- Shell
- 12 March 2026 13:16:39
Source: Sharecast
Wael Sawan earned a total pay package of £13.8m for 2025, an increase of almost 60% from £8.6m the prior year.
The remuneration included £1.9m in salary, pension and benefits and roughly £11.8m in bonuses, comprising a £2.7m annual bonus and a £9.1m share award linked to long-term performance targets.
It reportedly reflected the first year Sawan was eligible to receive the full value of long-term share awards introduced when he became chief executive in 2023, which vest after a three-year period, according to the reports.
The higher pay came despite weaker earnings at the oil giant.
Shell reported a 22% decline in annual profits for 2025, with adjusted earnings falling to $18.5bn from $23.7bn a year earlier.
The decline followed weaker oil prices during much of the year and a sharp drop in profits in the final quarter, when earnings fell 40% quarter-on-quarter.
Shell said Sawan’s compensation was appropriate for the leader of a major global energy company and noted that roughly 80% of his target remuneration is tied to performance.
The company added that shareholder returns had remained strong since he took over as chief executive in 2023.
Shell’s annual report also outlined proposals to revise its executive remuneration policy, which shareholders would vote on at the company’s annual general meeting in May.
The proposed changes would increase the potential size of long-term incentive awards, allowing Sawan to receive stock awards worth up to nine times his base salary if performance targets are met.
Under the proposed structure, the chief executive’s total potential pay package could reach as much as £27.5m including bonuses.
The company said the policy update was part of the standard three-year cycle for executive remuneration reviews required for UK-listed companies.
Shares in Shell had risen strongly over the past year, gaining more than 26%, including a recent rally driven by higher oil and gas prices linked to tensions in the Middle East.
At 1258 GMT, shares in Shell were up 1.08% at 3,279p.
Reporting by Josh White for Sharecast.com.
