BP misses forecasts as annual earnings slide for second consecutive year

[LONDON] BP missed analysts'estimates for fourth-quarter profit on Tuesday and reported a decline in earnings for the second consecutive year to the lowest in at least 10 years.

BP's underlying replacement cost profit, the company's definition of net income, fell to US$400 million, compared with US$560 million expected by analysts but better than US$196 million made a year earlier.

It said it expected 2017 production to rise due to a string of new projects coming on stream, but warned that OPEC's decision to cut production may impact final output.

BP said it will balance its books at an oil price of around US$60 per barrel by the end of the year and said full-year capital expenditure was now expected at the higher end of its previous guidance at US$16-17 billion.

REUTERS