Shell falls into $6.1 billion lossStaff writer ▼ | October 29, 2015
Royal Dutch Shell’s third quarter 2015 earnings, on a current cost of supplies (CCS) basis, were a loss of $6.1 billion compared with a gain of $5.3 billion for the same quarter a year ago.
Royal Dutch Shell Q3 identified items were $7.9 billion
Third quarter 2015 CCS earnings excluding identified items were $1.8 billion compared with $5.8 billion for the third quarter of 2014, a decrease of 70%. Earnings were impacted by non-cash charges of some $1 billion related to adverse currency exchange rate effects on deferred tax positions and financing items which were not included as identified items.
Compared with the third quarter 2014, CCS earnings excluding identified items included improved Downstream and lower Upstream results. In Downstream, earnings benefited from steps taken by Shell to improve financial performance and from higher realised refining margins.
Upstream earnings were negatively impacted by lower oil and gas prices, partly offset by lower costs, increased production volumes and improved operational performance.
Basic CCS earnings per share excluding identified items decreased by 70% versus the third quarter 2014.
Cash flow from operating activities for the third quarter 2015 was $11.2 billion, compared with $12.8 billion for the same quarter last year. Excluding working capital movements, cash flow from operating activities for the third quarter 2015 was $5.3 billion, compared with $11.1 billion for the third quarter 2014.
Total dividends distributed to Royal Dutch Shell plc shareholders in the quarter were $3.0 billion, of which $0.7 billion were settled under the Scrip Dividend Programme. No shares were bought back during the third quarter.
Gearing at the end of the third quarter 2015 was 12.7%.
A third quarter 2015 dividend has been announced of $0.47 per ordinary share and $0.94 per American Depositary Share (ADS). ■