Energy major Shell warned on Thursday it expected to post a loss in its chemicals and products division in the fourth quarter, but left guidance for the rest of the business largely unchanged.
Shell
08 January 2026 08:45:52
Source: Sharecast
Posting its fourth-quarter outlook, the blue chip said it expected the indicative chemicals margin to fall to $140 per tonne from $160 tonne in the previous three months, adding: "The chemicals sub-segment adjusted earnings are expected to be a significant loss, reflecting a non-cash deferred tax adjustment in a joint venture."
As a result, fourth-quarter adjusted earnings across the chemicals and products division are now expected to be "below breakeven".
Trading and optimisation was also forecast to be "significantly lower" than the third quarter.
However, oil-focused upstream production was expected to remain within guidance, for between 1.84m barrels of oil equivalent per day and 1.94m boed. Shell produced 1.83m boed in the third quarter.
Integrated gas production was forecast to come in between 930,000 boed and 970,000 boed, compared to 934,000 boed in the previous quarter.
LNG’s forecast production was narrowed slightly, to between 7.5m tonnes and 7.9m tonnes, although it remained within the previous forecast range of 7.4m to 8m.
As at 0845 GMT, shares in Shell - which is due to post fourth quarter results on 5 February - were down 1% at 2,623.5p.
If you're looking to grow your money over the longer term (5+ years), we have a range of investment choices to help.
Lloyds Bank is not responsible for the content and accuracy of the Markets News articles. We may not share the views of the author. Understand the risks, please remember the value of your investment can go down as well as up and you may not get back the full amount you invest. We don't provide advice so if you are in any doubt about buying and selling shares or making your own investment decisions we recommend you seek advice from a suitably qualified Financial Advisor. Past performance is not a guide to future performance.
Important legal information
Lloyds and Lloyds Bank are trading names of Halifax Share Dealing Limited. The Lloyds Bank Direct Investments Service is operated by Halifax Share Dealing Limited. Registered Office: Trinity Road, Halifax, West Yorkshire, HX1 2RG. Registered in England and Wales no. 3195646. Halifax Share Dealing Limited is authorised and regulated by the Financial Conduct Authority, 12 Endeavour Square, London, E20 1JN under registration number 183332. A Member of the London Stock Exchange and an HM Revenue & Customs Approved ISA Manager.
The information contained on this website and in the tools, data, prices, news, charts, fundamentals and other content made available through it is provided by Communify Europe Limited, unless expressly stated otherwise.
The information is provided for informational purposes only. It does not constitute investment advice, a personal recommendation, investment research, a research recommendation, an invitation or inducement to engage in investment activity, or a recommendation to buy, sell or hold any share, company, fund, investment vehicle or other financial instrument. Communify Europe Limited does not assess the suitability or appropriateness of any investment for any user.
The information is based on sources that Communify Europe Limited considers reliable. However, Communify Europe Limited does not guarantee that the information is accurate, complete, current, uninterrupted, secure or error-free. Prices, quotes and trades may be delayed by at least fifteen minutes unless expressly stated to be provided in real time.
Past performance is not an indicator of future performance. Communify Europe Limited does not guarantee the return of any investment or the performance of any security, company, investment vehicle, index, underlying asset or market. The value of investments may rise or fall, and investors may lose all or part of the amount invested.
To the extent permitted by applicable law, Communify Europe Limited will not be liable for any loss or damage arising from use of the information contained on this website. Nothing in this notice excludes or limits liability for fraud, death or personal injury caused by negligence, breach of the duty to provide services with reasonable care and skill, or any other liability that cannot be excluded or limited under applicable law. Terms and conditions apply.
Data provided by FE fundinfo. Care has been taken to ensure that the information is correct, but FE fundinfo neither warrants, represents nor guarantees the contents of information, nor does it accept any responsibility for errors, inaccuracies, omissions or any inconsistencies herein. Past performance does not predict future performance, it should not be the main or sole reason for making an investment decision. The value of investments and any income from them can fall as well as rise.
