The British-Dutch oil and gas frim, Royal Dutch Shell, has revealed its results from the final quarter of 2017, and its over-all results from the year.
“2017 was a year of strong financial performance for Shell. A year of transformation, in which we showed we have what it takes to deliver a world-class investment case,” stated Ben van Beurden, CEO of Royal Dutch Shell.
“Our relentless focus on value, performance and competitiveness meant we were able to deliver $39 billion of cash flow from operations excluding working capital movements from our upgraded portfolio.”
“We strengthened our financial framework during the year through an $8 billion reduction in our net debt, while our increased free cash flow generation gave us the confidence to cancel the scrip dividend programme in the fourth quarter, in line with what we said previously.”
The oil and gas firm recorded its full years earnings, on a current cost of supplies (CCS), as US$15.8bn, excluding identified items.
This is a 119% increase from 2016’s total of $7.2bn.
Also, with same exclusions and on a CSS basis, Shell earnt $4.3bn between October and December last year, up from $1.8bn the previous year.
The company announced that gearing towards the end of 2017 only hit 24.8%, down from 28% in the same review period of 2016, reducing net debt by $8bn.
In terms of oil and gas, Shell also produced 3.66mn barrels of oil equivalent per day.
“We reported strong earnings for the quarter underpinned by continued delivery momentum. Cash flow reflected higher tax payments and increased cash requirements in relation to our trading business,” van Beurden added.
“We enter 2018 with continued discipline and confidence, committed to the delivery of strong returns and cash.”