Skip to main content

BP releases 1Q20 results

Published by , Editor
Oilfield Technology,

BP has announced its 1Q20 results.


  • Underlying replacement cost profit for 1Q20 was US$0.8 billion, compared with US$2.4 billion for 1Q19. The result reflected lower prices, demand destruction in the downstream particularly in March, a lower estimated result from Rosneft and a lower contribution from oil trading. It was also impacted by US$0.2 billion non-cash underlying foreign exchange (FX) effects in other businesses and corporate, including FX translation impacts of finance debt in the BP Bunge Bioenergia joint venture (JV).
  • Replacement cost loss 1Q20 was $0.6 billion, compared with a profit of US$2.1 billion for 1Q19, including a US$1.4 billion net adverse impact of non-operating items and fair value accounting effects.
  • Inventory holding losses of US$3.7 billion, as a result of the dramatic drop in oil prices at the quarter end, were the main driver of the reported historical cost loss of US$4.4 billion.
  • Operating cash flow for 1Q20, excluding Gulf of Mexico oil spill payments, was US$1.2 billion, including a US$3.7 billion working capital build (after adjusting for net inventory holding losses) driven by higher downstream product balances and trading mark-to-market receivable balances at the end of the quarter. Gulf of Mexico oil spill payments in 1Q20 were US$0.3 billion on a post-tax basis.
  • Receipts from divestments and other proceeds were US$0.7 billion in 1Q20.
  • Net debt at the end of 1Q20 was US$51.4 billion, US$6 billion higher than 4Q19. Also reflecting lower equity including FX impacts, gearing at quarter end was 36.2%.
  • At the end of 1Q20 BP had around US$32 billion of liquidity available.
  • A dividend of 10.5 cents per share was announced for 1Q20.

Bernard Looney, CEO, said: "This extraordinary time for the world demands extraordinary responses. And thankfully we are seeing that just about everywhere we look around the world. Our industry has been hit by supply and demand shocks on a scale never seen before, but that is no excuse to turn inward. BP, like many other companies, is stepping up and extending a helping hand to those in need. We do it not because it is expected of us – but because we want to. That is consistent with our purpose.

We are focusing our efforts on protecting our people, supporting our communities and strengthening our finances. I am incredibly proud of the work that our people are doing in all three areas, particularly our colleagues in operations – from rigs to retail and everywhere in between – who are continuing to deliver energy and provide goods in the most difficult of circumstances. At the same time, we are taking decisive actions to strengthen our finances – reinforcing liquidity, rapidly reducing spending and costs, driving our cash balance point lower.

We are determined to perform with purpose and remain committed to delivering our net zero ambition."

Read the article online at:

You might also like


Embed article link: (copy the HTML code below):


This article has been tagged under the following:

Upstream news BP news Oil & gas news