LONDON, May 2, 2025 (BSS/AFP) - British energy giant Shell on Friday announced that net profit dropped 35 percent in the first quarter, as it was hit with weaker oil prices.

Profit attributable to shareholders fell to $4.8 billion from $7.4 billion in the first quarter of 2024, Shell said in an earnings statement.

Total revenue dropped six percent to $70.2 billion.

Shell and other oil majors have been hit by a recent slump in crude prices on fears that US President Donald Trump's tariffs could cause a slowdown in the global economy, impacting demand.

But the company did manage to beat analysts' expectations and announced sizeable shareholder payouts.

Chief executive Wael Sawan said the results gave Shell "confidence to commence another $3.5 billion of buybacks for the next three months."

Weakening oil prices also hit Shell in 2024 when annual net profit fell 17 percent.

It comes after the company scaled back various climate objectives, along with rival BP, to focus more on oil and gas to raise profits.

Last year it announced it would no longer lead development of new offshore wind projects.

BP this week reported that its net profit dropped 70 percent in the first quarter to $687 million, driven by weaker gas sales and lower refining margins.