Shell plc: Difference between revisions
(Added infobox) |
|||
| Line 1: | Line 1: | ||
{{Infobox company|name=Shell plc|former_name=Royal Dutch Shell plc (2005-2022)|type=[[Public company|Public]]|traded_as={{Unbulleted list | {{Infobox company|name=Shell plc|former_name=Royal Dutch Shell plc (2005-2022)|type=[[Public company|Public]]|traded_as={{Unbulleted list | ||
| [[LSE:SHEL]] | | [[LSE:SHEL]] | ||
| Line 41: | Line 38: | ||
| [[Shell US]]}}|website={{URL|https://www.shell.com}}|footnotes=References: <ref> {{cite web |title=Shell begins trading under simpler, single-line share structure |url=https://www.reuters.com/business/energy/shell-begin-trading-under-simpler-single-line-share-structure-2022-01-31/ </ref>}} | | [[Shell US]]}}|website={{URL|https://www.shell.com}}|footnotes=References: <ref> {{cite web |title=Shell begins trading under simpler, single-line share structure |url=https://www.reuters.com/business/energy/shell-begin-trading-under-simpler-single-line-share-structure-2022-01-31/ </ref>}} | ||
marine fuel; produces and sells petrochemicals for industrial use; and manages oil sands activities. Further, the company produces base chemicals comprising ethylene, propylene, and aromatics, as well as intermediate chemicals, such as styrene monomer, propylene oxide, solvents, detergent alcohols, ethylene oxide, and ethylene glycol. Additionally, it generates electricity through wind and solar resources; produces and sells hydrogen; and provides electric vehicle charging services, as well as electricity storage. The company was formerly known as Royal Dutch Shell plc and changed its name to Shell plc in January 2022. Shell plc was founded in 1907 and is headquartered in London, the United Kingdom. | Shell plc operates as an energy and petrochemical company Europe, Asia, Oceania, Africa, the United States, and Rest of the Americas. The company operates through Integrated Gas, Upstream, Marketing, Chemicals and Products, and Renewables and Energy Solutions segments. It explores for and extracts crude oil, natural gas, and natural gas liquids; markets and transports oil and gas; produces gas-to-liquids fuels and other products; and operates upstream and midstream infrastructure necessary to deliver gas to market. The company also markets and trades natural gas, liquefied natural gas (LNG), crude oil, electricity, carbon-emission rights; and markets and sells LNG as a fuel for heavy-duty vehicles and marine vessels. In addition, it trades in and refines crude oil and other feed stocks, such ase low-carbon fuels, lubricants, bitumen, sulphur, gasoline, diesel, heating oil, aviation fuel, and marine fuel; produces and sells petrochemicals for industrial use; and manages oil sands activities. Further, the company produces base chemicals comprising ethylene, propylene, and aromatics, as well as intermediate chemicals, such as styrene monomer, propylene oxide, solvents, detergent alcohols, ethylene oxide, and ethylene glycol. Additionally, it generates electricity through wind and solar resources; produces and sells hydrogen; and provides electric vehicle charging services, as well as electricity storage. The company was formerly known as Royal Dutch Shell plc and changed its name to Shell plc in January 2022. Shell plc was founded in 1907 and is headquartered in London, the United Kingdom. | ||
== Industry Overview & Market Opportunity == | == Industry Overview & Market Opportunity == | ||
Revision as of 15:22, 5 July 2023
| Formerly | Royal Dutch Shell plc (2005-2022) |
|---|---|
| Type | Public |
| |
| ISIN | GB00BP6MXD84 |
| Industry | |
| Predecessor |
|
| Founded | April 1907 (original amalgamation) July 20, 2005 in Shell Centre, London (current entity) |
| Founder | Marcus & Samuel Samuel (Shell Transport and Trading Co.) Jean B.A. Kessler Henri Deterding Hugo Loudon (Royal Dutch Petroleum Co.) |
| Headquarters | Shell Centre, , England |
Area served | Worldwide |
Key people |
|
| Products | |
| Brands |
|
| Revenue |  US$381.3 billion (2022)[1] |
| US$68.0 billion (2022)[1] | |
| US$42.9 billion (2022)[1] | |
| Total assets | US$443.0 billion (2022)[1] |
| Total equity | US$192.6 billion (2022)[1] |
Number of employees | 86,000 (2022)[2] |
| Divisions | |
| Subsidiaries | |
| Website | |
| Footnotes / references References: [3] | |
Shell plc operates as an energy and petrochemical company Europe, Asia, Oceania, Africa, the United States, and Rest of the Americas. The company operates through Integrated Gas, Upstream, Marketing, Chemicals and Products, and Renewables and Energy Solutions segments. It explores for and extracts crude oil, natural gas, and natural gas liquids; markets and transports oil and gas; produces gas-to-liquids fuels and other products; and operates upstream and midstream infrastructure necessary to deliver gas to market. The company also markets and trades natural gas, liquefied natural gas (LNG), crude oil, electricity, carbon-emission rights; and markets and sells LNG as a fuel for heavy-duty vehicles and marine vessels. In addition, it trades in and refines crude oil and other feed stocks, such ase low-carbon fuels, lubricants, bitumen, sulphur, gasoline, diesel, heating oil, aviation fuel, and marine fuel; produces and sells petrochemicals for industrial use; and manages oil sands activities. Further, the company produces base chemicals comprising ethylene, propylene, and aromatics, as well as intermediate chemicals, such as styrene monomer, propylene oxide, solvents, detergent alcohols, ethylene oxide, and ethylene glycol. Additionally, it generates electricity through wind and solar resources; produces and sells hydrogen; and provides electric vehicle charging services, as well as electricity storage. The company was formerly known as Royal Dutch Shell plc and changed its name to Shell plc in January 2022. Shell plc was founded in 1907 and is headquartered in London, the United Kingdom.
Industry Overview & Market Opportunity
- Analyse the current energy market, including trends, demand-supply dynamics, and regulatory factors.
- Identify the specific segment that Shell operates in.
- Analyse the growth potential of the market segment.
Company Overview
- Overview of the company, including its history, business model, and key operations.
- Key financial metrics such as revenue growth, profit margins, return on investment, and cash flow generation.
- Provide an overview of Shell, including its history, business model, and key operations.
- Financial Analysis and assess the Shell's financial performance.
Operations
Competitors
- Compare Shell's financial performance to industry benchmarks and competitors.
Risk
Strategic risks
The company is exposed to macroeconomic risks including fluctuating prices of crude oil, natural gas, oil products and chemicals.[4]
The company's ability to deliver competitive returns and pursue commercial opportunities depends in part on the accuracy of its price assumptions.[4]
Shell's ability to achieve its strategic objectives depends on how it reacts to competitive forces.[4]
Rising concerns about climate change and effects of the energy transition could continue to lead to a fall in demand and potentially lower prices for fossil fuels. Climate change could also have a physical impact on its assets and supply chains. This risk may also lead to additional legal and/or regulatory measures, resulting in project delays or cancellations, potential additional litigation, operational restrictions and additional compliance obligations.[4]
Investments in the company's low-carbon products and services may not achieve expected returns.[4]
Shell operates in more than 70 countries that have differing degrees of political, legal and fiscal stability. This exposes the company to a wide range of political developments that could result in changes to contractual terms, laws and regulations. Shell and its joint arrangements and associates also face the risk of litigation and disputes worldwide.[4]
Operational risks
Russia’s invasion of Ukraine has affected the safety and security of its people and operations in these and neighbouring countries. The resulting sanctions and export controls and the evolving geopolitical situation have caused wide-ranging challenges to its operations which could continue in the medium to longer term.[4]
The estimation of proved oil and gas reserves involves subjective judgements based on available information and the application of complex rules. This means subsequent downward adjustments are possible.[4]
Shell's future hydrocarbon production depends on the delivery of large and integrated projects and its ability to replace proved oil and gas reserves.[4]
The nature of Shell's operations exposes it, and the communities in which it works, to a wide range of health, safety, security and environment risks.[4]
A further erosion of the business and operating environment in Nigeria could have a material adverse effect on the company.[4]
An erosion of Shell's business reputation could have a material adverse effect on its brand, its ability to secure new resources or access capital markets, and on its licence to operate.[4]
Shell relies heavily on information technology systems in its operations.[4]
Shell's business exposes it to risks of social instability, criminality, civil unrest, terrorism, piracy, cyber disruption and acts of war that could have a material adverse effect on the company operations.[4]
Production from the Groningen field in the Netherlands causes earthquakes that affect local communities.[4]
Shell is exposed to treasury and trading risks, including liquidity risk, interest rate risk, foreign exchange risk and credit risk. The company is affected by the global macroeconomic environment and the conditions of financial and commodity markets.[4]
The company's future performance depends on the successful development and deployment of new technologies that provide new products and solutions.[4]
Shell has substantial pension commitments, the funding of which is subject to capital market risks and other factors.[4]
The company mainly self-insure its hazard risk exposures. Consequently, the company could incur significant financial losses from different types of risks that are not insured with third-party insurers.[4]
Many of the company's major projects and operations are conducted in joint arrangements or with associates. This could reduce Shell's degree of control and its ability to identify and manage risks.[4]
Conduct and culture risks
Shell is exposed to regulatory and conduct risk in its trading operations.[4]
Violations of antitrust and competition laws carry fines and exposes the company and/or its employees to criminal sanctions and civil suits.[4]
Violations of anti-bribery, tax-evasion and anti-money laundering laws carry fines and exposes the company and/or its employees to criminal sanctions and civil suits.[4]
Violations of data protection laws carry fines and exposes the company and/or its employees to criminal sanctions and civil suits.[4]
Violations of trade compliance laws and regulations, including sanctions, carry fines and exposes the company and its employees to criminal proceedings and civil suits.[4]
Other risks
The company’s Articles of Association determine the jurisdiction for shareholder disputes. This could limit shareholder remedies.[4]
Valuation
- DCF
References and notes
- ↑ 1.0 1.1 1.2 1.3 1.4
- ↑
- ↑ {{cite web |title=Shell begins trading under simpler, single-line share structure |url=https://www.reuters.com/business/energy/shell-begin-trading-under-simpler-single-line-share-structure-2022-01-31/
- ↑ 4.00 4.01 4.02 4.03 4.04 4.05 4.06 4.07 4.08 4.09 4.10 4.11 4.12 4.13 4.14 4.15 4.16 4.17 4.18 4.19 4.20 4.21 4.22 4.23 4.24 4.25 https://reports.shell.com/annual-report/2022/strategic-report/risk-factors.html