Aker BP Q3 profits fall short of forecasts, but output guidance is raised

Aker BP, a Norwegian oil company owned in part by BP, reported a larger-than-expected drop in operating profit for the third quarter. It also said that full-year production would be at or above its guidance.

A poll of analysts conducted by the company showed that an average of $1.89 billion was expected.

The company reported a third-quarter output of 414.700 boed, down from the 449.800 boed it had a year ago, due to maintenance planned at several fields. Aker BP expects the production to increase in the fourth quarter.

The company increased its guidance for full-year production to 430,000-440,000 barrels equivalent to oil (boe) a day, up from its previous plan between 420,000-440,000. It also reduced its outlook on production costs to $6.5 per Boe from $7.

Aker BP CEO Karl Johnny Hersvik stated in a press release that "we are pleased to announce another quarter of high productivity, supported by the smooth execution of our Maintenance Program."

He added, "This performance allowed us to increase production guidance for 2024. It also reinforced our position as the industry leader both in low cost and low emission."

Aker BP has maintained a quarterly dividend of $0.60. (Reporting and editing by Terje Solsvik, Nerijus Adomiaitis)

(source: Reuters)