British Petroleum profits jump sharply amid Iran war-driven oil price spike

The oil and gas producing giant British Petroleum (bp) has reported more than a twofold increase in first-quarter profit, driven by a sharp rise in oil prices triggered by the war in Iran and disruptions in the Strait of Hormuz.

According to the company, underlying profit reached around $3.2 billion, compared to $1.38 billion a year earlier, surpassing analysts’ expectations. The growth was attributed to higher oil prices and strong performance from its trading division, Caliber.Az reports via foreign media.

Following the escalation of the conflict, Brent crude prices averaged around $83 per barrel, at times exceeding $100.

The oil giant noted that a significant portion of its production is concentrated in North America, which reduces exposure to Middle East supply disruptions, although fuel markets and refining margins remain sensitive to geopolitical developments.

At the same time, the company is facing higher tax payments, including the UK’s windfall tax introduced after the energy crisis. The effective tax rate in some segments reached as high as 78%.

Environmental groups strongly criticised the results, arguing that oil companies are making excessive profits amid global crises and rising living costs, and called for increased taxation on the sector.

By Jeyhun Aghazada