LONDON (AP) — British energy giant BP posted strong quarterly profit on Tuesday even as oil prices and… Natural prices rose After the Russian war in Ukraine subsided last year.
London-based BP said it generated $5 billion in core replacement cost profit in the first three months of the year, up from $4.8 billion in the previous quarter. The figure excludes one-time items and fluctuations in inventory value.
The company said that Earnings report “Reflects an exceptional gas marketing and trading result” and “a very strong oil trading result.”
“This was a quarter of strong performance and strategic delivery,” CEO Bernard Looney said in a statement.
Oil companies around the world have reported bumper profits in the aftermath of the Russian invasion of Ukraine in February 2022, which sent energy prices soaring and cut back some of Moscow’s supplies to the world.
And the fat and resulting profits Huge salaries for the heads of energy companies It spurred demands from companies to do more to protect consumers under pressure High energy bills which led to higher rates of inflation.
The latest profit figures were below the $6.2 billion reported by BP in the first quarter of 2022 but still beat analysts’ expectations even with oil and Gas prices fell Since a significant rise in the first half of last year.
The earnings report reignited controversy in the UK Higher corporate taxes Getting a windfall from high energy prices amid the Russian war. Britain’s opposition leader Keir Starmer told the BBC that BP’s profits were “in excess” of what the company had expected and should contribute to an “appropriate windfall tax”.
BP said it expects oil demand to remain “high” in the second quarter due to a recent decision Some OPEC + countries to restrict productionBesides boosting Chinese demand.
The company has also come under fire recently for scaling back its climate goals — easing its targets to cut greenhouse gas emissions by a third, with plans to pump more oil and gas by the end of the decade than it previously predicted.
BP also announced other plans to reward shareholders, buying back an additional $1.75 billion in shares, although that was down from the $2.75 billion buyback in the previous quarter.
The energy giant’s competitors have reported similarly impressive financial results in recent weeks. Exxon got a record $11.4 billion in the first quarter, and Chevron made $6.6 billion.
Saudi Aramco said in March it had earned $161 billion In 2022, the highest annual profit ever recorded by a publicly listed company.
Shell, another London-based energy giant, is due to report its quarterly earnings on Thursday.