Shell’s profits ‘obscene’ as European oil majors’ profits surge by 43%

Shell reported first-quarter profits of $6.9 billion as European oil majors posted combined quarterly earnings of $21.7 billion, a 43% surge over the same period last year. Global Witness analysis found that six leading European oil companies—bp, Shell, TotalEnergies, Eni, Equinor, and Repsol—reached their highest quarterly profits since Q4 2022, when Russia's invasion of Ukraine drove energy prices upward.

The latest windfall reflects volatile oil markets triggered by escalating tensions between the US and Iran. Global Witness characterized Shell's results as "obscene," underscoring activist criticism of fossil fuel earnings during an energy transition period. The six companies have not collectively generated this level of quarterly revenue in over three years.

These profits arrive amid ongoing European policy debates over energy security and climate commitments. The surge demonstrates how geopolitical instability continues to benefit oil majors despite global pressure to transition away from fossil fuels. European governments face competing pressures. Some prioritize energy independence and stable supplies following Russia's invasion of Ukraine. Others emphasize climate targets and renewable energy investment.

Oil prices remain sensitive to Middle East tensions. The Iran-Israel conflict has kept crude markets elevated, directly benefiting exploration and production companies. European oil majors have invested record capital in fossil fuel projects while simultaneously pledging renewable energy expansion, creating tension between short-term profits and long-term climate strategy.

bp, TotalEnergies, and other majors have faced shareholder activism and regulatory scrutiny over executive compensation and dividend payments during high-profit periods. Advocacy groups argue these earnings should fund faster clean energy transitions rather than bolster shareholder returns. The scale of these profits—$21.7 billion in a single quarter—intensifies debates over windfall taxes and energy company accountability that European policymakers continue navigating.