Saudi Aramco unveils record $48.4 billion Q2 profit

Shutterstock

Oil giant Saudi Aramco on Sunday unveiled record profits of $48.4 billion in the second quarter of 2022, after the war in Ukraine and a post-pandemic surge in demand sent crude prices soaring.

Net income leapt 90 per cent year-on-year for the world's biggest oil producer, which clocked its second straight quarterly record after announcing $39.5 billion for Q1.

"While global market volatility and economic uncertainty remain, events during the first half of this year support our view that ongoing investment in our industry is essential -- both to help ensure markets remain well supplied and to facilitate an orderly energy transition," said Aramco president and CEO Amin H. Nasser.

"In fact, we expect oil demand to continue to grow for the rest of the decade, despite downward economic pressures on short-term global forecasts."

Net income rose 22.7 per cent from Q1 in "strong market conditions", Aramco said. Half-year profits were $87.9 billion, up from $47.2 billion for the same period of 2021.

Aramco paid an $18.8 billion dividend in Q2 and will disburse the same amount in Q3.

The quarterly profits, the highest since Aramco's flotation in late 2019, beat analyst forecasts of $46.2 billion.

Aramco was priced at 40.8 riyals ($10.9) ahead of the Saudi stock exchange's opening on Sunday.

Aramco floated 1.7 per cent of its shares on the Saudi bourse in December 2019, generating $29.4 billion in the world's biggest initial public offering.

The "crown jewel" and leading source of income for the kingdom temporarily supplanted Apple as the world's most valuable company in March. It now lies second in the list.

More from Business

Coming Up on Dubai Eye

  • Entertainment Extra

    1:00pm - 2:00pm

  • Afternoons with Helen Farmer

    2:00pm - 5:00pm

    Every weekday afternoon, Helen Farmer will help you to navigate the highs and lows of life in the UAE. Stay up to date with what’s happening and where to go.

BUSINESS BREAKFAST LATEST

On Dubai Eye