Shell's profits soared to £68.1bn during 2022 - its highest in the oil giant's 115-year history - due to rising oil prices.
This comes amid continued questions over the scale of windfall taxes on energy producers, which have benefited from higher prices.
The London-listed energy group told investors that adjusted earnings before tax leapt 53% against the previous year, after energy prices rose following the Russian invasion of Ukraine.
Adjusted earnings, including taxes, more than doubled to £32.2bn.
The figures are part of a debut set of results for Wael Sawan, who took over as chief executive at the start of the year.
“Our results in Q4 and across the full year demonstrate the strength of Shell's differentiated portfolio, as well as our capacity to deliver vital energy to our customers in a volatile world,“ he stated.
“We believe that Shell is well positioned to be the trusted partner through the energy transition.
“As we continue to put our powering progress strategy into action, we will build on our core strengths, further simplify the organisation and focus on performance.
“We intend to remain disciplined while delivering compelling shareholder returns, as demonstrated by the 15% dividend increase and the four-billion-dollar share buyback programme announced today.”
Earlier this week, the new boss said it would combine its oil and gas production and liquified natural gas divisions as part of an overhaul which will also cut the number of executive roles at the company.
The Scottish Green Party's energy and environment spokesperson Mark Ruskell commented: “Many will be sickened and angry by the obscene level of profits reported by Shell and the other oil and gas giants, who have enriched themselves at the cost of our planet.
“There can be no justification for a system that allows this kind of profiteering, especially when so many are suffering - it underlines exactly why we need to break the link between fossil fuel prices and bills, and support the many households and families who have been plunged into fuel poverty over the last 12 months.”
Stuart Lamont, investment manager at RBC Brewin Dolphin, said: “Shell’s record profit for the year will only intensify calls for more to be done to claw back profits from energy companies in the current environment.
“The politics of it all aside, the events of the last year have seen Shell’s earnings, cashflow and debt position improve significantly and shareholders are benefitting through another share buyback programme and an increased dividend.
“Looking ahead, however, investors will want a sense of what the future strategic direction of the company will be under the new CEO.”
From April, the energy bill for an average household will be capped at £3,000, up from the current £2,500.
Oil and gas firms are subject to the energy profits levy, a windfall tax which increased from 25% to 35% in January, but critics have said that it should go further.
TUC general secretary Paul Nowak said: “The time for excuses is over, the government must impose a larger windfall tax on energy companies.
“Instead of holding down the pay of paramedics, teachers, firefighters and millions of other hard-pressed public servants, ministers should be making big oil and gas pay their fair share.”
Environmental campaigners from Greenpeace targeted Shell's headquarters in London as the profit was announced.
Greenpeace UK senior campaigner Elena Polisano said: “While Shell counts their record-breaking billions, people across the globe count the damage from the record-breaking droughts, heatwaves and floods this oil giant is fuelling.
“This is the stark reality of climate injustice, and we must end it.”
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