Saudi Aramco Reports Q1 Net Profit of SAR 102.3 Billion, Down 14.4% Year-on-Year

The Saudi Arabian Oil Company (Saudi Aramco) reported a decrease in net profit to SAR 102.3 billion during the first quarter of 2024, down 14.44% from SAR 119.5 billion in the same quarter of the previous year, as announced on Tuesday. The results reflect the estimated financial outcomes as of March 31, 2024.

Operating profit for the quarter was SAR 202 billion, a 9% decrease from SAR 222 billion recorded in the first quarter of 2023. Earnings per share also fell to SAR 0.43 from SAR 0.49 year-over-year.

First quarter revenues reached SAR 402.04 billion ($107.21 billion), compared to SAR 417.46 billion ($111.32 billion) in 2023. The decline in revenue was primarily due to lower crude oil volumes sold, although this was partially offset by higher crude oil prices during the period.

The decrease in net income from the same quarter last year to SAR 102.27 billion ($27.27 billion) was largely attributed to reduced crude oil volumes, weaker refining and chemical margins, and decreased finance and other income. However, these factors were partially mitigated by lower production royalties, an increase in crude oil prices, and reduced income taxes and zakat.

Comparatively, the company’s revenue dropped slightly from SAR 409.16 billion ($109.11 billion) in the fourth quarter of 2023 to SAR 402.04 billion in the first quarter of 2024. However, net income showed a slight increase from SAR 100.22 billion ($26.73 billion) in the previous quarter.

Additional details highlight a drop in other income related to sales, contributing to total revenue and other income of SAR 437.85 billion for the first quarter of 2024, down from SAR 459.83 billion in the same period last year and SAR 459.29 billion in the preceding quarter.