Note 7 -
Capital management
Note 7 of 35
Shell manages its businesses to deliver strong cash flows to sustain its strategy and for profitable growth. Management's current priorities for applying Shell’s cash are:
Sustainable progressive dividend Total shareholder distributions ≥ 20-30% [A] of cash flow from operating activities (2021: 20-30%) Total shareholder distributions (dividends + share buybacks) based on cash generation, macro-outlook and balance sheet trajectory. Capital discipline Significant shareholder distributions Resilient balance sheet Cash capex within $23-27 billion (2021: $19-22 billion) Capital discipline ▪ Includes inorganic capex Resilient balance sheet Targeting AA credit metrics through the cycle ▪ Continued focus on Net debt reduction in upcycle ▪ Divest for value ▪ Invest for value Around 4% annual growth in dividend per share, subject to Board approval (2021: 4%) Significant shareholder distributions Sustainable progressive dividend Total shareholder distributions ≥ 20-30% [A] of cash flow from operating activities (2021: 20-30%) Total shareholder distributions (dividends + share buybacks) based on cash generation, macro-outlook and balance sheet trajectory. Capital discipline Cash capex within $23-27 billion (2021: $19-22 billion) Capital discipline Significant shareholder distributions Resilient balance sheet Resilient balance sheet Targeting AA credit metrics through the cycle Around 4% annual growth in dividend per share, subject to Board approval (2021: 4%) Significant shareholder distributions ▪ Includes inorganic capex ▪ Continued focus on Net debt reduction in upcycle ▪ Divest for value ▪ Invest for value
[A] Subject to Board approval and prevailing market conditions.
