Saudi oil giant Aramco posts $27.5bn Q3 profit amid falling oil prices

DUBAI, UAE: Saudi Arabian oil giant Aramco reported third-quarter profits of $27.5 billion on Tuesday, down about 15% from the previous year as low oil prices impacted its revenues.

Aramco, formally known as the Saudi Arabian Oil Co, announced revenues of $111.1 billion for the quarter, slightly down from $113 billion in the same period last year. Last year’s third-quarter profits were $32.5 billion.

The profit decrease “was mainly due to the impact of lower crude oil prices and weakening refining margins,” Aramco stated.

Profit for the first nine months of 2024 was $83.9 billion, down from $94.5 billion the previous year.

Oil prices have been depressed recently as tensions in the Middle East have eased and China’s economy has slowed. Benchmark Brent crude traded on Tuesday at around $75 a barrel.

Aramco will pay dividends of $20.28 billion for the third quarter and a performance-linked dividend of $10.77 billion. The company has indicated that it hopes its overall dividend for the year will exceed $124 billion.

While a small portion of Aramco trades on the Tadawul, the majority is held by the Saudi Arabian government, fueling its expenditures and providing wealth to the Al Saud royal family. Aramco also serves as a bellwether for the global oil industry.

By RSS/AP