Shell Q2 profit more than doubles

Shell reported adjusted earnings of about $9.8 billion for the second quarter of 2026, with some disclosures citing a figure of $9.84 billion for the period from April to June. This result more than doubled the adjusted earnings recorded in the same quarter a year earlier and marked the company’s best quarterly performance since at least early 2023.

The London-listed energy group comfortably exceeded market expectations. Analyst estimates for adjusted earnings averaged $8.7–$8.79 billion, meaning the reported outcome delivered a substantial positive surprise against consensus forecasts.

Net profit for the three months ended in June was also reported at $9.84 billion, reinforcing the scale of the turnaround compared with the prior-year period. The company described the quarter as one of its strongest in recent years, reflecting favourable market conditions and internal performance.

Shell attributed the sharp jump in profit primarily to an oil-refining boom and another robust period for its energy trading and optimisation businesses. Higher refining margins and active trading in crude and refined products provided a major uplift to earnings in the quarter.

Wholesale energy prices have risen amid conflict in the Middle East, including the Iran war, supporting stronger profit margins and heightened trading activity. Management cited “severe disruption in global energy markets” as a backdrop that helped drive the strong performance of Shell’s trading desks.

The combination of elevated prices, refining strength and trading gains underpinned Shell’s ability to more than double earnings compared with a year earlier, even as broader market volatility persisted.

Shell maintained its existing $3 billion quarterly share buyback program alongside the stronger earnings outcome. The decision signals continuity in the company’s capital return approach despite heightened market volatility.

The company also kept its capital expenditure outlook for 2026 unchanged, reiterating planned spending in the range of $24 billion to $26 billion. This provides visibility on investment levels while markets remain unsettled.

Chief executive Wael Sawan described volatility as “the new normal” for energy markets, highlighting how Shell is operating under conditions of ongoing disruption. The second-quarter results indicate that the group’s integrated model, combining upstream, refining and trading, has so far enabled it to benefit from these conditions.