The oil giant reported adjusted profit of $6.92 billion for the first three months of the year, beating analysts' expectations of $6.1 billion, according to a consensus compiled by LSEG. A separate analyst forecast released by the company had estimated Shell would make a profit of $6.36 billion in the first quarter.
Shell reported adjusted earnings of USD 5.58 billion in the same period last year and USD 3.26 billion in the last three months of last year, SEEbiz reports.
"Shell delivered strong results thanks to our relentless focus on operational performance during a quarter marked by unprecedented disruptions in the global energy market," said Shell CEO Wael Sawan.
These results come as energy giants are seeing significant share price gains, while fossil fuel prices have been rising since the start of the war against Iran, led by the United States and Israel, on February 28.
Continued and serious disruptions in the strategically important Strait of Hormuz have led to what the International Energy Agency has described as the greatest threat to energy security in history.
Oil prices have risen about 40% since the start of the Iran war, although futures for Brent crude and U.S. West Texas Intermediate crude fell sharply in the previous trading session on hopes that the conflict could be ended.
Last month, Shell announced it had agreed to buy Canadian energy company ARC Resources in a deal worth US$16.4 billion, including net debt and leases, to boost production.
Sawan described ARC Resources, which is focused on the Montney shale basin in the Canadian provinces of British Columbia and Alberta, as a “high-quality, low-cost and leading low-carbon producer” that will strengthen the company’s resource base for decades.
Shell shares, listed on the London Stock Exchange, have risen about 17 percent since the start of the year, but still lag behind shares in companies such as BP, TotalEnergies, ExxonMobil and Chevron.
