Economy

BP revenue triples to 14-year excessive of $8.5bn – dwell enterprise | Enterprise

BP has reported ‘eye-watering profits’ at a time when the public are very worried about their energy bills jumping in the autumn, says Rachel Reeves MP, Labour’s Shadow Chancellor.

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“People are worried sick about energy prices rising again in the autumn, but yet again we see eye-watering profits for oil and gas producers.

n

“Labour argued for months for a windfall tax on these companies to help bring bills down, but when the Tories finally u-turned they decided to hand billions of pounds back to producers in tax breaks. That is totally wrong.

n

“It’s clear people need greater protection from rising bills. That’s why Labour would use this money now to help people get through the winter.

n

“But we can’t carry on like this. Labour would bring down energy bills for good with a green energy sprint for home-grown power, and a 10-year warm homes plan to cut bills for 19 million cold, draughty homes.”

n

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BP is lifting its payout to shareholders by 10%, as investors reap the rewards from its jump in profits.

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The company will pay a dividend of just over 6 cents per share, up from 5.46 cents per share in the first quarter of the year.

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BP has tripled its underlying profits in the last quarter, as it benefitted from soaring energy price.

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The energy giant has reported underlying replacement cost profit of $8.45bn (£7bn) in April-June, up from $2.8bn in the second quarter of 2021.

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That’s also even higher than the underlying replacement cost profit of $6.2bn it made in Q1, which was the highest for 10 years.

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Good morning, and welcome to our rolling coverage of business, the world economy and the financial markets.

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BP’s chief executive Bernard Looney famously, or notoriously, described his company as a ‘cash machine’ last November. And today, we discover how much profits BP made in the last quarter as the Ukraine war drove up energy costs.

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BP could report its highest profit in more than a decade, reigniting controversy over energy companies making money during an energy crisis.

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The industry has benefited from soaring oil and gas prices that have left millions of UK households struggling to pay their bills, which are set to soar over £3,000 per year this winter.

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Analysts predict BP’s underlying earnings could hit $6.8bn for the three months to June, more than double the $2.8bn of a year earlier. We’ll find out when BP’s results are released at 7am.

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That’s even higher than the $6.2bn ‘underlying replacement cost profit’ BP made in the first quarter of the year, due to high operating-cash generation, strong oil-and-gas trading and a significant improvement in refining margins.

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BP’s fellow oil supermajors have already reported eye-watering earnings for the last quarter, with Shell making adjusted profits of $11.5bn…and Exxon reporting an unprecedented $17.85bn.

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Also coming up today

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High street bakery Greggs, drinks group AG Barr, pizza delivery firm Domino’s building materials supplier Taylor Wimpey are also reporting results, while building society Nationwide is releasing its latest house price data.

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British Airways has reportedly suspended the sale of short-haul flights from Heathrow for at least a week, adding to the problems facing holidaymakers this summer.

“,”elementId”:”e93d6125-33a9-425a-b969-c5a059852079″},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”

Thousands of seats being removed from sale, as BA complies with Heathrow’s cap of 100,000 passengers per day. It will push already high prices up further across the industry, points out The Times.

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Stock markets are somewhat jittery this morning, as traders brace for US House Speaker Nancy Pelosi’s expected arrival in Taipei this week, as tensions between Washington and Beijing rise.

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Brent crude has dropped below $100 per barrel overnight, as recession fears also rise after weak factory growth figures yesterday.

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The agenda

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    n

  • 7am BST: BP Q2 results released
  • n

  • 7am BST: Greggs, AG Barr, Travis Perkins and Domino’s also report results
  • n

  • 7am BST: Nationwide house price index for July
  • n

  • 3pm BST: US JOLTS survey of job openings in June
  • n

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Essential occasion

BP has reported ‘eye-watering profits’ at a time when the public are very worried about their energy bills jumping in the autumn, says Rachel Reeves MP, Labour’s Shadow Chancellor.

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n

“People are worried sick about energy prices rising again in the autumn, but yet again we see eye-watering profits for oil and gas producers.

n

“Labour argued for months for a windfall tax on these companies to help bring bills down, but when the Tories finally u-turned they decided to hand billions of pounds back to producers in tax breaks. That is totally wrong.

n

“It’s clear people need greater protection from rising bills. That’s why Labour would use this money now to help people get through the winter.

n

“But we can’t carry on like this. Labour would bring down energy bills for good with a green energy sprint for home-grown power, and a 10-year warm homes plan to cut bills for 19 million cold, draughty homes.”

n

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BP is lifting its payout to shareholders by 10%, as investors reap the rewards from its jump in profits.

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The company will pay a dividend of just over 6 cents per share, up from 5.46 cents per share in the first quarter of the year.

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BP has tripled its underlying profits in the last quarter, as it benefitted from soaring energy price.

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The energy giant has reported underlying replacement cost profit of $8.45bn (£7bn) in April-June, up from $2.8bn in the second quarter of 2021.

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That’s also even higher than the underlying replacement cost profit of $6.2bn it made in Q1, which was the highest for 10 years.

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Good morning, and welcome to our rolling coverage of business, the world economy and the financial markets.

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BP’s chief executive Bernard Looney famously, or notoriously, described his company as a ‘cash machine’ last November. And today, we discover how much profits BP made in the last quarter as the Ukraine war drove up energy costs.

“,”elementId”:”fc0f499c-a874-4f05-b227-1db81f29c3c5″},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”

BP could report its highest profit in more than a decade, reigniting controversy over energy companies making money during an energy crisis.

“,”elementId”:”05232569-4003-4980-9b37-48a427a8750d”},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”

The industry has benefited from soaring oil and gas prices that have left millions of UK households struggling to pay their bills, which are set to soar over £3,000 per year this winter.

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Analysts predict BP’s underlying earnings could hit $6.8bn for the three months to June, more than double the $2.8bn of a year earlier. We’ll find out when BP’s results are released at 7am.

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That’s even higher than the $6.2bn ‘underlying replacement cost profit’ BP made in the first quarter of the year, due to high operating-cash generation, strong oil-and-gas trading and a significant improvement in refining margins.

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BP’s fellow oil supermajors have already reported eye-watering earnings for the last quarter, with Shell making adjusted profits of $11.5bn…and Exxon reporting an unprecedented $17.85bn.

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Also coming up today

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High street bakery Greggs, drinks group AG Barr, pizza delivery firm Domino’s building materials supplier Taylor Wimpey are also reporting results, while building society Nationwide is releasing its latest house price data.

“,”elementId”:”ec32616f-f5b3-4e87-a447-13dcd8fc1e24″},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”

British Airways has reportedly suspended the sale of short-haul flights from Heathrow for at least a week, adding to the problems facing holidaymakers this summer.

“,”elementId”:”e93d6125-33a9-425a-b969-c5a059852079″},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”

Thousands of seats being removed from sale, as BA complies with Heathrow’s cap of 100,000 passengers per day. It will push already high prices up further across the industry, points out The Times.

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Stock markets are somewhat jittery this morning, as traders brace for US House Speaker Nancy Pelosi’s expected arrival in Taipei this week, as tensions between Washington and Beijing rise.

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Brent crude has dropped below $100 per barrel overnight, as recession fears also rise after weak factory growth figures yesterday.

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The agenda

“,”elementId”:”0c3d97e4-023a-4de6-a745-592c605c6387″},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”

    n

  • 7am BST: BP Q2 results released
  • n

  • 7am BST: Greggs, AG Barr, Travis Perkins and Domino’s also report results
  • n

  • 7am BST: Nationwide house price index for July
  • n

  • 3pm BST: US JOLTS survey of job openings in June
  • n

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Filter BETA

Labor: Extra profitable income for oil and gasoline producers

BP has reported ‘superb positive aspects’ at a time when individuals are very frightened about their vitality payments hovering within the autumn, stated Rachel Reeves MP, Labour’s Shadow Chancellor.

“Folks had been frightened about vitality costs rising once more within the autumn, however once more we noticed enticing income for oil and gasoline producers.

“Labor argued for months for a windfall tax on these corporations to assist cut back the invoice, however when the Tories lastly rotated, they determined handy billions of kilos again to producers in tax reduction. That’s utterly fallacious.

“It’s clear that individuals want larger safety from rising payments. That is why Labor will use this cash now to assist individuals by way of the winter.

“However we will not proceed like this. Labor will reduce vitality payments for good with a inexperienced vitality dash for native energy, and a 10-year pleasant residence plan to chop payments for 19 million chilly and stuffy houses.

In the present day’s outcomes present that bp continues to “carry out whereas remodeling”, the corporate’s CEO Bernard Looney stated:

Our employees continued to work exhausting all through the quarter serving to to unravel the vitality trilemma – protected, inexpensive and low carbon vitality.

We do that by offering the oil and gasoline the world wants as we speak – on the identical time, investing to speed up the vitality transition.

That is BP’s highest revenue in 14 years, Reuters exhibits — simply as households face the ache of winter vitality payments.

As households face one other rise in vitality payments this winter #BP publicizes quarterly income of $8.45 billion – 2nd highest revenue in its historical past – 3 occasions as a lot as final 12 months. We talk about #WorldBusinessReport 0745 @BBCWorld https://t.co/IYZAvvbL8Y

— Sally Bundock (@SallyBundockBBC) August 2, 2022

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BP will even channel income to shareholders by way of a brand new share buyback program.

The corporate has introduced it’ll do a $3.5bn share buyback — a technique to return money to shareholders.

BP can afford it as a result of it generated extra money movement of $6.6bn final quarter, saying:

bp has now introduced a share buyback from 2021 and first half 2022 extra money movement equal to 60% of gathered extra money movement.

BP additionally carried out a $2.3bn share buyback within the final three months.

BP’s revenue jumped to $8.5 billion attributable to robust refining margins, continued “excellent” oil buying and selling efficiency and better vitality costs.

BP will increase dividend

BP pulled again its payout to shareholders by 10%, as traders reaped the rewards of its revenue surge.

The corporate can pay a dividend of simply over 6 cents per share, up from 5.46 cents per share within the first quarter of this 12 months.

The $8.5bn revenue that BP made within the final quarter was considerably larger than analysts’ forecasts ($6.8bn).

Thus far this 12 months, BP has made a fundamental alternative value revenue of $14.7bn — almost tripled $5.4bn within the first half of 2021.

BP revenue tripled to $8.5bn

BP doubled its underlying revenue within the final quarter, because it benefited from rising vitality costs.

The vitality big has reported a base alternative value acquire of $8.45 billion (£7 billion) in April-June, up from $2.8 billion within the second quarter of 2021.

That was additionally larger than the $6.2bn underlying alternative value acquire made in Q1, which was a 10-year excessive.

Laura In the present dayan fairness analyst at Hargreaves Lansdownepredicted (by way of Every day Mail):

‘BP will proceed to reap the rewards of rising oil costs within the second quarter with wholesome income anticipated.

‘BP has promised an extra share buyback value $2.5billion (£2.1billion) within the second quarter, to return some extra money movement to traders, though no shareholder returns are assured.’

Introduction: BP to document excessive income

Good morning, and welcome to our ongoing protection of enterprise, the world financial system and monetary markets.

BP chief govt Bernard Looney famously, or reasonably famously, described his firm as a ‘money machine’ final November. And as we speak, we learn the way a lot revenue BP made final quarter because the Ukraine conflict drove up vitality prices.

BP might report its highest revenue in additional than a decade, reigniting controversy over vitality corporations being profitable throughout the vitality disaster.

The business has benefited from rising oil and gasoline costs which have left tens of millions of UK households struggling to pay their payments, that are anticipated to leap over £3,000 a 12 months this winter.

Analysts forecast BP’s underlying earnings might attain $6.8 billion for the three months to June, greater than double the $2.8 billion a 12 months earlier. We’ll know when the BP outcomes are launched at 7am.

That was larger than BP’s $6.2 billion ‘underlying alternative value revenue’ made within the first quarter of the 12 months, attributable to excessive working money era, robust oil and gasoline buying and selling and a major enchancment in refining margins.

Fellow oil supermajor BP has already reported spectacular earnings for the final quarter, with Shell made an adjusted revenue of $11.5bn…and Exxon reported an unprecedented $17.85bn.

Additionally got here as we speak

Highway bakery Greggs, beverage group On the prime, pizza supply firm Domino’s provider of constructing supplies Taylor Wimpey additionally report outcomes, whereas constructing group the entire nation is releasing its newest home worth information.

British Airways has reportedly suspended the sale of short-haul flights from Heathrow for at the very least per week, including to the issues dealing with vacationers this summer time.

1000’s of seats had been faraway from sale, as BA complied with Heathrow’s restrict of 100,000 passengers per day. It’ll push already excessive costs up additional throughout the business, he pressured The Occasions.

Inventory markets had been a bit jittery this morning, as merchants braced for US Home Speaker Nancy Pelosi’s arrival in Taipei this week, as tensions between Washington and Beijing rose.

Brent crude fell beneath $100 a barrel in a single day, as recession fears additionally rose after weak manufacturing unit development figures yesterday.

The agenda

  • 7am BST: BP Q2 outcomes launched
  • 7am BST: Greggs, AG Barr, Travis Perkins and Domino’s additionally report outcomes
  • 7am BST: Nationwide home worth index for July
  • 3pm BST: US JOLTS survey of job openings in June

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