Dan Coatsworth, head of markets at AJ Bell, said: “The logic behind BP’s about-turn on its green energy push is reaffirmed by impairments in a teaser ahead of quarterly results.
“Put the write-downs together with a weak showing for its oil trading arm and the impact from weaker oil prices looks like the final set of quarterly results before Meg O’Neill steps into the hotseat in April will be downbeat.
“From O’Neill’s perspective this is no bad thing as it gives her a low base from which to build.
“However, it does illustrate the scale of the challenge in front of her.
“There’s little O’Neill can do about a capricious oil market but investors, including activist Elliott, will hope the new CEO can transform BP into a more streamlined and efficient business and revive its traditional oil and gas operations.
“O’Neill will be supported by chair Albert Manifold who led a transformation, albeit in a different sector, at construction materials firm CRH.
“At least BP is making progress in trimming its hefty debt pile which is an important step towards putting the company on a more sustainable footing.”
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