Royal Dutch Shell’s first quarter 2015 earnings, on a current cost of supplies (CCS) basis, were $4.8 billion compared with $4.5 billion for the first quarter 2014.

First quarter 2015 CCS earnings excluding identified items (see page 4) were $3.2 billion compared with $7.3 billion for the first quarter 2014, a decrease of 56%.

Compared with the first quarter 2014, CCS earnings excluding identified items benefited from improved Downstream results reflecting steps taken by the company to improve financial performance, higher realised refining margins, lower costs, and increased trading contributions. In Upstream, earnings were impacted by the significant decline in oil and gas prices and lower trading contributions. Weaker exchange rates resulted in a hurt to deferred tax positions of some $700 million compared with the first quarter 2014, which were not included as identified items. This was partly offset by lower costs and new high-margin liquids production volumes from new deep-water projects and improved operational performance.

Basic CCS earnings per share excluding identified items for the first quarter 2015 decreased by 56% versus the same quarter a year ago and cash flow from operating activities for the first quarter 2015 was $7.1 billion. This is excluding working capital movements, cash flow from operating activities for the first quarter 2015 was $7.5 billion.

Cash dividends paid to Royal Dutch Shell plc shareholders in the first quarter 2015 were $2.9 billion. During the first quarter some 12.7 million shares were bought back for cancellation for a consideration of $0.4 billion.

Gearing at the end of the first quarter 2015 was 12.4%.

A first quarter 2015 dividend has been announced of $0.47 per ordinary share and $0.94 per American Depositary Share (“ADS”).

The CEO of Shell has commented on the above results and promotes a ‘sharper focus’ ahead for the oil giant.

“Our results reflect the strength of our integrated business activities, against a backdrop of lower oil prices. Meanwhile, in what is clearly a difficult industry environment, we continue to take steps to further improve competitive performance by redoubling our efforts to drive a sharper focus on the bottom line in Shell.

Part of this sharper focus is the sale of non-strategic assets. Asset sales total over $2 billion so far this year, as we successfully reduced our onshore footprint in Nigeria.

In parallel we continue to reduce our operating costs and capital spending; and by deferring and reshaping new projects, we can achieve further efficiencies and savings in the global supply chain.

Looking ahead, the proposed combination with BG, which we announced in April, would create a stronger company for both sets of shareholders.

The combination with BG would accelerate Shell’s growth strategy in deep water and LNG, and create a springboard for further optimisation of our asset base, particularly when evaluating the longer-term portfolio.”

For more information, please visit: http://www.shell.com