Shell Profit Jumps to $10.81B as Refining Margins Break Record

Global energy markets remain unsettled, and Shell's third-quarter results released Thursday show how that volatility is translating into earnings. The company reported adjusted profit of $10.81 billion for the July to September period, up from $5.43 billion in the same quarter of 2025. That figure exceeded the $9.92 billion consensus of analyst estimates compiled by LSEG.

The company's indicative refining margin reached $42 per barrel during the quarter, surpassing the prior record of $28.04 per barrel set in the second quarter of 2022. Crude prices have climbed sharply this year. Brent traded near $114 a barrel on Thursday, compared with about $65 a barrel at this time last year.

Shell's London-listed shares rose roughly 3% in morning trading to an all-time high. Free cash flow came in at $16.3 billion, up from $10 billion a year earlier. Net debt stood at $39.7 billion, down from $41.75 billion in the prior quarter. The company lowered its 2026 capital expenditure guidance to a range of $23 billion to $25 billion, from a prior range of $24 billion to $26 billion.

The timeline behind these figures runs through a series of supply disruptions. Exports from Gulf countries have been curtailed by the U.S.-Israeli war with Iran and attacks on ships in the Strait of Hormuz. A global shortfall in refining capacity, compounded by strikes on Russian refineries, has pushed up the cost of gasoline, diesel and jet fuel. The Group of Seven nations agreed earlier this month to release emergency diesel stocks as pump prices rise for consumers.

Shell CEO Wael Sawan pointed to "continued severe disruption to the global energy system" alongside the company's operational performance. The company also announced a $5 billion share buyback program to run over three months, up from $3 billion in the previous quarter. Shell completed a $16.4 billion acquisition of Canadian energy firm ARC during the period.

Maurizio Carulli, an equity research analyst at Quilter Cheviot Investment Management, said the reduction in net debt was notable given the ARC acquisition. He said he expects further "small bolt-on acquisitions" of attractive targets but no major reshaping of the portfolio ahead.

TotalEnergies reported adjusted net income of $9.1 billion for the third quarter, more than doubling from a year earlier. CEO Patrick Pouyanne attributed part of the gain to "historically high refining margins in Europe and worldwide."