British energy giant BP rebounded into net profit in the second quarter of 2011, aided by high oil prices, after a huge loss last year due to the Gulf of Mexico oil spill disaster, it said yesterday.
Dudley: speedy progress
Earnings after taxation hit $5.62bn (€3.87bn) in the three months to June, BP said in a results statement. That compared with a vast loss of $17.15bn in the second quarter of 2010.
Adjusted net profit – stripping out fluctuations in the value of energy inventories - hit $5.3bn in the second quarter of 2011 after a huge loss of $16.97bn last time around.
The reading fell short of market expectations for adjusted profit of about $6bn.
Production meanwhile plunged nearly 11% to 3.43mn barrels of oil equivalent per day in the second quarter, which mostly reflected the suspension of drilling activities in the Gulf of Mexico. Output was also hit as the group sold of $25bn of assets to help foot the bill for the disaster.
But the company was boosted by high oil prices, which soared during the reporting period amid violent unrest in the crude-producing Middle East and North Africa region.
Chief executive Bob Dudley said that the group was making speedy progress as it sought to draw a line under the 2010 disaster.
“BP is making rapid progress against our priorities. In February we said we expected 2011 to be a year of consolidation as we reset the focus of the company,” Dudley said in the earnings release.
Total revenues soared by 39% to $103.84bn in the second quarter, compared with $75.87bn last time around.
