SHEL Shell plc
Price Chart
Executive Summary
Shell reported Q1 2026 EPS of $1.01, a 54% miss versus consensus of $2.21, and revenue of $69.7B, 13% below estimates. The weak quarter was driven by large working capital outflows, fair value accounting losses on derivatives, and a non-cash lease liability increase from the Middle East conflict. Net debt rose to $52.6B and gearing increased to 23.2%, though a $3.0B buyback was announced.
Key Financial Metrics
Actionable Insight
The severe earnings miss and deteriorating balance sheet suggest downside risk. Monitor for potential guidance cuts and the impact of the ARC acquisition on leverage. The $3B buyback may provide a floor, but fundamentals are weak near-term.
Key Facts
- Q1 2026 EPS $1.01 (GAAP basic) vs consensus $2.21, miss of 54%
- Revenue $69.7B vs consensus $80.4B, miss of 13%
- Net debt increased to $52.6B from $45.7B, gearing rose to 23.2%
- Identified items net loss of $2.4B, including $2.4B from commodity derivative fair value adjustments
- Lease liabilities increased $3.2B non-cash due to Middle East conflict impact on shipping indexes
- Cash flow from operations $6.1B, but free cash flow only $2.9B after investing outflows
- Share buyback of $3.0B announced; $3.2B completed in Q1
- ARC Resources acquisition for $13.6B expected to close H2 2026
Financial Impact
EPS miss of $1.20 per share vs consensus, revenue shortfall of $10.6B; net debt up $6.9B sequentially
Risk Factors
- Continued Middle East disruption further impacting LNG and refining margins
- Integration and financing risk from the ARC acquisition
- High gearing limits financial flexibility; potential credit rating action
- Large derivative losses may recur under volatile commodity prices
Market Snapshot
Documents Analyzed
This report is based on 1 press release from GlobeNewswire.
| Document | Accession Number |
|---|---|
| PRESS-RELEASE Data (Synthetic) | press-3289609 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
|
May 19, 2026
1d ago
|
Press Release
| $88.10 awaiting T+5 | awaiting T+5 | — | $86.72 (−1.57%) |
|
May 14, 2026
6d ago
|
Press Release
| $84.83 awaiting T+5 | awaiting T+5 | — | $86.72 (+2.23%) |
|
May 14, 2026
6d ago
|
Press Release
| — | awaiting T+5 | — | — |
|
May 11, 2026
9d ago
|
Press Release
| $85.36 $88.59 | ▲ +3.78% | ▲ +3.87% | $86.72 (+1.59%) |
|
May 7, 2026
13d ago
|
Press Release
| $84.24 $84.93 | ▲ +0.82% | ▼ −0.69% | $86.72 (+2.94%) |
|
May 7, 2026
13d ago
|
Press Release
| $84.24 $84.93 | ▲ +0.82% | ▼ −0.69% | $86.72 (+2.94%) |
|
May 7, 2026
13d ago
|
Press Release
| $84.24 $84.93 | ▲ +0.82% | ▼ −0.69% | $86.72 (+2.94%) |
|
May 7, 2026
13d ago
|
Press Release
| $84.24 $84.93 | ▼ −0.82% | ▲ +0.69% | $86.72 (−2.94%) |
|
Apr 27, 2026
23d ago
|
Press Release
| $86.91 $89.26 | ▲ +2.70% | ▲ +2.30% | $86.72 (−0.22%) |
|
Apr 13, 2026
5w ago
|
Press Release
| $92.60 $88.00 | ▼ −4.97% | ▼ −8.26% | $86.72 (−6.35%) |
US Market Status
Subscribe to SecBot
Get Real-Time SEC Filing Intelligence
Comprehensive SEC filing analysis delivered the moment filings hit EDGAR. Sentiment scoring, impact analysis, and actionable insights for every material event.
Try SecBot Free Coming soon: SecBot Pro with alerts, watchlists, and API access