BP shares rise on strong profits

BP has announced a rise in profits, which have caused shares to rise.

Underlying profits for 2021 was $12.8bn. This is compared to the $5.7bn loss posted in 2020.

Bernard Looney, chief executive officer, said: “2021 shows bp doing what we said we would – performing while transforming. We’ve strengthened the balance sheet and grown returns. We’re delivering distributions to shareholders with $4.15 billion of buybacks announced and the dividend increased.”

Allegra Dawes, senior analyst at Third Bridge, commented: “A week after Shell reported surging profits driven by their gas portfolio, BP has announced earnings that have also been bloated by the high oil and gas price environment. 

The company announced RC profit for the quarter of $4.1 billion beating consensus expectations of $3.9 billion, and a full year result of $12.8 billion. BP will look to increase its dividend, buy back shares, and continue investing in their energy transition strategy,”

Shares rose 1.3% to 414p.