The BP logo is displayed in front of a gas station near Warminster in Wiltshire, England, August 15, 2022.
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British Oil Major Bishop On Tuesday, he recorded a sharp decrease in profit in the fourth quarter on the weaker refining margins, announcing the purchase of shares worth $ 1.75 billion and a commitment to “basic” strategy reset.
The energy company recorded the basic profit from substitute costs (RC Zysk) – used as proxy for net profit – in the fourth quarter it is $ 1.169 billion, compared to USD 2.99 billion in the same period last year and with an analytical forecast of 1.2 billion USD. to the LSEG survey.
The company assigned its quarterly 48% decrease in RC profit “weaker realized raffin margins, higher influence on the activities of implementation, seasonally lower volumes of clients and fuels of margins, as well as higher other companies and corporate fees.”
The BP net debt reached only $ 23 billion in the fourth quarter, increasing 10% year on year. Investment expenditure (CAPEX) reached $ 3.7 billion during October-Grudnia, which is a sharp drop from $ 4.7 billion of the fourth quarter of 2024.
Despite this, the built -in energy company started buying a PLN 1.75 billion in the fourth quarter, with dividetime for a regular 0.08 USD share. Analysts had earlier asked if BP would slow down the redemption of shares to reconcile the balance.
“BP has conducted a purchase of USD 1.75 billion to 1Q results, although the guidelines are not given beyond. We expected to reduce the lower number of results with the results, although there was some uncertainty whether the redemption reduction would be given along with the CMD or the results.
In its business division, BP recorded a 15% decrease in RC profit in the scope of GAS & Low Coal profit to $ 1.84 billion, despite a violent revival from $ 1 billion in the previous quarter. Oil production and operations increased by 37% per year, while the company marked the general “weak” contribution from the oil trade department after weaker refining margins.
BP shares have not changed much after the results, which is only 0.13% at 08:40 in London.
Set
In a statement accompanying the results, CEO of Murray Auchincloss, said that the company “transforms” its portfolio with “strong progress” in the costs of lowering and planned further review.
“We are now planning to basicly reset our strategy and increase the improvement in efficiency, all in terms of growing cash flows and returns. It will be a new direction for BP, “he said.
Over the past year, crude oil directions have survived because raw prices have retired after the initial support after the National invasion of sanctions in Ukraine and sanctions in the western and G7 towards Moscow barrels. In the January UpdateBP marked higher corporate costs, the lower fourth quarter was made by refining margins and one -off fees related to the takeover of bioethanol.
BP basically achieved worse results of its peers, and shares have fallen by about 9% in the last year to the end of last week – compared to 6% of profits for Shell. The actions gained on Monday, after weekend reports, that the activist's investor Elliott Management built a participation in a fighting specialization of oil, fueling speculation that an influential hedge fund can put pressure on an energy company to change running to basic oil and gas companies.
Otherwise, speculation has long undertaken whether BP could become the target-though the size of the company 74 billion pounds can be a challenge for suitors.
BP tried to convey his fortunes Serious restructuring This included a reduction in leadership among Auchincloss efforts to provide at least $ 2 billion in cash savings by the end of 2026. To reduce 4,700 roles And last week she revealed that it was so Searching for buyers for his German assets of Rafineria Ruhr Oel. However, fears remain in the transparency of the strategic direction of BP among his extensive ambitions of green energy – with the company because of another strategic update on February 26.