Page 1

ROYAL DUTCH SHELL PLC 4TH QUARTER 2020 AND FULL YEAR UNAUDITED RESULTS SUMMARY OF UNAUDITED RESULTS Quarters $ million Full year Q4 2020 Q3 2020 Q4 2019 % ¹ Reference 2020 2019 % ( 4,014 ) 489 965 -516 Income / ( loss ) attributable to shareholders ( 21,680 ) 15,842 -237 ( 4,478 ) 177 871 -614 393 955 2,931 -87 CCS earnings attributable to shareholders Adjusted Earnings² Note 2 ( 19,922 ) 15,270 -230 A 4,846 16,462 -71 6,287 10,403 10,267 -39 Cash flow from operating activities 34,105 42,178 -19 ( 5,406 ) ( 2,833 ) ( 4,862 ) Cash flow from investing activities ( 13,277 ) ( 15,779 ) 882 7,571 5,405 Free cash flow G 20,828 26,399 5,503 3,737 6,883 Cash capital expenditure C 17,827 23,919 8,544 7,854 9,993 -15 Underlying operating expenses F 32,502 36,993 -12 ( 6.8 ) % ( 4.9 ) % 6.7 % ROACE ( Net income basis ) D ( 6.8 ) % 6.7 % 2.9 % 3.9 % 6.9 % ROACE ( CCS basis excluding identified items ) D 2.9 % 6.9 % 75,386 73,463 79,093 Net debt E 75,386 79,093 32.2 % 31.4 % 29.3 % Gearing E 32.2 % 29.3 % 3,371 3,081 3,763 -10 Total production available for sale ( thousand boe / d ) 3,386 3,665 -8 ( 0.52 ) 0.06 0.05 0.12 0.1665 0.1665 0.12 -533 0.37 -86 0.47 -65 Basic earnings per share ( $ ) ( 2.78 ) 1.97 -241 Adjusted Earnings per share ( $ ) B 0.62 2.04 -70 Dividend per r share ( $ ) 0.6530 1.88 -65 1 . Q4 on Q4 change . 2 . Adjusted Earnings is defined as income / ( loss ) attributable to shareholders plus cost of supplies adjustment ( see Note 2 ) and excluding identified items ( see Reference A ) . Income attributable to Royal Dutch Shell plc shareholders amounted to a loss of $ 4.0 billion for the fourth quarter 2020 , which included post - tax impairment charges of $ 2.7 billion and charges of $ 1.1 billion mainly due to onerous contract provisions . Fourth quarter 2020 results reflected lower realised prices for oil and LNG as well as lower production volumes and realised refining margins compared with the fourth quarter 2019. This was partly offset by lower operating expenses and higher chemicals margins . Cost of supplies adjustment attributable to Royal Dutch Shell plc shareholders for the fourth quarter 2020 was negative $ 0.5 billion . Adjusted Earnings were $ 0.4 billion for the fourth quarter 2020 , reflecting lower realised prices for oil and LNG as well as lower production volumes and realised refining margins compared with the fourth quarter 2019. This was partly offset by lower operating expenses and higher chemicals margins . Cash flow from operating activities for the fourth quarter 2020 was $ 6.3 billion , which included cash outflows from commodity derivatives of $ 0.9 billion and negative working capital movements of $ 0.3 billion . Cash flow from investing activities for the quarter was an outflow of $ 5.4 billion , driven mainly by capital expenditure . Net debt was $ 75.4 billion at the end of the fourth quarter 2020 , compared with $ 73.5 billion at the end of the third quarter 2020 , mainly driven by lower free cash flow generation and by lease additions , partly offset by favourable foreign currency exchange translation differences . Gearing was 32.2 % at the end of the fourth quarter 2020 , compared with 31.4 % at the end of the third quarter 2020 , mainly driven by increased net debt and reduced earnings , partly offset by favourable foreign currency exchange translation differences and a reduction in pensions deficit . Total dividends distributed to Royal Dutch Shell plc shareholders in the quarter were $ 1.3 billion . The Board expects that the first quarter 2021 interim dividend will be US $ 0.1735 per share , an increase of ~ 4 % over the US dollar dividend for the fourth quarter 2020 .