BP

Website: BP
Index: FTSE 100
EPIC: BP.
Supersector: Energy
Sector: Oil: Crude Producers
Subsector: Integrated Oil and Gas
Market Cap: £68.68B
Payout Frequency: Quarterly

BP Dividend Analysis and Summary

Dividend details

Declared interim dividend: 8.320 cents per ordinary share (Q3 2025), up from 8.000 cents in Q3 2024 (+4% YoY).
ADS equivalent: $0.4992 per ADS (less fees).
Ex-dividend date (ordinary shares): 13/11/2025.
Record date: 14/11/2025.
Payment date: 19/12/2025.
Sterling equivalent: to be announced on 09/12/2025 (based on FX from 3–5 Dec).
Scrip: Not offered for this dividend; DRIP available (subject to conditions).
Policy reaffirmed: “Resilient dividend” with an expected =4% annual increase (subject to board discretion).
Trailing trend: 9M dividends announced per ordinary share 24.640 cents vs 23.270 cents in 9M 2024 (c.+6%).

Brief context on capital returns

Buybacks: $0.75bn intended before Q4 results (following completion of a prior $0.75bn on 31 Oct 2025).
Total shareholder distribution framework: 30–40% of operating cash flow over time (dividends + buybacks).

Analysis: sustainability and growth

Cash coverage: Q3 operating cash flow $7.8bn vs capital expenditure $3.4bn implies healthy pre-distribution free cash flow. Dividends paid to shareholders in Q3 were $1.29bn, alongside $0.75bn buybacks and a $1.2bn hybrid redemption; net debt held broadly flat at $26.1bn. Coverage for the dividend alone remains strong.
Earnings support: Underlying RC profit $2.2bn with broad-based segment contributions; adjusted EBITDA $10.0bn in Q3. While 9M underlying RC profit is lower YoY, Q3 profitability and cash generation remain robust enough to fund the dividend.
Balance sheet and policy: Commitment to A-range credit metrics and a $14–18bn net debt target by end-2027 underpins dividend resilience. Ongoing buybacks reduce share count, modestly enhancing per-share dividend capacity over time.
Growth trajectory: Quarterly DPS is up 4% YoY, consistent with the stated =4% annual growth ambition. With capex guidance (~$14.5bn for 2025; $13–15bn for 2026–27) and higher divestment proceeds expected, the dividend growth path appears achievable barring a sharp downturn in macro/commodity conditions.

Structural changes and capital allocation signals

Divestments and portfolio actions:
- Planned sale of bp Wind Energy (US onshore wind) to LS Power; sale of Netherlands mobility & convenience and bp pulse to Catom BV (completion targeted by YE25, regulatory approvals pending).
- Agreed sale of 32% Culzean (North Sea) interest to Serica, subject to pre-emption.
- Divestment of non-controlling interests in Permian/Eagle Ford midstream to Sixth Street for $1.5bn (phased payments).
- Formation of JERA Nex bp offshore wind JV; ongoing Lightsource bp actions.
These moves support simplification and provide proceeds that can help fund shareholder returns and/or debt reduction.
Capital discipline: 2025 capex ~$14.5bn, with 2026–27 frame unchanged at $13–15bn. Management continues to target structural cost reductions and a more efficient portfolio.
Financing mix: $1.2bn hybrid bond redemption in Q3 and prior $0.5bn hybrid issuance; proceeds from certain strategic actions (e.g., Castrol review, Lightsource bp partner) earmarked to reduce net debt—supportive for long-term dividend capacity.

Risks and flags to dividend stability

Commodity and margin sensitivity: Cash flows depend on oil/gas prices and refining margins; management notes fuels margins remain sensitive to cost of supply and oil trading was weak in Q3.
Tax and regulatory headwinds: Elevated underlying ETR (~39–41% guidance) and the extended UK Energy Profits Levy to 31/03/2030 increase tax burden; German tax changes add non-cash deferred charges.
Operational/execution: Ongoing turnaround/outage risks in refining; upstream execution and discovery appraisal; delivery and timing of divestment proceeds.
Legacy cash uses: ~$1.2bn 2025 Gulf of America settlement payments (pre-tax) are ongoing but well signposted within the cash frame.

BP Annual Dividend Yield - 5.59%

Dividends Used in Calculation:

Ex-Dividend Date	Payment Date	Type	Amount	Currency
20/02/2025	28/03/2025	Q4	8.00¢	USX
15/05/2025	27/06/2025	Q1	8.00¢	USX
14/08/2025	19/09/2025	Q2	8.32¢	USX
13/11/2025	19/12/2025	Q3	8.32¢	USX

Total (Annual Dividends Per Share): 24.44p (Using exchange rate on 12/12/2025 $ = £0.74878)

Dividend Yield = Annual Dividends Per Share (24.44p) ÷ Share Price (437.45p) = 5.59%

Ex Dividend Date	Payment Date	Type	Amount	Currency
13/11/2025	19/12/2025	Q3	8.32¢	USX
14/08/2025	19/09/2025	Q2	8.32¢	USX
15/05/2025	27/06/2025	Q1	8.00¢	USX
20/02/2025	28/03/2025	Q4	8.00¢	USX
07/11/2024	20/12/2024	Q3	8.00¢	USX
08/08/2024	20/09/2024	Q2	8.00¢	USX
16/05/2024	28/06/2024	Q1	7.27¢	USX
15/02/2024	28/03/2024	Q4	7.27¢	USX
09/11/2023	19/12/2023	Q3	7.27¢	USX
10/08/2023	22/09/2023	Q2	7.27¢	USX
11/05/2023	23/06/2023	Q1	6.61¢	USX
16/02/2023	31/03/2023	Q4	6.61¢	USX
10/11/2022	16/12/2022	Q3	6.01¢	USX
11/08/2022	23/09/2022	Q2	6.01¢	USX
12/05/2022	24/06/2022	Q1	5.46¢	USX
17/02/2022	25/03/2022	Q4	5.46¢	USX
11/11/2021	17/12/2021	Q3	5.46¢	USX
12/08/2021	24/09/2021	Q2	5.46¢	USX
06/05/2021	18/06/2021	Q1	5.25¢	USX
18/02/2021	26/03/2021	Q4	5.25¢	USX
05/11/2020	18/12/2020	Q3	5.25¢	USX
13/08/2020	25/09/2020	Q2	5.25¢	USX
07/05/2020	19/06/2020	Q1	10.50¢	USX
13/02/2020	27/03/2020	Q4	10.50¢	USX
07/11/2019	20/12/2019	Q3	10.25¢	USX
08/08/2019	20/09/2019	Q2	10.25¢	USX
09/05/2019	21/06/2019	Q1	10.25¢	USX
14/02/2019	29/03/2019	Q4	10.25¢	USX
08/11/2018	21/12/2018	Q3	10.25¢	USX
09/08/2018	21/09/2018	Q2	10.25¢	USX
10/05/2018	22/06/2018	Q1	10.00¢	USX
15/02/2018	29/03/2018	Q4	10.00¢	USX
09/11/2017	21/12/2017	Q3	10.00¢	USX
10/08/2017	22/09/2017	Q2	10.00¢	USX
11/05/2017	23/06/2017	Q1	10.00¢	USX
16/02/2017	31/03/2017	Q4	10.00¢	USX
10/11/2016	16/12/2016	Q3	10.00¢	USX
04/08/2016	16/09/2016	Q2	10.00¢	USX
05/05/2016	17/06/2016	Q1	10.00¢	USX
11/02/2016	24/03/2016	Q4	10.00¢	USX
05/11/2015	18/12/2015	Q3	10.00¢	USX
06/08/2015	18/09/2015	Q2	10.00¢	USX
07/05/2015	19/06/2015	Q1	10.00¢	USX
12/02/2015	27/03/2015	Q4	10.00¢	USX
06/11/2014	19/12/2014	Q3	10.00¢	USX
06/08/2014	19/09/2014	Q2	9.75¢	USX
07/05/2014	20/06/2014	Q1	9.75¢	USX
12/02/2014	28/03/2014	Q4	9.50¢	USX
06/11/2013	20/12/2013	Q3	9.50¢	USX
07/08/2013	20/09/2013	Q2	9.00¢	USX
08/05/2013	21/06/2013	Q1	9.00¢	USX

Year	Currency	Total	Change
2024	USX	30.540	10.010
2023	USX	27.760	21.010
2022	USX	22.940	7.090
2021	USX	21.420	-32.000
2020	USX	31.500	-23.170
2019	USX	41.000	1.230
2018	USX	40.500	1.250
2017	USX	40.000	0.000
2016	USX	40.000	0.000
2015	USX	40.000	2.560
2014	USX	39.000	41.810
2013	USX	27.500

BP Dividend Calculator

Number of Shares:

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