Shell plc announced on Tuesday that it intends to increase shareholder distributions from the current 30-40% to 40-50% of cash flow from operations.
In a press release ahead of Capital Markets Day 2025, the oil giant said it will maintain progressive dividends of 4% per year and increase free cash flow per share by over 10% annually through 2030. In addition, the company stated that it plans to cut its spending to $20-22 billion per year through to 2028 and elevate the structural cost reduction target from $2-3 billion by the end of 2025 to a cumulative $5-7 billion by the end of 2028.
"We want to become the world's leading integrated gas and LNG business and the most customer-focused energy marketer and trader, while sustaining a material level of liquids production. Today we are raising the bar across our key financial targets, investing where we have competitive strengths and delivering more for our shareholders," CEO Wael Sawan said.
