BP profit drops 79% in Q4 due to settlement

BP took a loss of $3.85 billion for its settlement of all federal criminal charges with the US govt

I / London  Feb 05, 2013,  19:27 IST

Oil and gas giant BP says its profit fell nearly 80% in the fourth quarter, dragged down by payouts related to the Gulf of Mexico oil spill.

BP said today that net profit fell to $1.62 billion in the quarter ending on December 31, down from $7.69 billion in the same period the year before. BP took a loss of $3.85 billion for its settlement of all federal criminal charges with the US government.

Nevertheless, the results surpassed analysts' predictions, and BP said that its downstream activities, refining and sale of petroleum products, earned a record amount for the year.

CEO Bob Dudley said in a statement that the result "lays a solid foundation for growth into the long term."