British energy giant BP reported a profit of around $4.7 billion in the first quarter of the year, up from a loss of about $4.3 billion in the same quarter of 2020, according to its financial results statement released on Tuesday.
'With the acceleration of divestment proceeds, together with strong business performance and the recovery in the price environment, we generated strong cash flow and delivered on our net debt target around a year early,' BP's Chief Executive Officer Bernard Looney said.
Despite the huge loss of $20.3 billion in the full year of 2020, the company had recorded a profit of around $1.4 billion in the fourth quarter of 2020.
The company's revenue for the first quarter of 2021 was around $36.5 billion, up nearly $7 billion compared to its revenue in the previous quarter and $5.6 billion higher than the same quarter last year.
- BP sees recovery in oil demand in 2021
The British energy major said that the oil market is set to continue its rebalancing process, with global stocks expected to decline.
Oil demand is expected to rebound in 2021 as a result of strong growth in the US and China, the company predicted, adding that increased vaccine coverage and the gradual lifting of lockdown restrictions will also help the recovery.
The company also described the OPEC+ achievement of restraining output as a key factor for oil price and market rebalancing.
By Sibel Morrow and Firdevs Yuksel