Financial statements information

Consolidated statement of income

$ million

 

2016

2015

2014

2013

2012

Revenue

233,591

264,960

421,105

451,235

467,153

Share of profit of joint ventures and associates

3,545

3,527

6,116

7,275

8,948

Interest and other income

2,897

3,669

4,123

1,089

5,599

Total revenue and other income

240,033

272,156

431,344

459,599

481,700

Purchases

162,574

194,644

327,278

353,199

369,725

Production and manufacturing expenses

28,434

28,095

30,038

28,386

26,215

Selling, distribution and administrative expenses

12,101

11,956

13,965

14,675

14,465

Research and development

1,014

1,093

1,222

1,318

1,307

Exploration

2,108

5,719

4,224

5,278

3,104

Depreciation, depletion and amortisation

24,993

26,714

24,499

21,509

14,615

Interest expense

3,203

1,888

1,804

1,642

1,757

Total expenditure

234,427

270,109

403,030

426,007

431,188

Income before taxation

5,606

2,047

28,314

33,592

50,512

Taxation charge/(credit)

829

(153)

13,584

17,066

23,552

Income for the period

4,777

2,200

14,730

16,526

26,960

Income/(loss) attributable to non-controlling interest

202

261

(144)

155

248

Income attributable to Royal Dutch Shell plc shareholders

4,575

1,939

14,874

16,371

26,712

Reconciliation of CCS earnings to income for the period

$ million

 

2016

2015

2014

2013

2012

Earnings on a current cost of supplies basis (CCS earnings)

3,692

4,155

19,096

16,879

27,423

Attributable to non-controlling interest

(159)

(313)

(55)

(134)

(259)

Earnings on a current cost of supplies basis attributable to Royal Dutch Shell plc shareholders

3,533

3,842

19,041

16,745

27,164

Current cost of supplies adjustment

1,085

(1,955)

(4,366)

(353)

(463)

Non-controlling interest

(43)

52

199

(21)

11

Income attributable to Royal Dutch Shell plc shareholders

4,575

1,939

14,874

16,371

26,712

Non-controlling interest

202

261

(144)

155

248

Income for the period

4,777

2,200

14,730

16,526

26,960

is a non-GAAP measure which excludes the effect of changes in the oil price on inventory carrying amounts, after making allowance for the tax effect. On this basis, the purchase price of volumes sold during the period is based on the current cost of supplies (CCS) during the same period, rather than on the historic cost calculated on a first-in, first-out (FIFO) basis. Therefore, when oil prices are decreasing, CCS earnings are likely to be higher than earnings calculated on a FIFO basis, and when prices are increasing, CCS earnings are likely to be lower than earnings calculated on a FIFO basis. Earnings by segment are also presented on a CCS basis. CCS earnings is the earnings measure used by the Chief Executive Officer for the purposes of making decisions about allocating resources and assessing performance. The current cost of supplies adjustment does not impact cash flow from operating activities in the Consolidated Statement of Cash Flows. The reconciliation of to net income is provided above.

Earnings per share [A]

$

 

2016

2015

2014

2013

2012

[A]

Ordinary shares of €0.07 each.

Basic earnings per share

0.58

0.31

2.36

2.60

4.27

Diluted earnings per share

0.58

0.30

2.36

2.60

4.26

Shares

Million

 

2016

2015

2014

2013

2012

Basic weighted average number of A and B shares

7,833.7

6,320.3

6,311.5

6,291.1

6,261.2

Diluted weighted average number of A and B shares

7,891.7

6,393.8

6,311.6

6,293.4

6,267.8

Shares outstanding at the end of the period

8,145.3

6,397.5

6,295.0

6,295.4

6,305.9

Taxation (credit)/charge

$ million unless specified

 

2016

2015

2014

2013

2012

Current tax

2,731

7,058

13,757

18,582

22,722

Deferred tax

(1,902)

(7,211)

(173)

(1,516)

830

Total taxation charge/(credit)

829

(153)

13,584

17,066

23,552

As a % of income before taxation

15

(7)

48

51

47

Consolidated balance sheet (at December 31)

$ million

 

2016

2015

2014

2013

2012

Assets

 

 

 

 

 

Non-current assets

 

 

 

 

 

Intangible assets

23,967

6,283

7,076

4,394

4,470

Property, plant and equipment

236,098

182,838

192,472

191,897

172,293

Joint ventures and associates

33,255

30,150

31,558

34,613

38,350

Investments in securities

5,952

3,416

4,115

4,715

4,867

Deferred tax

14,425

11,033

8,131

5,785

4,288

Retirement benefits

1,456

4,362

1,682

3,574

2,301

Trade and other receivables

9,553

8,717

8,304

9,191

8,991

 

324,706

246,799

253,338

254,169

235,560

Current assets

 

 

 

 

 

Inventories

21,775

15,822

19,701

30,009

30,781

Trade and other receivables

45,664

45,784

58,470

63,638

65,403

Cash and cash equivalents

19,130

31,752

21,607

9,696

18,550

 

86,569

93,358

99,778

103,343

114,734

Total assets

411,275

340,157

353,116

357,512

350,294

Liabilities

 

 

 

 

 

Non-current liabilities

 

 

 

 

 

Debt

82,992

52,849

38,332

36,218

29,921

Trade and other payables

6,925

4,528

3,582

4,065

4,175

Deferred tax

15,274

8,976

12,052

11,943

10,312

Retirement benefits

14,130

12,587

16,318

11,182

15,290

Decommissioning and other provisions

29,618

26,148

23,834

19,698

17,435

 

148,939

105,088

94,118

83,106

77,133

Current liabilities

 

 

 

 

 

Debt

9,484

5,530

7,208

8,344

7,833

Trade and other payables

53,417

52,770

64,864

70,112

72,839

Taxes payable

6,685

8,233

9,797

11,173

12,684

Retirement benefits

455

350

377

382

402

Decommissioning and other provisions

3,784

4,065

3,966

3,247

3,221

 

73,825

70,948

86,212

93,258

96,979

Total liabilities

222,764

176,036

180,330

176,364

174,112

Equity

 

 

 

 

 

Share capital

683

546

540

542

542

Shares held in trust

(901)

(584)

(1,190)

(1,932)

(2,287)

Other reserves

11,298

(17,186)

(14,365)

(2,037)

(3,752)

Retained earnings

175,566

180,100

186,981

183,474

180,246

Equity attributable to Royal Dutch Shell plc shareholders

186,646

162,876

171,966

180,047

174,749

Non-controlling interest

1,865

1,245

820

1,101

1,433

Total equity

188,511

164,121

172,786

181,148

176,182

Total liabilities and equity

411,275

340,157

353,116

357,512

350,294

Consolidated statement of cash flows

$ million

 

2016

2015

2014

2013

2012

Income for the period

4,777

2,200

14,730

16,526

26,960

Adjustment for:

 

 

 

 

 

Current tax

2,731

7,058

13,757

18,582

22,722

Interest expense (net)

2,752

1,529

1,598

1,448

1,543

Depreciation, depletion and amortisation

24,993

26,714

24,499

21,509

14,615

Net gains on sale of non-current assets and businesses

(2,141)

(3,460)

(3,212)

(382)

(4,228)

Decrease/(increase) in working capital

(6,289)

5,521

6,405

2,988

3,391

(Increase)/decrease in inventories

(5,658)

2,827

7,958

608

(1,746)

Decrease/(increase) in accounts receivable

2,038

9,852

(1,541)

5,648

14,145

Decrease in accounts payable

(2,669)

(7,158)

(12)

(3,268)

(9,008)

Share of profit of joint ventures and associates

(3,545)

(3,527)

(6,116)

(7,275)

(8,948)

Dividends received from joint ventures and associates

3,820

4,627

6,902

7,117

10,573

Deferred tax, retirement benefits, decommissioning and other provisions

(823)

(5,827)

(1,720)

(2,701)

341

Other

(1,226)

2,648

2,500

2,937

201

Tax paid

(4,434)

(7,673)

(14,299)

(20,309)

(21,030)

Cash flow from operating activities

20,615

29,810

45,044

40,440

46,140

Capital expenditure

(22,116)

(26,131)

(31,676)

(39,975)

(33,184)

Acquisition of BG Group plc, net of cash and cash equivalents acquired

(11,421)

Investments in joint ventures and associates

(1,330)

(896)

(1,426)

(1,538)

(3,028)

Proceeds from sale of property, plant and equipment and businesses

2,072

4,720

9,873

1,212

6,346

Proceeds from sale of joint ventures and associates

1,565

276

4,163

538

698

Interest received

470

288

174

175

193

Other

(203)

(664)

(765)

(558)

522

Cash flow from investing activities

(30,963)

(22,407)

(19,657)

(40,146)

(28,453)

Net (decrease)/increase in debt with maturity period within three months

(360)

(586)

(3,332)

3,126

(165)

Other debt:

 

 

 

 

 

New borrowings

18,144

21,500

7,778

9,146

5,108

Repayments

(6,710)

(6,023)

(4,089)

(6,877)

(4,960)

Interest paid

(2,938)

(1,742)

(1,480)

(1,307)

(1,428)

Change in non-controlling interest

1,110

598

989

(51)

23

Cash dividends paid to:

 

 

 

 

 

Royal Dutch Shell plc shareholders

(9,677)

(9,370)

(9,444)

(7,198)

(7,390)

Non-controlling interest

(180)

(117)

(116)

(252)

(292)

Repurchases of shares

(409)

(3,328)

(5,000)

(1,492)

Shares held in trust: net (purchases)/sales and dividends received

(160)

(39)

232

(565)

(34)

Cash flow from financing activities

(771)

3,812

(12,790)

(8,978)

(10,630)

Currency translation differences relating to cash and cash equivalents

(1,503)

(1,070)

(686)

(170)

201

(Decrease)/increase in cash and cash equivalents

(12,622)

10,145

11,911

(8,854)

7,258

Cash and cash equivalents at January 1

31,752

21,607

9,696

18,550

11,292

Cash and cash equivalents at December 31

19,130

31,752

21,607

9,696

18,550

Free cash flow

$ million

 

2016

2015

2014

2013

2012

Cash flow from operating activities

20,615

29,810

45,044

40,440

46,140

Cash flow from investing activities

(30,963)

(22,407)

(19,657)

(40,146)

(28,453)

Free cash flow

(10,348)

7,403

25,387

294

17,687

Free cash flow is a non-GAAP measure used to evaluate cash available for financing activities, including dividend payments, after investment in maintaining and growing our business. It is defined as the sum of “Cash flow from operating activities” and “Cash flow from investing activities”.

CCS earnings
earnings on a current cost of supplies basis
View complete glossary
CCS earnings
earnings on a current cost of supplies basis
View complete glossary