The UK-based energy major BP has reported underlying profits of USD7.5bn in 2025, down from USD8.9bn the previous year, after oil prices fell by about 20% (BP press release, 10/02/2026). BP's annual profits have now declined for three consecutive years, after peaking at USD27.7bn in 2022 amid soaring oil prices following Russia's invasion of Ukraine.
Oil production in 2025 averaged 2.3 mboe/d, down from 2.4 mboe/d in 2024, while gas production reached 4.1 mcf/d, compared to 4.6 mcf/d the prior year. A year ago, BP announced a strategic reset toward hydrocarbons, shifting away from renewable energy investments to refocus on oil and gas operations.
The company reported CAPEX of USD14.5bn in 2025, down from USD16.2bn in 2024. BP is also working to reduce its substantial debt, which stood at about USD22bn as of late 2025 (down from USD23bn in 2024), targeting USD14-18bn by 2027; it raised its cost-savings goal to USD5.5-6.5bn by end-2027, up from a prior maximum of USD5bn.
For 2026 guidance:
- BP expects reported upstream production to be slightly lower and underlying upstream production broadly flat versus 2025, with oil production & operations flat and gas & low-carbon energy lower.
- In an update on the Brazilian Bumerangue discovery, its biggest hydrocarbon find in 25 years, BP estimated 8 Gbl of liquids in place (split between oil and condensate) and plans appraisal wells by year-end.
- On strategic progress, BP noted proceeds from completed and announced divestments exceeding USD11bn; a deal to sell a 65% stake in Castrol (BP's global lubricants subsidiary) for ~USD6bn in net proceeds; and closures of sales including Netherlands retail, US onshore wind, and non-controlling US midstream interests.
- The company plans further CAPEX reductions, budgeting USD13-13.5bn for 2026.