Saudi oil giant Aramco reported a net profit of $26 billion for the first quarter of 2025, down from $27.3 billion during the same period last year, as weaker oil prices continued to weigh on earnings.
Despite the year-on-year dip, the result exceeded analysts’ expectations of $25.36 billion, according to a Reuters poll. The company also announced a higher dividend payout of $21.1 billion for the quarter, up 4.2% from last year. The payout remains the same as the fourth quarter of 2024 and is scheduled for distribution in the second quarter.
In late 2024, Aramco said it would reduce its total annual dividend by 30% to $85.4 billion, citing financial challenges.
Oil prices have dropped sharply since the start of the year. Brent crude is down roughly $11 per barrel and recently traded at around $64. This is well below the price Saudi Arabia needs to support its budget, which includes large-scale public investment plans.
“Global trade dynamics affected energy markets in the first quarter of 2025, with economic uncertainty impacting oil prices,” said Aramco CEO Amin Nasser. He emphasized the company’s focus on disciplined spending and long-term strategy.
Nasser also highlighted Aramco’s push into natural gas, low-carbon energy, and hydrogen. The company recently acquired a 50% stake in a local blue hydrogen firm, aiming to increase hydrogen production from natural gas while incorporating carbon capture technology.
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