Due to robust oil and gas trading, BP reported a $5B profit for Q1 2023, an increase from the previous quarter.
This beat expectations, with underlying replacement cost profit
reaching $4.96B despite a drop in operating cash flow to $7.6B compared
to $13.5B in Q4 2022.
- After reducing
its share buyback program from $2.75B to $1.75B, BP's stock price
dropped 8%, but it still exceeded its target of using 60% of its extra
cash for repurchasing shares.
- Investors felt let down due to
reduced buyback funds, and its prediction of decreased oil and gas
production in the second quarter added to their disappointment.
- In
Q2 2023, BP anticipates that the price of oil and European petrol will
stay high but that the profit margins for refining will decline due to
decreased diesel prices.
- BP will pay $1B in windfall tax and maintain its $0.066 per share dividend despite the 10% increase in February.
