BP Posts Fall in Profit as Lower Oil Prices Bite

BP PLC on Tuesday reported a fall in first-quarter profit from a year earlier, giving the first glimpse of how low oil prices through the beginning of 2015 affected the world’s biggest oil companies.

BP’s replacement-cost profit–a number similar to the net income that U.S. oil companies report–was US$2.1 billion, down from US$3.48 billion a year earlier. Revenue fell to US$54.9 billion from US$75.1 billion from a year earlier.

Production for the quarter was 8.3% higher than the first quarter of 2014.

“Looking ahead, we expect second-quarter 2015 reported production to be lower than the first quarter, reflecting significant seasonal turnaround and maintenance activity,” the company said.

Source: MarketWatch