Shell raises quarterly buybacks to $5bn as profit doubles to $10.8bn

Shell announced on 29 October that it was increasing its planned quarterly share buybacks from $3 billion to $5 billion. The oil and gas company reported adjusted profit of $10.8 billion for July–September 2026, up from $5.432 billion in the same quarter of 2025.

The quarterly profit was Shell’s highest since 2022. The Guardian linked the increase to the Middle East conflict, which caused energy shortages and drove up oil and gas prices.

A share buyback means a company pays shareholders cash in exchange for its own shares. The additional $2 billion would therefore go to shareholders who sell shares through Shell’s programme.

Adjusted earnings beat expectations

Shell’s $10.8 billion result exceeded analysts’ expectation of $10.33 billion and its second-quarter profit of $9.836 billion. These comparisons concern adjusted profit, not net profit.

Higher energy prices accompanied the earnings increase. Shell also told investors in October, before releasing its results, that it expected higher refining margins—the profit margin for each barrel of fuel produced. Its $42-a-barrel estimate was a forecast, not a reported realised margin.

The conflict also disrupted Shell’s production. Severe damage to a key gas-processing facility in the Gulf contributed to a one-third fall from its prewar gas output of 900,000 barrels of oil equivalent a day, a unit used to compare the energy content of gas and oil.

Chief executive Wael Sawan said Shell’s focus on operational performance enabled the results during severe disruption to the global energy system. Greenpeace senior campaigner Philip Evans criticised the profits, saying oil executives were benefiting while communities faced storms, floods and rising costs.

Shell plans to carry out the $5 billion of share buybacks over the next three months.