Royal Dutch Shell (RDS-A) Reports Q1 EPS of $0.22

Royal Dutch Shell (NYSE: RDS-A) reported Q1 EPS of $0.22, versus $1.52 reported last year.

Royal Dutch Shell Chief Executive Officer Ben van Beurden commented:

"Shell's integrated activities differentiate us, with our Downstream and Integrated Gas businesses delivering strong results and underpinning our financial performance despite continued low oil and gas prices.

We continue to reduce our spending levels, to capture cost opportunities and manage the financial framework in today's lower oil price environment. The combination with BG is off to a strong start, as a result of detailed forward planning before the completion of the transaction. This will likely result in accelerated delivery of the synergies from the acquisition, and at a lower cost than we originally set out.

Putting all of this together, capital investment in 2016 is clearly trending toward $30 billion, compared to previous guidance of $33 billion, and some 36% lower than combined Shell and BG investment in 2014.

Annual operating expenses excluding identified items are trending towards a run rate of $40 billion compared with 2014 combined spend of around $53 billion.

In practice, we expect to absorb BG's capital investment and operating expenses during 2016, with no net increase overall, compared with Shell stand alone in 2015.

We will continue to manage spend, through dynamic decision-making across the organisation, taking advantage of opportunities from both the deflating market and the two companies coming together.

The completion of the BG deal has reinforced our strategy and strength against the backdrop of hugely challenging times for our industry. For Shell and our shareholders, this is a unique opportunity to reshape and simplify the company."

For earnings history and earnings-related data on Royal Dutch Shell (RDS-A) click here.

You May Also Be Interested In

• Tesla plans 'flying' Roadster stunt at SpaceX Texas site as early as August
• Star Equity Holdings (STRR) Misses Q2 EPS by 8c
• Reading (RDI) Tops Q2 EPS by 4c