BP p.l.c. (NYSE: BP) reported strong first-quarter 2018 earnings, mainly driven by the recovering oil prices from nearly four years back. Record oil and gas production along with increased refinery throughput also boosted earnings.
Another European energy giant Royal Dutch Shell plc (NYSE: RDS.A) also reported strong first-quarter profit on April 26.
BP reported first-quarter adjusted earnings of 78 cents per American Depositary Share (ADS) on a replacement cost basis, excluding non-operating items. Total revenues were $69,143 million in the quarter, up from $56,386 million in the year-ago quarter.
Total production was up 9% from last year to 2.605 million barrels of oil equivalent per day. It is the highest quarterly production since the October-to-December quarter of 2010. The company sold liquids at $61.4 a barrel in the first quarter as compared with $49.87 in the year-earlier quarter.
The integrated energy major continued to return cash to shareholders through buybacks and dividends payments. Through first-quarter 2018, BP spent $120 million for buying back 18 million worth of shares.
Whereas the net debt reported was $39,993 million at the end of the first quarter, higher than $38,635 million in the first quarter of prior year. Net debt ratio was 28.1%, slightly higher 28% in the year-ago quarter.