Shell Plc · LSE:SHEL

Shell — Royal Dutch Shell — Q3 2019 Earnings Presentation

24 slides from Shell's earnings presentation, Oct 31, 2019

  1. Slide 1: Third Quarter 2019 Results

    THIRD QUARTER ; a > ae Z + cae AUULYLENLUULVLLAT 2019 RESULTS { 7 t | i tt <i ie Delivering a world-class investment case Royal Dutch Shell ple October 31, 2019 #MakeTheFuture

  2. Slide 2: Jessica Uhl, Chief Financial Officer

    Jessica Uhl Chief Financial Officer @Q Foyat Dutch shell | October 31, 2019

  3. Slide 3: Definitions & cautionary note

    Definitions & cautionary note Gearing is defined as net debt (current and non-current debt less cash and cash equivalents, adjusted for the fair value of derivative financial instruments used to hedge foreign exchange and interest rate risks relating to debt, and associated collateral balances) asa

  4. Slide 4: Key messages

    Key messages Thrive in = Q3 2019 the energy Continued strong cash flow generation transition Strong earnings driven by Integrated Gas and Oil Products Macro environment continues to be challenging = Business delivery World-class Resilient value creation from leading LNG portfolio investment case Mar

  5. Slide 5: Progressing delivery for 2019-20

    Q3 2019 Progressing delivery for 2019-20 WJ) Royal Dutch Shell | er 31, 2019 Project delivery 2 4 FIDs Startups = Final investment decisions taken: = Pierce Depressurisation, 8h UK Continental Shelf FID since 2018, peak production >30 thousand boe/d = PowerNap tie-back in the US Gulf of Mexico, unlo

  6. Slide 6: Financial highlights: summary

    Q3 2019 average Brent Q3 2019 9 price: $62/bbl Financial highlights: summary Cash flow fi ti Seen ation excluding working capital --$12-Tbillion —_—_» Positive working capital movements of $0. billion Free cash flow $10.1 billion = Of which $6.6 billion organic free cash flow Returns Earnings $4.8 b

  7. Slide 7: Earnings bridge Q2 2019 to Q3 2019

    6 0.5 0.5 (0.1) (1.0) (0.1) 4 (0.4) (0.2) 5.6 4.8 2 0

  8. Slide 8: Cash flow from operations bridge

    16 14 ~1 0.1 0.2 12 (2.3) (0.4) (0.5) (0.4) 10 8 14.7 6 12.1 4 2 0

  9. Slide 9: Returns, gearing and cash capital expenditure trends

    25 10 60 100 30 20 8 75 40 20 15 6 50 10 4 20 10 5 2 25 0 0 0 0 0 -5 -2 2015 2016 2017 2018 19Q3 2015 2016 2017 2018 19Q3 -20 2015 2016 2017 2018 19Q3 4QR 4QR ◼ ◼ ◼ ◼ ◼ ◼ ◼ ◼

  10. Slide 10: Outlook: organic free cash flow

    Outlook Organic free cash flow progressing towards 2020 outlook Organic free cash flow $ billion = 2020 outlook at $60 per barrel real terms 2016, mid-cycle 35 Downstream 30 = Progressing towards 2020 outlook of $28-33 billion organic os free cash flow ~21 20 5 = Normalised organic free cash flow ex

  11. Slide 11: Integrated Gas

    Integrated Gas Resilient value creation from leading LNG portfolio LNG spot vs. contract pricing Portfolio composition LNG sales in 2018 (mtpa) $ per MMBtu $ per barrel 75 pee eee He ee ee eee eee 7 -_-c- --an 80 f discreti ! ~ ° vaa----e eS sto” ae 4 @ ~-7 60 50 8 40 25 4 20 0) 0 0) Sources Deliver

  12. Slide 12: Marketing: new revenues

    New revenues Retail Delivering on > 1,500 new convenience stores Shell Select offer available across China Added 400 new Shell lubricant service bays growth 10% higher global nonfuels margin strategy in 2019 vs. 2017 Resilient sectors > 8 million active cards in the past 12 months Leading role in th

  13. Slide 13: Key messages: world-class investment case

    Royal Dutch Shell | Thrive in the energy transition World-class investment case Strong licence to operate = Q3 2019 Continued strong cash flow generation Strong earnings driven by Integrated Gas and Oil Products Macro environment continues to be challenging = Business delivery Resilient value creati

  14. Slide 14: Jessica Uhl, Chief Financial Officer

    Jessica Uhl Chief Financial Officer @Q Foyat Dutch shell | October 31, 2019

  15. Slide 15: Slide 15

  16. Slide 16: Outlook

    Outlook Q4 2019 outlook Integrated Gas = Production is expected to be 920-970 thousand boe/d = LNG liquefaction volumes are expected to be 8.8-9.4 million tonnes Upstream = Production is expected to be 2,650-2,800 thousand boe/d Downstream = Refinery availability is expected to be 87%-92% = Oil Prod

  17. Slide 17: Refining margins by region

    US West Coast US Gulf Coast coking Western Europe naphtha Rotterdam complex NE/SE Asia naphtha Singapore

  18. Slide 18: Choice Environment

    Environment Choice 0.1 0.2 ~ (0.1) (0.1)

  19. Slide 19: Choice Environment

    Environment Choice ~ 0.5 (0.2) (0.2) (0.3)

  20. Slide 20: Downstream results

    Q3 2019 Downstream results W Royal Dutch Shell | Earnings Q3 2018 to Q3 2019 Earnings mix $ billion $ billion 3 10 2016 2017 2018 @3 2019 4Q rolling Marketing Refining & Trading i Chemicals Individual categories presented excluding IFRS 16 impact; IFRS 16 impact on individual categories: Refining &

  21. Slide 21: Financial highlights: IFRS impact

    Q3 2019 Financial highlights: IFRS 16 impact Cash generation Returns Disciplined cash allocation Post-IFRS 16 Cash flow from operations amp excluding working capital $12.1 billion Free cash flow $10.1 billion Earnings $4.8 billion ROACE 8.1% Gearing 27.9% Cash capital expenditure $6.1 billion Share

  22. Slide 22:   P   ~  P  ~ ~  P 

      P   ~  P  ~ ~  P  P  P   P         P  P  P  P   P

  23. Slide 23: ~ ~  P  P  P   P   P

    ~ ~  P  P  P   P   P   P   P   P     P  P  P    P  P   P  P 

  24. Slide 24: ~ ~  P   P       P

    ~ ~  P   P       P      P   P   P  P  P   P  

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