[ICYMI] COLUMN: Acceptance is the first step to recovery. “BP can and will do better for investors,” the company said today. Amen. BP is now sketching the outlines of a project that would make it investable again. Shame it took this long. #OOTT $BP https://t.co/3a1hO25BbH
Oil giant BP surprises with better than expected earnings https://t.co/bgoKu6nln7
BP dividend boost sends shares to 4-month highs https://t.co/5sSciJyLim #BP.
BP reported second-quarter adjusted net income of $2.4 billion, comfortably ahead of the $1.8 billion analyst consensus, helped by strong oil-trading results and higher volumes at its Castrol unit. The performance contrasted with weaker trading at rival majors and sent the shares up roughly 2.6% in London. Chief Executive Officer Murray Auchincloss said the company will undertake a comprehensive review of its entire portfolio and launch an additional cost-cutting programme. The move comes amid pressure from activist investor Elliott Investment Management and years of share-price underperformance against Shell, Exxon Mobil and Chevron. Incoming chairman Albert Manifold will oversee the review, which adds to BP’s plan to divest $20 billion of assets by 2027. BP has already met $1.7 billion of its $4–$5 billion cost-saving target for 2023-27 and is keeping annual capital expenditure in a $13–$15 billion range. To bolster investor returns, the company raised its quarterly dividend 4% to 8.32 cents a share and authorised a $750 million share buyback to be completed before third-quarter results. BP also highlighted recent exploration successes in Brazil and reiterated plans to expand U.S. production as it seeks to close the valuation gap with peers.
