Oil giant Shell has announced that it made less profit in the first half of 2025, mainly because oil and gas prices have dropped.

The company made $8.4 billion in profit after tax between January and June, which is much lower than the $10.9 billion it earned during the same time in 2024. Its total revenue also went down by nearly 9%, falling to $136.6 billion.

Shell explained that the drop in earnings was due to lower prices for crude oil and natural gas. The company’s CEO, Wael Sawan, said they’ve been dealing with tough global conditions that made business harder this year.

Energy prices have been falling recently, partly because of worries that new tariffs in the U.S. could slow down the global economy. At the same time, oil production has gone up in some major producing countries, putting more pressure on prices.

Despite the weaker results, Shell still plans to buy back $3.5 billion worth of its own shares, showing that it remains confident in its future.