Shell Doubles Earnings to $9.84 Billion with Record Refinery Utilization in Q2 2026

Shell reported adjusted earnings of $9.84 billion in the second quarter of 2026, more than double the $4.26 billion recorded in the same period of 2025. The result, the second highest in the company's history, was driven by rising crude prices tied to the conflict in the Middle East and record refinery utilization of 102 percent.

Brent crude climbed from $61 per barrel in January to peaks of $126 in April, following attacks by the United States and Israel against Iran in late February and the effective blockade of the Strait of Hormuz, according to The Guardian. The disruption of maritime routes in the Persian Gulf produced some of the most pronounced price swings in energy markets. Shell, with one of the world's largest commodity trading capacities, captured extraordinary margins in both crude and refined products, CNBC reported. For the Gulf of Mexico basin, the price shock expands refining margins at assets on the U.S. Gulf Coast, from which Shell supplies fuel markets in Mexico and Latin America.

Shell's global indicative refining margin rose to $24 per barrel, up from $17 in the first quarter, and the chemical margin doubled to $270 per tonne. The chemicals and products division contributed $2.877 billion in adjusted earnings, its best result since 2021. The liquefied natural gas (LNG) business generated $2.7 billion, a 55 percent year-on-year increase, despite a 30 percent decline in production due to damage at its Qatar plant attributed to Iranian drones. Record production in Brazil and operating cash flow of $21.4 billion rounded out the quarter. Chief Executive Wael Sawan attributed the performance to the company's trading capabilities and described the results as very strong.

Shell maintained its share buyback program at $3 billion for the next quarter, the nineteenth consecutive quarter at that level, and reduced net debt to $41.75 billion from $52.6 billion at the end of the first quarter. The capital expenditure outlook for 2026 remains in a range of $24 billion to $26 billion, in an environment where prices continue to depend on how the Middle East conflict evolves.

This article was written with artificial intelligence assistance from verified sources and reviewed by a human editor before publication.