BP Q3 2026 results: record $8.46bn profit, cash goes to Deepwater Horizon bill and debt

BP Q3 results showed a record underlying replacement cost profit of $8.46bn for the third quarter of 2026. The figure, BP’s version of net income, beat analysts’ expectations of $7.33bn. It was also up from $5.7bn in the second quarter and $2.2bn a year earlier. Reuters said it was the highest for any quarter under BP’s current measure.

However, BP took a different path from Shell and TotalEnergies. Instead of bigger buybacks, it will use the windfall to cut debt and settle its remaining Deepwater Horizon liabilities early. The results came out on Friday 30 October 2026.

Refining margins drive BP Q3 results

BP’s refining indicator margin rose to $46.7 a barrel in the quarter. That compares with $29.6 in the second quarter and $15.8 a year earlier. As a result, the customers and products unit made an underlying $6.9bn, up from $5.0bn. In particular, the products business gained $2.5bn on the quarter.

Gas and low carbon energy also improved, to an underlying $3.2bn from $2.1bn. BP said its gas marketing and trading result was significantly higher. Meanwhile, oil production and operations made $3.5bn, slightly below the previous quarter.

“This has generated a strong set of results, supported by the higher-price, higher-margin environment,” chief executive Meg O’Neill said. Moreover, upstream plant reliability rose to 95.3%, from 92.4%. Refining availability improved to 96.5%.

Big write-downs cut reported profit

The BP Q3 results showed lower reported profit, at $4.7bn, against $3.9bn in the second quarter. BP booked $4bn of impairments, linked largely to its solar business Lightsource BP and offshore wind. In recent months, it had already written down over $5bn on low-carbon ventures.

Production held at about 2.2 mmboe/d. In contrast, refining throughput fell to 1.40mn b/d, from 1.47mn b/d, after BP sold its Gelsenkirchen refinery in Germany.

BP Q3 results: debt target reached a year early

Operating cash flow came to $14.8bn. Consequently, net debt fell by $8.4bn to $13.9bn. That means BP reached its net debt target a year ahead of schedule, Reuters reported.

Asked about buybacks, O’Neill said BP still carries too much debt for a low-price scenario. So the priority is to protect the current dividend.

Settling the Deepwater Horizon bill

BP will also use surplus cash to settle its remaining liabilities from the 2010 Deepwater Horizon disaster. The Macondo blow-out in the Gulf of Mexico killed 11 people. BP set aside $69bn for the spill. Yet payables and provisions still total $5.94bn, under a schedule that runs to 2033.

The first step came on 23 October 2026. BP agreed to pay Louisiana a single $350mn sum, instead of $373mn over the next seven years. That deal also resolved long-running coastal lawsuits by local parishes.

What it means

BP shares rose 0.5% on Friday, while a wider index of European energy stocks fell 0.2%. Investors appear to welcome the cleaner balance sheet in the BP Q3 results. Still, the choice keeps BP behind its rivals on cash returns. Speculation about BP’s future has run for weeks, as our report on the BP break-up story showed.

What comes next

Next, BP will set out the next phase of its strategy on 15 December 2026. Investors will look for news on buybacks, asset sales and the future of its low-carbon units.