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Shell avoids first loss helped by strong oil trading

Published 30/07/2020, 07:26
Updated 30/07/2020, 07:30
© Reuters. FILE PHOTO: Oil tank truck fills the pumps at a Shell petrol station in Sao Paulo

LONDON (Reuters) - Royal Dutch Shell (LON:RDSa) avoided its first quarterly loss in recent history after bumper earnings in its trading business offset a collapse in revenue from its main oil and gas operations due to the COVID-19 epidemic.

Adjusted earnings fell to $600 million(462.96 million pounds) from $3.5 billion a year ago, beating analysts forecasts of a $674 million loss. It also slashed the value of its assets by $16.8 billion after lowering its short-term oil and gas price outlook due to an expected sluggish growth in demand in the wake of the coronavirus crisis.

The impairment charge was at the lower end of the range the company indicated in July.

© Reuters. FILE PHOTO: Oil tank truck fills the pumps at a Shell petrol station in Sao Paulo

 

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