Aramco Reports $30-B In Q2 Profits, Down 40% From Last Year

Saudi oil giant Aramco said Monday that it made $30 billion in profit in the second quarter, a nearly 40% decline from the same period the previous year that it attributed to lower oil prices, the Associated Press (AP) reported.

Photo Insert: The company reported a net income of 112.8 billion Saudi riyals ($30 billion) compared to 181.6 billion riyals ($48 billion) in the second quarter of 2022, a decline of 37.8%.

Total sales stood at just over 400 billion riyals (about $106 billion), down from 562 billion riyals ($150 billion in the second quarter of 2022.

In an earnings report filed with the Saudi stock exchange, Aramco said the decrease “mainly reflected the impact of lower crude oil prices and weakening refining and chemicals margins.”

The company reported a net income of 112.8 billion Saudi riyals ($30 billion) compared to 181.6 billion riyals ($48 billion) in the second quarter of 2022, a decline of 37.8%.

Aramco nevertheless raised its dividend paid out to investors to 110.18 billion riyals ($29.38 billion), compared to $18.8 billion in the second quarter of 2022. The performance-based dividend is partly based on the company’s record earnings last year, it said.

“Our strong results reflect our resilience and ability to adapt through market cycles,” Aramco CEO Amin Nasser said in a statement accompanying the report.

Last week, Fortune magazine ranked Aramco as the second biggest company in the world by revenue, behind only Walmart and ahead of Amazon and Apple. The ranking came after the oil company reported a profit of over $160 billion in 2022, the largest ever recorded by a publicly traded firm.

WEEKLY FEATURE : MVP Group Keeps Lights On During Pandemic