for longer at higher temperatures.

    Read Story

  • advertisement
  • Click here to join the CRT network today
  • Keep up to date on the latest news and developments in the commercial road transport industry. Sign up to CRT News today to receive a FREE weekly E-newsletter delivered straight to your inbox.

  • advertisement

© Copyright 2019 Prime Creative Media. All rights reserved.

Find us on Google+