Vitality big BP says it earned practically $2.6 billion within the second quarter
FILE – A emblem of BP is seen at a fuel station in London, on Nov. 1, 2022. Vitality big BP stated Tuesday, Aug. 1, 2023 that it earned practically $2.6 billion within the second quarter, virtually half what it posted within the first three months of the yr as oil and pure fuel costs that surged after Russia’s invasion of Ukraine have fallen. (AP Photograph/Kin Cheung, File)
The Related Press
LONDON — Vitality big BP stated Tuesday that it earned practically $2.6 billion within the second quarter, virtually half what it posted within the first three months of the yr as oil and pure fuel costs that surged after Russia’s invasion of Ukraine have fallen.
The corporate’s underlying alternative price revenue, which excludes one-time objects and fluctuations within the worth of inventories, was down practically 70% from the April-to-June interval a yr in the past, when London-based BP introduced in $8.45 billion.
It is the newest oil and fuel main to see income fall from document highs final yr, following British rival Shell, France’s TotalEnergies and U.S.-based ExxonMobil. Vitality costs spiked after Russia launched its warfare in Ukraine, elevating fears about Moscow’s provides of oil and pure fuel earlier than it reduce off most of its fuel heading to Europe.
Vitality prices had been a serious driver of inflation world wide, stirring outcry as households and companies confronted skyrocketing electrical energy and heating payments whereas vitality corporations’ income skyrocketed. The U.Ok. has handed taxes on such windfall income.
Now, these outsized earnings are drawing again down.
“One other quarter of performing whereas remodeling,” CEO Bernard Looney stated in an announcement. “Our underlying efficiency was resilient with good money supply — throughout a interval of great turnaround exercise and weaker margins in our refining enterprise.”
Regardless of the hurdles, BP stated it is rising its quarterly dividend by 10% and plans to purchase again a further $1.5 billion in inventory from shareholders.
BP, which noticed its earnings final yr double to a document excessive $27.7 billion, stated it was awarded rights to develop two offshore wind tasks in Germany — its first in continental Europe. It additionally famous progress in hydrogen tasks.
Vitality corporations are going through rising strain to do extra to scale back such emissions that trigger local weather change. However fossil fuels have remained an essential a part of the combo. BP says two new oil and fuel tasks have launched within the second quarter.
Britain additionally stated Monday that it’ll grant a whole bunch of recent oil and fuel licenses within the North Sea in a bid for vitality independence regardless of pushback from local weather activists.