BP reported a significant increase in second-quarter profit, posting an underlying replacement cost profit of $5.7 billion for the April to June period, surpassing analyst expectations of $5 billion according to an LSEG-compiled consensus [1]. This marks a sharp rise from $2.35 billion in the same period last year and $3.2 billion in the first quarter of 2026 [1]. The surge in profits comes as oil and gas prices have escalated due to ongoing hostilities between the U.S. and Iran, which have severely disrupted shipping through the Strait of Hormuz—a key maritime route for global oil and natural gas [1].
BP also announced a 4% increase in its dividend to 8.66 cents per ordinary share for the second quarter and reported operating cash flow of $10.9 billion after accounting for a $1 billion adjusted working capital build [1]. The company's net debt decreased to $22.25 billion at the end of the second quarter, down from $25.3 billion at the end of March [1].
Other major oil companies also reported substantial profit increases: Exxon Mobil's second-quarter profits more than doubled to $14.5 billion compared to a year ago, while Chevron's earnings soared by nearly 400% to $12 billion from $2.5 billion in the same period last year [1].
U.S. President Donald Trump criticized Exxon Mobil and Chevron for making "too much money" off higher fuel prices amid the Iran war, reiterating his demand for lower prices at the pump [1]. BP CEO Meg O'Neill responded to these criticisms, emphasizing that BP's profits are tied to global commodity prices and highlighting the company's efforts to maximize the availability of products most needed by consumers, such as jet fuel and diesel [1].
Additionally, BP announced it had begun the process to market Archaea Energy for a potential sale, after acquiring the U.S. biogas business for $4.1 billion in 2022 as part of its expansion strategy [1].
CONCLUSION
BP and other oil majors have reported substantial profit increases in the second quarter of 2026, driven by surging oil prices amid the U.S.-Iran conflict and disruptions in the Strait of Hormuz. The strong financial results have prompted political criticism, but BP maintains its focus on operational reliability and product availability. The market impact is high, reflecting both the geopolitical tensions and the robust earnings across the energy sector.