BP’s £1bn boost for shareholders
BP marked its surge back into profit by boosting its dividend and announcing it will hand £1billion back to shareholders.
Investors were also cheered by banking giant Standard Chartered and builders merchant Travis Perkins, which reinstated their dividend payments at their halfyear results.
Together, the three companies announced shareholder payouts worth more than £2.1billion.
At its second-quarter results yesterday, BP said that it made a £3.7billion pre-tax profit compared with the £15billion loss it made in the same period last year.
Revenues were up 71.5 per cent to £26.2billion.
The energy major was boosted by the rebound in the price of crude oil and the recovery in demand from last year’s pandemic lows.
Its return to profit enabled it to raise its dividend four per cent to 5.46 US cents per share, a payout worth £788.7million.
BP is also to return £1billion to inves- tors by buying back their shares.
The oil giant is working to move its operations away from fossil fuels to renewable energy. Boss Bernard Looney said: “This [BP’s results] shows we continue to perform while transforming BP, generating value for our shareholders today while we transition the company for the future.”
Emerging markets bank Standard Chartered saw its profits rocket 57 per cent to £1.8billion thanks to the betterthan-expected performance of the global economy and lower loan impairments.
This came despite its revenues slipping six per cent to £5.5billion.
The bank declared an interim dividend of 3 US cents a share, a payout equal to £67.6million, as well as a £179.7million share buyback.
Travis Perkins said it would pay £2.7million in a 12p dividend after it roared back into the black. It made a pre-tax profit of £145.7million compared with a £94.5million loss last year.
Additionally, it will return £78.8million via a 35p special dividend funded by the £325million sale of its plumbing and heating business to HIG Capital. It will also buy back shares.