Shell Posts Lowest Quarterly Profit in Nearly Five Years as Weak Oil Prices Hit Earnings

SEATTLE (Oil Monster): British oil giant Shell recorded its lowest quarterly profit in almost five years on Thursday, hit by adverse tax adjustments in the fourth quarter and a weaker crude pricing environment.

The company reported adjusted earnings of $3.26 billion for the final quarter of last year, according to its financial results, missing analyst estimates. This marked Shell’s poorest quarterly performance since the first three months of 2021, when adjusted earnings stood at $3.2 billion.

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Shell Beats Expectations with Strong Q3 2025 Earnings

For the full year 2025, Shell posted lower-than-expected adjusted earnings of $18.5 billion, compared with an annual profit of $23.72 billion in the previous year. Despite the decline, Chief Executive Officer Wael Sawan said 2025 delivered accelerated momentum, supported by strong operational execution and financial discipline across the group.

Shell announced a $3.5 billion share buyback program and a 4% increase in its dividend to $0.372 per share, extending its streak to 17 consecutive quarters of buybacks of at least $3 billion. Net debt rose to $45.7 billion at year-end, lifting gearing to 20.7% from 18.8% in the third quarter.

The results highlight pressure on European energy majors as oil prices fell. It must be noted that crude oil prices have fallen by nearly 9% over the past twelve months.