Shell Profits Fall on Prices, Outages, and Uncertainty

Shell reported a 32% decline in adjusted Q2 2025 earnings to $4.26 billion, with net profit for the first half falling 23% to $8.4 billion, mainly due to lower oil and gas prices, weaker trading, and chemical plant outages. The company attributed falling commodity prices to OPEC+ production increases and global economic uncertainty, including US tariffs and geopolitical tensions. Despite rising net debt and challenging conditions, Shell continued its $3.5 billion share buyback program and has cut costs by $3.9 billion since 2022. Investor sentiment was positive as shares rose following the results, underpinned by Shell's emphasis on operational efficiency and shareholder returns. Environmental activists criticized Shell's recent rollback of some decarbonization measures amid ongoing market volatility. Analysts noted that oil price increases could boost future performance, but geopolitical risks persist.