Shell's Strong Q1 Performance Should Lead to Greater Shareholder Returns

Shell reported first-quarter results that surpassed market expectations and demonstrated further improvement from previous quarters. Thanks to high oil and natural gas prices during the quarter and strong trading results, adjusted earnings soared to $9.1 billion from $3.2 billion a year ago. Adjusted earnings exclude a $3.9 billion posttax charge related to the decision to exit Russia. Operating cash flow before working capital improved materially to $22.2 billion from $12.7 billion last year, resulting in organic free cash flow of $10.3 billion. Ongoing capital discipline and cost-reduction efforts continued to deliver higher earnings and cash flow than in the past at similar commodity price levels.