LONDON (ICIS)--Shell’s third-quarter chemicals earnings were hit by the weak price environment compounded by the coronavirus pandemic, the Anglo-Dutch energy major said on Thursday.
|Shell ($/m)||Revenue||Change||Chemicals earnings*||Change||Chemicals adjusted earnings*||Change|
* Current cost of supply (CCS) basis
- Lower intermediates margins due to lower demand in most segments but relative strength in solvents and polyols
- Favourable deferred tax movements
- Chemicals plant utilisation at 80%, up from 78% in Q3 2019, a period of higher maintenance
- Group attributable net income for the third quarter was $489m, down sharply from $5.88m in Q3 2019.
- Lower realised oil and liquefied natural gas (LNG) prices
- Lower realised margins and production volumes compared with Q3 2019
- Partly offset by lower operating expenses, write-offs, depreciation and strong marketing margins
- Includes an impairment of $1.1bn