BP gets Q2 boost from higher oil prices; earnings quadruple

Energy giant BP says it is increasing its dividend for the first time in almost four years after second-quarter earnings quadrupled on higher oil prices and streamlined production.

Underlying replacement cost profit jumped to $2.82 billion from $684 million in the same quarter a year earlier. The figure, which excludes one-time items and fluctuations in the value of inventories, is the industry's preferred gauge of earnings. Net income soared to $2.80 billion from $144 million.

Oil companies are profiting after they cut costs and sold assets to adjust to an era of lower oil prices when crude dropped below $30 a barrel in January 2016. Brent crude was trading at $75.30 on Tuesday.

CEO Bob Dudley says the 2.5 percent dividend increase reflects "our confidence in the future."