Shell: increases outlook for organic free cash flow.
(CercleFinance.com) - Royal Dutch Shell has increased its outlook for organic free cash flow, after its consistent strength over the past five quarters, with the oil company updating investors on its strategy this Tuesday.
The outlook for annual organic free cash flow has been increased from 25 billion dollars to 30 billion dollars by 2020 at a Brent crude oil price of 60 dollars per barrel, the group said.
This is 5 billion dollars more than the outlook Shell provided at its capital markets day in June 2016.
The oil major also aims to reduce the net carbon footprint of its energy products, in line with the Paris agreement goals, although the most important news is perhaps the cancellation of its scrip dividend, effective from the fourth quarter 2017.
The cancellation means that the fourth quarter 2017 interim dividend, as well as future dividends, will be settled entirely in cash, rather than the company offering a share-based alternative.
Shell A shares, which are listed on Euronext Amsterdam, were reacting positively to these announcements, adding 2.5% at 26.6 euros in early morning trading today.
Copyright (c) 2017 CercleFinance.com. All rights reserved.
The outlook for annual organic free cash flow has been increased from 25 billion dollars to 30 billion dollars by 2020 at a Brent crude oil price of 60 dollars per barrel, the group said.
This is 5 billion dollars more than the outlook Shell provided at its capital markets day in June 2016.
The oil major also aims to reduce the net carbon footprint of its energy products, in line with the Paris agreement goals, although the most important news is perhaps the cancellation of its scrip dividend, effective from the fourth quarter 2017.
The cancellation means that the fourth quarter 2017 interim dividend, as well as future dividends, will be settled entirely in cash, rather than the company offering a share-based alternative.
Shell A shares, which are listed on Euronext Amsterdam, were reacting positively to these announcements, adding 2.5% at 26.6 euros in early morning trading today.
Copyright (c) 2017 CercleFinance.com. All rights reserved.