BP''s First-Quarter Results: High Oil Prices Help
Introduction
BP will announce its first-quarter results on Tuesday. Oil prices went up because of a war. The US and Israel started a war against Iran on February 28. BP says it did very well in oil trading.
Main Body
The war made oil prices go above $100. At one time, oil almost cost $120. Prices stay high because peace talks stop. BP says each $1 change in oil price changes its profit by $340 million. BP''s share price went up about one-third in six months. But some things are not good. Oil production is the same as before. Oil output is a little lower. BP''s debt will go up to between $25 billion and $27 billion. Last quarter, debt was $22.2 billion. These are the first results under new boss Meg O''Neill. She started on April 1. Old boss Murray Auchincloss left. Chairman Albert Manifold made changes. Analyst Michael Hewson says do not expect too much. O''Neill got a company. The company lost $3.4 billion in the last quarter. That is a low start. BP had a meeting with shareholders. Some shareholders were angry. They did not like BP''s climate plans. 18.2% of shareholders voted against Chairman Manifold. Shareholders said no to some BP ideas. BP is now going back to oil and gas. Its green energy plans did not work well. Hewson says BP must show it can make more money, pay less debt, and make shareholders happy.
Conclusion
BP''s new results will show how the company is doing under new leader. High oil prices help. But problems with production, debt, and shareholders stay.