Shell Plc to Return $23 Billion to Shareholders in 2023

On Thursday, Shell Plc said it would return $23 billion to shareholders in 2023. Wael Sawan, the company's chief executive officer, announced this.

The company chief stated that Shell will increase its dividends by 4% per its progressive dividend policy.

He said,

• In 2023, Shell returned $23 billion to shareholders, per our progressive dividend policy. Shell is now increasing its dividend by 4%. We are also commencing a $3.5 billion buyback programme for the next three months.

• It was reported that Shell adjusted its Q3 2023 to $7.3 billion, which the CEO said "reflected robust operational performance and strong LNG trading and optimisation results."

This was reportedly a 17% increase compared to $6.2 billion in adjusted earnings in Q3 2023.

Shell's cash flow operations for the last quarter were $12.6 billion, which signifies a 2% rise from the result of Q3.

The CEO stated that the 2023 full-year shareholder distributions of $23 billion were more than 40% of CFFO for 2023, which is $54.2 billion.

According to  a statement by Shell on its fourth quarter 2023 and full-year unaudited results, 

The year 2023 income attributable to Shell PLC shareholders, compared with the full year 2022, reflected lower realised oil and gas prices, lower volumes, and lower refining margins, partly offset by higher LNG trading and optimisation margins and higher marketing margins.

The full-year 2023 income attributable to Shell plc shareholders also included net impairment charges and reversals of $6.2bn and unfavourable movements of $1.3bn due to the fair value accounting of commodity derivatives.

These charges and unfavourable movements are included in the identified items, amounting to a net loss of $8.2 billion. This compares with specified items in 2022, which amounted to a net gain of $1.2 billion.