Oil giant Shell made nearly $1.7 billion more in profit than experts had expected in the first three months of the year, the company said on Thursday.
The business joined its rival BP in reporting expectations-beating results this week.
Shell said that its adjusted earnings had risen by 5.7 per cent compared to the same quarter a year earlier, reaching $9.6 billion.
The business said that compared to the last three months of 2022, it had faced unfavourable tax movements, and the price it was able to sell oil and gas at dropped.
In the first quarter of 2023, Shell generated strong results, navigating a volatile market with discipline and strength.
Hear more from Shell CFO Sinead Gorman. #ShellResults https://t.co/Cf4LlMxhcC pic.twitter.com/SMVouc6f64— Shell (@Shell) May 4, 2023
However, Shell said that it had managed to offset some of this through cutting operating expenses and a rise in its chemicals and products trading business.
Like its rival BP, Shell’s results immediately sparked calls for the British government to take a tougher stance against the oil majors.
Alexander Kirk, a campaigner at Global Witness, said: “Despite the glaringly obvious inequality at the heart of our energy system, the Government appears to be making the same mistakes all over again.
“The simple truth is that the windfall tax has not worked and new evidence has shown that through loopholes in the UK’s tax regime, UK taxpayers are handing oil and gas companies billions extra in tax rebates.”
