BP (LON:BP) reported a base profit of $86 million (£66 million) in the third quarter of 2020.
The strong oil prices led to profits, beating analysts’ expectations of a $120 million (£92 million) loss in the three months ended September 30th.
BP reported a record $6.7 billion (£5.1 billion) loss in the second quarter of the year.
“BP’s future financial performance, including cash flow, net liability and gearing, will be affected by the scope and duration of current market conditions,” the group said.
“The current supply and demand imbalances have been resolved and it is difficult to predict what the ultimate impact of Covid-19 will be.”
Chief Executive Bernard Rooney said: “With detailed setting of our new strategy, our priorities are execution, and despite the challenging environment, we do just that. The major projects are coming online. The consumer-oriented business is really being offered, and we are focused firmly on cost and capital discipline. Importantly, net debt continues to decline. We are firmly committed to an updated financial frame, including dividends – our first call for our funds.”
So far, the oil giant’s stocks have fallen by more than 50%, still at its lowest level in nearly 25 years.
Credit Suisse analyst Thomas Adolf commented:
The group is looking to x its workforce of around 10,000 people over the next few quarters as part of its cost-cutting measures.
BP (LON:BP) shares rose more than 2% during early morning trading, and are currently up 1.88% at 203,75 (0927GMT).
