BP's $5.7bn profit highest since 2022 as Iran war pushes up oil price

BP's profits surged to a five-year high of $5.73 billion in the April-to-June quarter, driven by soaring oil prices due to the ongoing Iran war. This marked a significant increase from $2.35 billion in the same period last year, making it the highest quarterly profit since 2022. The price of crude oil, which averaged $103.85 a barrel during the quarter, had jumped as the conflict disrupted global oil and gas supplies through the Strait of Hormuz.

Environmental and poverty campaigners criticized BP for profiteering from these high prices, while rival companies like Shell also reported doubled profits. US President Donald Trump expressed concerns about the high profits of American oil firms and suggested they should return some of the gains to the public by lowering retail prices.

Despite the substantial profit surge, BP's chief executive, Meg O'Neill, noted that the company was not operating at its full potential and announced plans to divest its US renewable natural gas business, Archaea. O'Neill emphasized the need to focus on assets with strong potential for long-term value. The company's decision to put its North Sea operations up for sale and its pending windfall tax, which applies to UK oil and gas profits, further intensified criticism from environmental and poverty campaigners.