Aramco surpasses Apple and Google in profitability during 2023‎

A recent report revealed that, contrary to popular belief, the most profitable company in the world in 2023 is not a giant technology company such as “Apple” or “Google” affiliated with Alphabet, but rather the giant oil company Saudi Aramco.

Last year, Aramco announced a net income of $161.1 billion, its highest annual profit as a listed company.

This enormous profitability depends on sales of $592 billion in oil and petrochemicals, which is a significant increase compared to the previous year’s sales, which amounted to $400 billion.

Fortune magazine ranked Saudi Aramco as the most profitable company ever in August. Saudi Aramco’s revenues in 2022 reached $604.4 billion, with a market value of $2.1 trillion.

The Saudi government owns the majority stake in Aramco, despite offering a stake on the financial market in 2019.

In the third quarter, Aramco continued to demonstrate strong financial strength, announcing net income of $32.6 billion and free cash flow of $20.3 billion.

The debt ratio reached -7.6% as of September 30, 2023, which reflects the company’s strong financial position.

These results were part of a broader expansion and diversification strategy, including entry into the liquefied natural gas market and plans to enter the South American market through retail acquisitions, according to Yahoo Finance.

Amin Nasser, Aramco President and CEO, stressed the company’s commitment to developing its business model and meeting customer needs.

Al-Nasser stressed the importance of investing across the hydrocarbon chain and benefiting from advanced technologies to improve operations and develop emerging energy solutions.

He also stressed the company’s belief in a balanced and realistic energy transition plan, which takes into account the needs of diverse global geographic regions and takes into account the disparity among global energy consumers.

Technology giants:

Technology giants Apple and Google are also making significant profits, although not at the same level as Aramco. For the quarter ending June 30, Apple reported net income of $19.88 billion, representing a 2.26% increase year over year.

However, during the 12 months ending June 30, Apple’s net income was $94.76 billion, representing a 4.89% decline from the previous year.

In 2022, Apple’s annual net income reached $99.8 billion, an increase of 5.41% from 2021.

Proactive approach:

While Apple and Google maintain a strong financial position and are major players in the global market, Aramco’s record profits overshadow their profits. Aramco’s net income of $161.1 billion for this year puts it ahead of the technology giants in terms of profitability.

Aramco’s strategic moves and expansions, such as entering the liquefied natural gas market and the retail sector in South America, indicate a proactive approach to growth and diversification, strengthening its position as the most profitable company in the world.

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