The oil behemoth Saudi Aramco recently disclosed its financial achievements for the initial quarter of the year, revealing a net profit of $27.27 billion. This marks a slight uptick of 2.04 percent from the preceding quarter, showcasing the company’s ongoing profitability.
With total revenues reaching an impressive $107.21 billion and operating income at $58.88 billion for the quarter, Aramco has demonstrated its formidable presence in the energy market.
Amin Nasser, the company’s CEO, commented on the results, “Our first quarter performance reflects the resilience and strength of Aramco, reinforcing our position as a leading supplier of energy to economies, to industries and to people worldwide.
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However, a year-over-year comparison reveals a 14.44 percent decrease in net profit by the end of March 2024. Despite this dip, the company has announced a substantial base dividend of $20.3 billion for the quarter and has plans for a $10.8 billion performance-linked dividend in the following quarter.
The company’s financial outlook for 2024 includes anticipated total dividends of $124.3 billion, which will consist of an $81.2 billion base and a $43.1 billion performance-linked dividend.
Nasser also highlighted advancements in the company’s gas ventures, stating, “We also continue to execute our long-term strategy, and in the first quarter made significant progress on expanding our gas business and growing our globally-integrated downstream value chain, while maintaining our focus on consistently delivering value for our shareholder.
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Notable developments include the discovery of an extra 15 trillion standard cubic feet of gas and 2 billion barrels of condensate in the Jafurah Field. Additionally, Aramco has committed $7.7 billion to the expansion of the Fadhili Gas Plant, aiming to augment its capacity substantially.
The acquisition of a full stake in the Chilean retailer Esmax in the previous year’s third quarter marks another step in Aramco’s downstream expansion.
Nasser envisions the company’s portfolio continuing to evolve, particularly in contributing to an energy transition that balances climate solutions with the need for affordable, reliable, and flexible energy supplies.
Aramco’s position to meet the world’s increasing energy needs is solid, with an emphasis on the enduring role of oil and gas in the global energy mix. In the first quarter alone, the company’s total hydrocarbon production was 12.4 million barrels of oil equivalent.
The company is also enhancing its commitment to sustainability, with plans to invest in up to 12 gigawatts of solar and wind projects by 2030. The Sudair Solar PV Plant, a significant solar project with a capacity of 1.5 GW in which Aramco is a partner, has recently commenced full-capacity operations.