one slide Company analysis of BP global 2011-12 Its strategies, financials and company INFo in KPMG ppt stle

1. Company analysis-BP Global
By: Monika Bansal
PGDM (2012-14)
FIIB, New Delhi

2. Company profile-BP GLOBAL
BP provide customers with fuel for transportation, energy for heat and light, lubricants to keep engines moving and
petrochemical products used to make everyday items
Background/Company overview/Business description
• Incorporated in 1909 and headquartered London, England, U.K, BP provides fuel, energy ,
lubricants and petrochemical products; the company operates through two segments: Upstream and
Downstream
• BP employs about 85,700people across the world
•In 2012, the company’s revenue increases marginally (by 0.01%) and profits declined substantially
(by 50%) due to decrease in profits from both segments.
• In 2010 after Deepwater Horizon, BP Global set a target to sell $38 billion of assets, in
order to safeguard their financial strength and they met this target in 2012, one year early.
361,143
239,272
297,107
375,517 375,580
-40
-30
-20
-10
0
10
20
30
40
0
50,000
100,000
150,000
200,000
250,000
300,000
350,000
400,000
2008 2009 2010 2011 2012
Net revenues , fiscal year ending December
2012 ( $ million)
Net revenues Growth rate
21,666
16,759
-3,324
26,097
11,816
-2
0
2
4
6
8
-5,000
0
5,000
10,000
15,000
20,000
25,000
30,000
2008 2009 2010 2011 2012
Net Profit , fiscal year ending December 2012
( $ million)
Net profit Net profit margin
91.89
7.82 0.29
Revenues from different segments, fiscal
year ending December 2012 ( $ million)
downstream
upstream
other businesses
and corporate 65.14
34.86
Country-wise revenues, fiscal year ending
December 2012 ( $ million)
Non-U.S
U.S
Strategic Initiatives
Upstream portfolio simplification
• BP Global has divested a significant proportion of there
operated assets while still retaining virtually all their future
major projects and around 90% of their proved reserves.
Focus on Expanding and accessing new geographies
•BP and its partner, Zhuhai Port Co has received final
approvals from the Chinese Government for the construction of
a third purified terephthalic acid (PTA) plant, at Zhuhai,
Guangdong
• BP Global gained new exploration access in six countries
•BP Global drew their TNK-BP partnership in Russia to a close
through an agreed transaction with Rosneft, which will provide
BP with a net $12.3 billion in cash (which includes a dividend of
$0.7 billion received from TNK-BP in December 2012) and an
additional 18.5% share in Rosneft, bringing their total
shareholding to 19.75%.
•BP is accelerating the commercialization of advanced
biobutanol technology – with partner Du Pont – at a purpose-
built development and demonstration facility at our Saltend site,
near Hull, UK
Restructuring its Oil business
•BP Global quietly announced that it was divesting of its wind
power assets after 40 years in the business.
"To the extent that natural gas remains abundant and
prices in the U.S. remain low, it will create challenges to
large scale deployment of renewable, due to the
competition with gas in power generation," said BP's
Finley.
Sources: Company presentations; Analyst reports