Shell PLC's stock plummeted 5.00% during Thursday's intraday trading session, reflecting investor disappointment following the company's latest financial results.
The sharp decline came after Shell reported fourth-quarter 2025 adjusted earnings of $3.26 billion, missing analyst expectations of $3.51 billion. This represents the company's weakest quarterly profit since early 2021, pressured by lower crude oil prices, unfavorable tax adjustments, and significantly weaker oil trading performance that the company had previously flagged.
Shell's chemicals division reported a loss of $66 million during the quarter, offsetting strength in other segments. Higher operating costs and declining reserve life also contributed to investor concerns, despite the company maintaining its $3.5 billion quarterly buyback program and increasing its dividend by 4%.