BP third-quarter underlying profit rises to $8.46bn as net debt falls to $13.9bn
Refining margins and gas trading drove the result. The company will set out its next plans in a strategy update on 15 December.
By Daily Oracles News Team1 min read
BP's underlying replacement cost profit rose to $8.46bn in the third quarter from $2.2bn a year earlier, and the company is allocating excess cash to strengthen its balance sheet.
The figure, a key measure of earnings, was $2.7bn higher than in the second quarter. BP said the rise mainly reflected significantly higher realised refining margins and a stronger result from gas marketing and trading. Profit attributable to shareholders on a statutory basis was $4.7bn, up from $3.9bn in the second quarter.
Operating cash flow reached $14.8bn. That allowed BP to cut net debt by $8.4bn in three months, to $13.9bn. The company declared a dividend of 8.66 cents a share, level with the previous quarter.
What BP does next
The chief executive said further strengthening of the balance sheet remained the company's top job.
BP is also selling assets. It completed the sale of the Gelsenkirchen refinery in Germany during the quarter, agreed to sell its Austrian mobility and convenience business, and announced plans to market its North Sea and Archaea businesses. It expects the sale of Castrol to close shortly, bringing in $6bn.
Upstream production held at around 2.2 million barrels of oil equivalent a day. Upstream plant reliability rose to 95.3% from 92.4% in the second quarter, and refining availability improved to 96.5% from 94.7%.
BP's strategy and outlook update is due on 15 December, when the company said it would set out its longer-term plans, capital framework and targets.
