Uk-based multinational BP hits $28bn profit in 2022

Oluwanifemi Ojo
Oluwanifemi Ojo
BP- Uk-based multinational oil and gas company

A UK-based multinational oil and gas company, BP, on Tuesday reported that it made a profit of $28 billion for 2022, following the surge in energy prices since the Russian Ukraine War.

This is a high record profit in the same pattern as their competitors, Shell and Chevron reported last week.

The chief executive officer of BP, Bernard Looney disclosed in a statement, “We are strengthening BP, with our strongest upstream plant reliability on record and our lowest production costs in 16 years, helping to generate strong returns and reducing debt for the eleventh quarter in a row.”

Reuters reported that BP’s underlying replacement cost profit, the firm’s measure of net income, came in at $4.8 billion for the fourth quarter, just missing the $5 billion predicted in an analyst survey conducted by the company.

The report of the profit recorded by BP in 2022 exceeds its highest record of $26 billion in 2008.

The results were impacted by weaker gas trading activity after an “exceptional” third quarter, higher refinery maintenance and lower oil and gas prices.

The dividend paid by the renowned multinational oil and gas company increased by 10% to 6.006 cents per share. This followed Covid-19 pandemic. As a result, it cut its payout in half, to 5.25 cents, in July 2020, for the first time in ten years.

In addition, the business disclosed plans to buy back $2.75 billion worth of shares over the following three months, following a $11.7 billion purchase in 2022.

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