Shell figures disappoint but attractions remain for income seekers
As oil giant Royal Dutch Shell reports disappointing Q4 results Graham Spooner, investment research analyst at The Share Centre, explains what they mean for investors.
“As the market feared,
Royal Dutch Shell reported Q4 results lower than expectations, mainly caused by a decline in industry refining margins and lower North American natural gas prices. The company also highlighted economic volatility and a weaker global demand for oil also impacted figures.
“Although these results may dampen market enthusiasm for the shares in the short term,
Royal Dutch Shell still offers attractions for income seeking investors. Growth prospects also remain for the longer term driven by the company’s 60 new projects.
“The shares are viewed as a core holding for any blue chip income geared portfolio and the company has announced a 2% rise in dividend for the first time in three years. However, this was not as much as some market experts had estimated.”
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