BP (NYSE:BP) reported a substantial fourth-quarter net loss of $3.42 billion on Tuesday, as the British energy major took a massive $4.3 billion post-tax impairment charge primarily linked to its "transition businesses" in the gas and low-carbon energy segments.
The loss, equivalent to $1.33 per share, marks a sharp reversal from the profit seen in earlier quarters and underscores the financial friction as the company recalibrates its long-term green energy strategy.
Despite the headline loss, BP’s operational performance showed resilience in a cooling price environment.
Underlying replacement cost profit—the company's proxy for net income—totaled $1.54 billion, or 60 cents per American Depositary Share (ADS).
This surpassed the 57 cents per share consensus estimate from analysts surveyed by Zacks Investment Research.
Revenue for the period came in at $47.74 billion.
For the full year 2025, BP recorded a razor-thin profit of $55 million on total revenue of $192.55 billion, reflecting the heavy weight of year-end writedowns and a 20% decline in global oil prices throughout the year.