Saudi oil giant Aramco posts drop in full-year profit, slashes dividend

MT HANNACH
3 Min Read
Disclosure: This website may contain affiliate links, which means I may earn a commission if you click on the link and make a purchase. I only recommend products or services that I personally use and believe will add value to my readers. Your support is appreciated!

Media members discussed before the start of a press conference by Aramco at the Plaza Conference Center in Dhahran, Saudi Arabia, November 3, 2019.

Hamad I Mohammed | Reuters

Saudi state producer, Aramco, a drop in net profit to $ 106.2 billion in 2024 on Tuesday, falling 121.3 billion dollars in 2023.

The company said it expects total dividends for $ 85.4 billion – a significant drop in the total of $ 2024.2 billion.

This occurs because he reduced his total payment for the fourth quarter. The oil giant has said that its basic dividend for the last three months of the year would be increased to $ 21.1 billion, but that its performance related to only $ 200 million. This is compared to a basic dividend in the third quarter of $ 20.3 billion and a dividend linked to the performance of $ 10.8 billion.

The drop in oil prices reached the company’s net profit last year, raw production around the world and demand has slowed down. The price of oil made from AMARCO – The final price that the company receives for having sold its gross after having taken into account transport costs and other factors – fell to $ 80.2 in a barrel in 2024, compared to $ 83.6 in the previous year.

Aramco’s revenues fell to $ 436.6 billion in 2024, compared to $ 440.8 billion the previous year.

Total annual loans from the company increased, increased to $ 319.3 billion in 2024, compared to 290.1 ​​billion dollars in the previous year. However, the company’s net debt increased from $ 102.8 billion in 2023 to $ 78 billion in 2024.

Aramco’s dividend, the highest in the world, has played a key role in strengthening the boxes of the state of Saudi Arabia. The announced decline will reach the kingdom’s budgetary deficit, which has widened in the midst of the lower oil prices of oil and higher state expenditure on the megaprojects planned for the 2030 vision, the economic transformation campaign of the Saudi heiress Mohammed Mohammed Bin Salman.

Share This Article
Leave a Comment

Leave a Reply

Your email address will not be published. Required fields are marked *