Shell Plc · LSE:SHEL
Shell — Royal Dutch Shell — Investor Presentation (September 2018)
10 slides from Shell's investor presentation, September 2018
Slide 1: Retail Wealth Management Investor Presentation
Retail Wealth Management Investor Presentation Royal Dutch Shell plc September 2018
Slide 2: Definitions & cautionary note
Operating costs are defined as underlying operating expenses, which are operating expenses less identified items. Organic free cash flow is defined as free cash flow excluding inorganic capital investment and divestment proceeds. Clean CCS ROACE (Return on Average Capital Employed) is defined as def
Slide 3: Industry context: shifts in the energy landscape
Industry context Substantial & long lasting shifts in energy landscape Population Vehicles Rising standards Nearly 10 billion people by 2050, 2 billion vehicles by 2060 Many millions of people will rise with 67% living in cities (~0.8 billion today) out of energy poverty; with higher (~2.6 billion m
Slide 4: Strategy: Key messages
Strategy Key messages Thrive in Confidence in free cash flow outlook - $25-30 billion per the energy transition year by 20201 Grow free cash flow per share from 2020 to 2025 $25 billion share buyback programme launched2 World-class investment case Focus on capital discipline in line with fin
Slide 5: Investment priorities & strategic intent
Today by 2020 Investment priorities & Cash engines (FCF >0) strategic intent Funds dividends and balance sheet Competitive and resilient OIL INTEGRATED CONVENTIONAL Strong free cash and returns PRODUCTS GAS OIL & GAS Growth priorities (FCF ~0) Emerging cash engines Affordable growth in adv
Slide 6: Cash momentum
Cash momentum Project start-ups 2014 to 2020 Total cash flow $ billion cash flow per annum $ billion 52 44 54 64 ~651 $/bbl ~$10 billion New projects cash delivery on track Confidence in 2020 free cash flow CFFO1 Cash flow from operations (excluding working capital movements) outlook 2018 YTD es
Slide 7: Cash flow priorities
Financial framework Cash flow priorities 1 2 3 Priorities Buybacks Debt reduction Dividends & capital for cash investment Continue to reduce gearing Cancel scrip dividend Buy back shares Progress towards a world-class investment case Increase shareholder distributions Royal Dutch Shell September 201
Slide 8: Financial summary
Financial Earnings & ROACE Cash flow summary $ billion % $ billion Upstream Downstream CFFO CFFI FCF Integrated Gas Corporate + NCI ROACE (RHS) Divestments Net debt & gearing $ billion $ billion % Net debt Gearing (RHS) Earnings and ROACE on CCS basis, excluding identified items. Divestments: headli
Slide 9: Transformation: World-class investment case
Transformation: World-class 2013-2015 Q2’18 2019-2021 investment case average 4Q rolling average ROACE1 8% ~6% ~10% Organic free cash $5 billion p.a. ~$13 billion $25-30 billion p.a. flow Brent ~$90 ~$64 ~$602 “We are reshaping Shell into a more focused and resilient company” Ben van Beurden FCF g
Slide 10: Royal Dutch Shell September 2018
Royal Dutch Shell September 2018
Royal Dutch Shell — Investor Presentation (September 2018) on 6ix