Shell Unveils New Strategy: Higher Buybacks, Cost Cuts And 10% Annual Free Cash Flow Growth

On Tuesday, at Capital Markets Day 2025, Shell PLC (NYSE:SHEL) disclosed several strategic updates and investments.

The company plans to increase shareholder distributions from 30%-40% to 40%-50% of cash flow from operations (CFFO) throughout economic cycles.

In particular, the company expects to focus on share buybacks while maintaining a 4% annual progressive dividend policy.

Shell plans to prioritize high-margin growth in its Mobility and Lubricants businesses.

The company also seeks to capitalize on its competitive advantages by developing profitable and scalable ventures in low-carbon energy, with up to 10% of capital allocated to these initiatives by 2030.

Moreover, Shell plans to enhance ...