Shell reports doubled profits in 2016
Royal Dutch Shell Plc reported its net profit doubled in 2016 when compared to previous year, mostly due to a recovery of oil prices in the last quarter of the year. However, challenges remain as oil price of 55 $/b is just slightly above Shell's breakeven. Meanwhile, the higher cost of crude undermined the profitability of its refining and trading division. During the oil price turmoil, Shell renegotiated supply contracts, cut jobs and managed to reduce expenses by $10 billion.