Oil prices are rising sharply – BP is also benefiting from this. The balance sheet is still in the red. The reason for this are the effects of suddenly rising gas prices.
The British oil company BP profited from high oil prices in the past quarter and plans to invest another billion in a share buyback.
However, as a result of the rapidly rising gas price, gas contracts tore the balance sheet deep into the red due to a valuation effect.
Adjusted for one-off effects such as changes in the valuation of oil stocks, BP earned 3.32 billion US dollars (2.9 billion euros) in the months of July to September, as the company announced in London on Tuesday. A year ago, adjusted profit was only $ 86 million due to lower oil prices.
The interim dividend for the quarter remains constant at 5.46 US cents per share, but the company plans to spend another 1.25 billion dollars on a share buyback. From operations, the group flowed funds of 6.0 billion dollars into the coffers in the third quarter. BP boss Bernard Looney spoke of another good quarter for the group.
The bottom line, however, was that the sudden rise in gas prices for later delivery at the end of the quarter had an impact on the consolidated accounts. In particular, hedging transactions fell on the company’s feet with a pre-tax charge of 6.1 billion dollars – the net loss attributable to shareholders was therefore 2.5 billion dollars. A year ago the shortfall was only $ 450 million. From BP it was said that the disproportion should then settle again when prices fall again and the quantities are actually delivered.
Source From: Stern
Jane Stock is a technology author, who has written for 24 Hours World. She writes about the latest in technology news and trends, and is always on the lookout for new and innovative ways to improve his audience’s experience.
