Shell NYSE:SHEL, a global oil, gas and energy company, gained approximately 1.1% in Thursday's U.S. regular-session trading after quarterly profit more than doubled to $9.84 billion. The result exceeded analysts' $8.92 billion estimate and increased from $4.26 billion one year earlier. Shell maintained a $3 billion share-repurchase program for the coming three months after generating its strongest operating cash flow since 2022.
Profit from Shell's integrated-gas business increased 55% to $2.7 billion despite a 31% sequential decline in production. Chemicals and products contributed approximately $2.9 billion, compared with $118 million one year earlier, as refining utilization reached 102% of nameplate capacity. The company also benefited from a 20% increase in jet-fuel margins as stronger travel demand supported its refining operation.
Shell reduced net debt to $41.8 billion from $52.6 billion, while its gearing ratio declined to 18.7% from 23.2%. Quarterly profit exceeded consensus by approximately $920 million, while the year-over-year increase reached $5.58 billion, demonstrating the scale of the improvement across the energy portfolio. However, Shell expects repairs at its Pearl gas-to-liquids facility in Qatar to require approximately one year following an operational disruption. Investors may now weigh stronger cash generation, lower leverage and continuing repurchases against execution risks at Pearl and the possibility that refining and commodity margins could change.