BP has revealed its results for the first quarter of 2026, reporting earnings of $3.8billion (£2.8billion) as stronger trading, higher refining margins and portfolio changes helped drive results.
The oil and gas giant posted underlying replacement cost profit – the key measure watched by investors – of $3.2billion (£2.4billion) for the three months to March 31, up from $1.5billion (£1.1billion) in the previous quarter and $1.4billion (£1billion) in the same period last year.
It is BP's first results since the conflict in the Middle East broke out in late February, although the results show a range of factors were behind the performance, including what it described as an “exceptional” oil trading contribution, stronger refining margins, improved reliability and higher production from the Gulf of America and its US onshore business, bpx Energy.
The company also booked $248million (£184million) from divestments, including the sale of its entire stake in two central North Sea licences against the backdrop of continued pressure on the UK North Sea, where producers face a headline tax rate of 78% under the Energy Profits Levy.
Behind the headline profits, BP invested heavily during the quarter, with capital expenditure of $3.29billion (£2.4billion) – effectively matching its underlying profit for the period.
The company said it would maintain planned capital expenditure of $13billion to $13.5billion (£10billion) this year as it continues investing in production, infrastructure and future growth.
BP’s balance sheet also reflects the scale of capital required in the energy sector, with net debt standing at $25.3billion (£19billion) at the end of March.
Chief executive Meg O'Neill, who took up her post on April 1st, said: “It's a privilege and an honour to serve as bp's CEO. I join at a time when our industry is operating in an environment of conflict and complexity, playing a vital role in keeping energy flowing.
"bp's team has been working relentlessly to keep our assets producing safely, reliably and efficiently. We are working with customers and governments to get fuel where it's needed, helping minimize disruption and the impact it can have on people's lives.
"Overall, our business continues to run well. This was another quarter of strong operational and financial delivery, and we made further progress towards our 2027 targets. We had high plant reliability, high refining availability and increased production in the Gulf of America and at bpx Energy, our US onshore business - keeping production levels steady despite the ongoing disruption."
She added: "bp is a great company, with highly skilled people and world-class assets. We are heading in the right direction, strengthening the balance sheet and continuing to accelerate delivery. Now, we have to capitalise on the opportunity that exists across our portfolio, simplifying how we work, unlocking growth and driving improved returns.
"That is how we will make bp a simpler, stronger, more valuable company."