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Shell Profits Double as Iran War Drives Up Energy Prices
The Iran war disrupted global energy supplies and drove prices higher. For Shell, it also helped deliver $10.8 billion in quarterly profit.
Photo by Krish Parmar
As conflict rattled energy markets and pushed up fuel prices, Shell's profits nearly doubled.
On October 29, Shell reported adjusted earnings of $10.8 billion for the July-to-September quarter, nearly double the $5.43 billion it reported during the same period in 2025. The results also exceeded analysts' expectations of about $10.33 billion.
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The company said its strong performance came during a period of severe disruption in global energy markets. The conflict involving Iran has affected energy supplies and contributed to higher prices for oil, gas and refined fuels.
One of Shell's biggest gains came from refining. The company reported record refining margins of $42 per barrel during the quarter, up from $11.60 a barrel a year earlier and $24 a barrel in the previous quarter.
Reuters reported that supply disruptions linked to the Iran war and the Russia-Ukraine conflict helped drive refining margins higher. Shell's earnings were its highest since 2022, when Russia's full-scale invasion of Ukraine triggered another major energy shock.
Despite the higher profits, the conflict has also affected Shell's own operations. The company reported that Middle East disruptions reduced some of its production, even as higher commodity prices and refining margins boosted its overall earnings.
Shell also announced a $5 billion share buyback program for the next three months, increasing the pace of its previous $3 billion quarterly buyback.
The results drew criticism from climate campaigners, who argued that major fossil fuel companies were benefiting from a period of conflict, high energy prices and rising costs for consumers. Those criticisms represent the views of campaigners, while Shell has pointed to its operational performance and its role in supplying energy during a volatile period.
The numbers highlight one of the complicated economic consequences of war. While conflict can disrupt global supplies and raise costs for consumers, the same shortages can create unusually high margins for companies positioned to keep producing and refining energy.
Editor’s Note: Shell released its third-quarter results on October 29, 2026. The company's adjusted earnings figure is its own reported financial measure. The relationship between the Iran conflict, broader supply disruptions and energy prices has been reported by Reuters and other outlets.
