London, February 2, 2023

“Our ends in This autumn and throughout the complete yr show the power of Shell’s differentiated portfolio, in addition to our capability to ship very important vitality to our prospects in a risky world.



We imagine that Shell is effectively positioned to be the trusted associate by way of the vitality transition. As we proceed to place our Powering Progress technique into motion, we’ll construct on our core strengths, additional simplify the organisation and give attention to efficiency. We intend to stay disciplined whereas delivering compelling shareholder returns, as demonstrated by the 15% dividend improve and the $4 billion share buyback programme introduced at present.”

Shell plc Chief Government Officer,



Wael Sawan

STRONG RESULTS, DISCIPLINED CAPITAL ALLOCATION

• Sturdy efficiency in a seamless unsure financial atmosphere. This autumn 2022 Adjusted Earnings of $9.8 billion, with Adjusted EBITDA of $20.6 billion, regardless of decrease oil and fuel costs in contrast with Q3 2022, with increased LNG buying and selling and optimisation outcomes.
• 15% dividend per share improve f
  
  or the fourth quarter.
  
  $4 billion share buybacks introduced, anticipated to be accomplished by Q1 2023 outcomes announcement.
• 2022 full yr shareholder distributions $26 billion. Complete distributions in extra of 35% of CFFO for 2022.
• Strengthening the portfolio with the introduced acquisition of Nature Vitality (Denmark), a renewable pure fuel producer, successful the wind tender for Hollandse Kust (west) VI as a part of the Ecowende three way partnership and additional simplifying the portfolio with the merger of Shell Midstream Companions (USA).
• 2023 money capex outlook: $23 – 27 billion.

¹



Earnings/(loss) attributable to shareholders for This autumn 2022 is $10.4 billion. Reconciliation of non-GAAP measures could be discovered within the unaudited outcomes, obtainable on www.shell.com/traders.

• CFFO of $22.4 billion for This autumn 2022 benefited from a working capital influx of $10.4 billion. The working capital influx displays the affect of decrease oil and fuel costs, energetic administration of preliminary margin positions, lower in accounts receivable and money referring to joint ventures. Tax paid was increased at $4.4 billion in This autumn 2022. Consequently, internet debt decreased by ~$3.5 billion (~7%) in contrast with final quarter, to $44.8 billion in This autumn 2022.

This autumn 2022 FINANCIAL PERFORMANCE DRIVERS

INTEGRATED GAS

• Decrease liquefaction volumes primarily mirror longer-than-expected upkeep at Prelude and operational points at QGC in Australia.
• Adjusted Earnings have been increased than in Q3 2022 as a result of increased buying and selling and optimisation outcomes coupled with beneficial actions in deferred tax positions.
• Buying and selling and optimisation outcomes pushed by seasonality mixed with capturing distinctive optimisation alternatives generated by way of the big scale and scope of our LNG buying and selling portfolio.
  
  

UPSTREAM

• This autumn 2022 manufacturing was increased than in Q3 2022, primarily pushed by decrease scheduled upkeep and decrease unscheduled deferment.
• Adjusted Earnings impacted by a decline in oil and fuel costs. Q3 2022 earnings benefited from one-off non-cash provision releases and positive aspects associated to storage switch results in a three way partnership.

MARKETING

• Advertising and marketing earnings have been decrease than in Q3 2022, as a result of seasonal affect of decrease volumes and decrease margins in Mobility, in addition to increased opex.

CHEMICALS & PRODUCTS

*

Merchandise covers refining and buying and selling

• Decrease buying and selling and optimisation margins have been offset by increased refining margins.
• Greater opex and depreciation consists of the affect of graduation of operations at Shell Polymers Monaca (the Pennsylvania challenge) partly offset by beneficial actions in deferred tax positions.

**With impact from Q2 2022, the methodology utilized in calculating each Chemical compounds manufacturing plant utilisation and Refinery utilisation has been revised. For particulars, see the Quarterly Outcomes Announcement.

RENEWABLES & ENERGY SOLUTIONS

*Phase earnings for This autumn 2022 are $4.7 billion. Reconciliation of non-GAAP measures could be discovered within the unaudited outcomes, obtainable on www.shell.com/traders.

**Excluding Shell’s fairness share of associates the place data can’t be obtained and prior interval comparatives have been revised accordingly

• This autumn 2022 Adjusted Earnings resulted from sturdy buying and selling and optimisation margins for fuel and energy primarily pushed by European and Australian markets as important value volatility continued. This was partly offset by increased working and growth prices.
• Gained bid with Eneco to collectively develop 760 MW put in capability offshore wind energy challenge within the Netherlands at Hollandse Kust (west) VI.
• Accomplished acquisition of Daystar Energy Group, a supplier of Photo voltaic-as-a-Service and Energy-as-a-Service options to business and industrial prospects in West Africa.
• Acquired 50% in Kondinin Vitality Pty Ltd which holds land entry for a wind, photo voltaic and battery vitality storage growth in Western Australia.
• Acquired Inexperienced Tie Capital’s platform with ten medium mature photo voltaic vitality tasks throughout Spain and potential for two GW of solar energy era capability.

The Renewables and Vitality Options section consists of Shell’s Built-in Energy actions, comprising electrical energy era, advertising and marketing, buying and selling and optimisation of energy and pipeline fuel, and digitally enabled buyer options. The section additionally consists of manufacturing and advertising and marketing of hydrogen, growth of economic carbon seize storage hubs, buying and selling of carbon credit and funding in nature-based tasks that keep away from or scale back carbon.

CORPORATE

• 
  The Adjusted Earnings outlook is a internet expense of $1,700 – 2,300 million for the complete yr 2023. This excludes the affect of foreign money change results.
  

UPCOMING INVESTOR EVENTS

USEFUL LINKS

Outcomes supplies This autumn 2022

Quarterly Databook This autumn 2022

Dividend announcement This autumn 2022

Webcast registration This autumn 2022

ALTERNATIVE PERFORMANCE (NON-GAAP) MEASURES

This announcement consists of sure measures which might be calculated and introduced on the premise of methodologies aside from in accordance with typically accepted accounting ideas (GAAP) resembling IFRS, together with Adjusted Earnings, Adjusted EBITDA, CFFO excluding working capital actions, Money capital expenditure, free money circulate, Divestment proceeds and Web debt. This data, together with comparable GAAP measures, is helpful to traders as a result of it offers a foundation for measuring Shell plc’s working efficiency and talent to retire debt and spend money on new enterprise alternatives. Shell plc’s administration makes use of these monetary measures, together with essentially the most immediately comparable GAAP monetary measures, in evaluating the enterprise efficiency.

This announcement accommodates a forward-looking non-GAAP measure for money capital expenditure. We’re unable to offer a reconciliation of this forward-looking non-GAAP measure to essentially the most comparable GAAP monetary measure as a result of sure data wanted to reconcile the non-GAAP measure to essentially the most comparable GAAP monetary measure depends on future occasions a few of that are outdoors the management of the corporate, resembling oil and fuel costs, rates of interest and change charges. Furthermore, estimating such GAAP measure with the required precision mandatory to offer a significant reconciliation is extraordinarily tough and couldn’t be achieved with out unreasonable effort. Non-GAAP measures in respect of future intervals which can’t be reconciled to essentially the most comparable GAAP monetary measure are estimated in a way which is according to the accounting insurance policies utilized in Shell plc’s consolidated monetary statements.

CAUTIONARY STATEMENT

All quantities proven all through this announcement are unaudited. The numbers introduced all through this announcement might not sum exactly to the totals offered and percentages might not exactly mirror absolutely the figures, as a result of rounding.

The businesses during which Shell plc immediately and not directly owns investments are separate authorized entities. On this announcement “Shell”, “Shell Group” and “Group” are generally used for comfort the place references are made to Shell plc and its subsidiaries normally. Likewise, the phrases “we”, “us” and “our” are additionally used to seek advice from Shell plc and its subsidiaries normally or to those that work for them. These phrases are additionally used the place no helpful function is served by figuring out the actual entity or entities. “Subsidiaries”, “Shell subsidiaries” and “Shell corporations” as used on this announcement seek advice from entities over which Shell plc both immediately or not directly has management. Entities and unincorporated preparations over which Shell has joint management are typically known as “joint ventures” and “joint operations”, respectively. “Joint ventures” and “joint operations” are collectively known as “joint preparations”. Entities over which Shell has important affect however neither management nor joint management are known as “associates”. The time period “Shell curiosity” is used for comfort to point the direct and/or oblique possession curiosity held by Shell in an entity or unincorporated joint association, after exclusion of all third-party curiosity.

This announcement accommodates forward-looking statements (inside the that means of the U.S. Non-public Securities Litigation Reform Act of 1995) in regards to the monetary situation, outcomes of operations and companies of Shell. All statements aside from statements of historic reality are, or could also be deemed to be, forward-looking statements. Ahead-looking statements are statements of future expectations which might be primarily based on administration’s present expectations and assumptions and contain identified and unknown dangers and uncertainties that would trigger precise outcomes, efficiency or occasions to vary materially from these expressed or implied in these statements. Ahead-looking statements embody, amongst different issues, statements in regards to the potential publicity of Shell to market dangers and statements expressing administration’s expectations, beliefs, estimates, forecasts, projections and assumptions. These forward-looking statements are recognized by their use of phrases and phrases resembling “purpose”, “ambition”, “anticipate”, “imagine”, “may”, “estimate”, “count on”, “targets”, “intend”, “might”, “milestones”, “aims”, “outlook”, “plan”, “most likely”, “challenge”, “dangers”, “schedule”, “search”, “ought to”, “goal”, “will” and comparable phrases and phrases. There are a selection of things that would have an effect on the long run operations of Shell and will trigger these outcomes to vary materially from these expressed within the forward-looking statements included on this announcement, together with (with out limitation): (a) value fluctuations in crude oil and pure fuel; (b) modifications in demand for Shell’s merchandise; (c) foreign money fluctuations; (d) drilling and manufacturing outcomes; (e) reserves estimates; (f) lack of market share and trade competitors; (g) environmental and bodily dangers; (h) dangers related to the identification of appropriate potential acquisition properties and targets, and profitable negotiation and completion of such transactions; (i) the danger of doing enterprise in creating international locations and international locations topic to worldwide sanctions; (j) legislative, judicial, fiscal and regulatory developments together with regulatory measures addressing local weather change; (okay) financial and monetary market circumstances in varied international locations and areas;                     (l) political dangers, together with the dangers of expropriation and renegotiation of the phrases of contracts with governmental entities, delays or developments within the approval of tasks and delays within the reimbursement for shared prices; (m) dangers related to the affect of pandemics, such because the COVID-19 (coronavirus) outbreak; and (n) modifications in buying and selling circumstances. No assurance is offered that future dividend funds will match or exceed earlier dividend funds. All forward-looking statements contained on this announcement are expressly certified of their entirety by the cautionary statements contained or referred to on this part. Readers shouldn’t place undue reliance on forward-looking statements. Extra danger components that will have an effect on future outcomes are contained in Shell plc’s Type 20-F for the yr ended December 31, 2021 (obtainable at www.shell.com/investor and www.sec.gov). These danger components additionally expressly qualify all forward-looking statements contained on this announcement and needs to be thought of by the reader. Every forward-looking assertion speaks solely as of the date of this announcement, February 2, 2023. Neither Shell plc nor any of its subsidiaries undertake any obligation to publicly replace or revise any forward-looking assertion because of new data, future occasions or different data. In mild of those dangers, outcomes may differ materially from these acknowledged, implied or inferred from the forward-looking statements contained on this announcement.

Shell’s Web Carbon Footprint

Additionally, on this announcement we might seek advice from Shell’s “Web Carbon Footprint” or “Web Carbon Depth”, which embody Shell’s carbon emissions from the manufacturing of our vitality merchandise, our suppliers’ carbon emissions in supplying vitality for that manufacturing and our prospects’ carbon emissions related to their use of the vitality merchandise we promote. Shell solely controls its personal emissions. Using the phrases Shell’s “Web Carbon Footprint” or “Web Carbon Depth” is for comfort solely and never meant to counsel these emissions are these of Shell plc or its subsidiaries.

Shell’s Web-Zero Emissions Goal

Shell’s working plan, outlook and budgets are forecasted for a ten-year interval and are up to date yearly. They mirror the present financial atmosphere and what we are able to fairly count on to see over the following ten years. Accordingly, they mirror our Scope 1, Scope 2 and Web Carbon Footprint (NCF) targets over the following ten years. Nevertheless, Shell’s working plans can not mirror our 2050 net-zero emissions goal and 2035 NCF goal, as these targets are presently outdoors our planning interval. Sooner or later, as society strikes in direction of net-zero emissions, we count on Shell’s working plans to mirror this motion. Nevertheless, if society just isn’t internet zero in 2050, as of at present, there can be important danger that Shell might not meet this goal.

The content material of internet sites referred to on this announcement doesn’t kind a part of this announcement.

We might have used sure phrases, resembling sources, on this announcement that america Securities and Trade Fee (SEC) strictly prohibits us from together with in our filings with the SEC. Traders are urged to think about intently the disclosure in our Type 20-F, File No 1-32575, obtainable on the SEC web site www.sec.gov.

The monetary data introduced on this announcement doesn’t represent statutory accounts inside the that means of part 434(3) of the Firms Act 2006 (“the Act”). Statutory accounts for the yr ended December 31, 2021 have been revealed in Shell’s Annual Report and Accounts, a duplicate of which was delivered to the Registrar of Firms for England and Wales, and in Shell’s Type 20-F. The auditor’s report on these accounts was unqualified, didn’t embody a reference to any issues to which the auditor drew consideration by the use of emphasis with out qualifying the report and didn’t comprise an announcement below sections 498(2) or 498(3) of the Act. The statutory accounts for the yr ended December 31, 2022 can be delivered to the Registrar of Firms for England and Wales sooner or later.

The knowledge on this announcement doesn’t represent the unaudited condensed consolidated monetary statements that are contained in Shell’s fourth quarter 2022 unaudited outcomes obtainable on www.shell.com/traders.

CONTACTS

• Media: Worldwide +44 207 934 5550; USA +1 832 337 4355