The BP logo is displayed on a petrol tanker delivering fuel at a service station in Shepton Mallet, Somerset, UK, on October 20, 2025.
Anna Berkeley | Getty Images News | Getty Images
British oil giant blood pressure on Tuesday reported better-than-expected third-quarter profits as increases in oil and gas production outweighed weaker oil trading results.
The London-listed oil and gas giant posted an underlying replacement cost profit of $2.21 billion in the July-September period, a proxy for net profit. According to consensus compiled by LSEG, this beat analysts’ expectations of $2.03 billion.
BP’s third-quarter net income was $2.3 billion last year and $2.35 billion in the second quarter of 2025.
BP CEO Murray Auchincloss said in a statement that “operations continue to perform well and we delivered another strong quarter of performance across our businesses.”
“We aim to accelerate the delivery of our plans, including a thorough review of our portfolio to drive simplification and further improve cost performance and efficiency,” Mr Auchincloss said.
The oil major’s net debt in the third quarter was $26.05 billion, up from $24.27 billion in the same period a year ago, but roughly flat from the previous quarter.
Other third quarter highlights include:
Operating cash flow was $7.8 billion, up from $6.3 billion three months ago. BP said it expects sales and other proceeds to exceed $4 billion in 2025.
BP also announced an additional $750 million in share buybacks over the next three months, maintaining the pace of shareholder returns, albeit at a lower level than at the start of the year.
These results come just over eight months after the company began a fundamental strategic reset.
BP, the subject of intense takeover speculation, is trying to regain investor confidence by cutting renewable energy spending and prioritizing its traditional oil and gas business.
Investors appear to have broadly welcomed the oil and gas giant’s U-turn in its green strategy, with shares up more than 13% since the beginning of the year. The improvement in sentiment is also attributable to the company’s management shake-up, advances in its cost-cutting program, and a series of recent oil discoveries.
BP announced Monday that it has agreed to sell a minority stake in U.S. onshore pipeline assets in the Permian and Eagle Ford Basins to private investor Sixth Street for $1.5 billion. BP previously said it was targeting $20 billion in sales by the end of 2027.
Last week, British rivals shell reported better-than-expected third-quarter profit, citing strong performance and increased trading contribution.
