Shell raises dividends by 4% amid CEO pay controversy and profit decline

Shell has announced a dividend of $0.372 per share for the final quarter of 2025, marking a 4% increase from the previous payout. The decision comes as the company faces scrutiny over CEO Wael Sawan's pay, which rose by 60% last year despite a sharp drop in profits.

The energy giant will put its new remuneration policy to a vote at its annual general meeting on May 19, where shareholders will decide on further bonus increases for executives.

In 2025, Shell's adjusted net profit fell by 22% to $18.1 billion, yet the company maintained generous returns to shareholders. Alongside the dividend hike, it completed roughly $22.4 billion in share buybacks over the year. Operating cash flow remained robust at $42.9 billion, and the firm's stock price climbed about 21% since January.

CEO Wael Sawan received £13.8 million in total compensation for 2025, up 60% from the previous year. This increase came despite four fatal workplace accidents, which triggered deductions to his bonus—though not enough to cancel it entirely. Now, Shell is proposing a new pay policy that would raise the maximum long-term bonus for the CEO by an additional 50%. The upcoming shareholder meeting will reveal whether institutional investors support the plan or push back against further increases. The dividend itself will be paid on March 30, 2026.

The May 19 meeting will determine whether Shell's remuneration policy gains approval. If passed, the CEO's potential bonus could rise significantly, even as the company navigates lower profits and safety concerns. Shareholders will also assess whether the dividend growth and buyback strategy remain sustainable in the long term.