Shell reports 73% slump in profits
Royal Dutch Shell today warned of a long haul to recovery after the oil giant reported a 73% slide in profits between July and September.
The Anglo-Dutch company said third quarter earnings fell to US$2.99bn (€2.02bn) as a result of weaker oil prices and the ailing global economy.
Chief executive Peter Voser said there were indications that energy demand and pricing were picking up, but said the outlook remained uncertain and that his company had ruled out a quick recovery in trading conditions.
As part of a previously announced restructuring programme, Shell added that around 5,000 staff will have left the company by the end of the year. It reduced operating costs by $1bn (€678.64m) in the first nine months of the year.
Mr Voser added: "Our strategy remains on track, although the near-term industry outlook remains challenging."
Today's figures were ahead of market expectations, but the upside was far short of the margin by which BP results exceeded City hopes on Tuesday.
