After Russia's war in Ukraine and a post-pandemic surge in demand sent crude prices soaring, oil giant Saudi Aramco unveiled record profits of $48.4 billion in the second quarter of 2022.

Aramco president and CEO Amin H. Nasser said "While global market volatility and economic uncertainty remain, events during the first half of this year support our view that ongoing investment in our industry is essential."

He added that Aramco stands ready to raise crude oil output to its maximum capacity of 12 million BPD if requested to do so by the Saudi Arabian government.

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Following the $39.5 billion profit for Q1, net income leapt 90 per cent year-on-year for the world's biggest oil producer.

According to Bloomberg, Aramco's massive Q2 windfall was the biggest quarterly adjusted profit of any listed company worldwide.

Following a dramatic strike in Jeddah that sent smoke billowing during a Formula One practice session in March, Aramco recovered quickly.

Generating $29.4 billion in the world's biggest initial public offering, Aramco floated 1.7 per cent of its shares on the Saudi bourse in December 2019.

Aramco is the world's second most valuable company after Apple with a market valuation of $2.4 trillion.

Aramco, which is the leading source of income for the conservative kingdom and is a "crown jewel", has pledged to reach "operational net zero (carbon) emissions" by 2050.

 
(With inputs from agencies)

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After Russia's war in Ukraine and a post-pandemic surge in demand sent crude prices soaring, oil giant Saudi Aramco unveiled record profits of $48.4 billion in the second quarter of 2022.

After Russia's war in Ukraine and a post-pandemic surge in demand sent crude prices soaring, oil giant Saudi Aramco unveiled record profits of $48.4 billion in the second quarter of 2022. Aramco president and CEO Amin H. Nasser said "While global market volatility and economic uncertainty remain, events during the first half of this year support our view that ongoing investment in our industry is essential." He added that Aramco stands ready to raise crude oil output to its maximum capacity of 12 million BPD if requested to do so by the Saudi Arabian government. × Following the $39.5 billion profit for Q1, net income leapt 90 per cent year-on-year for the world's biggest oil producer. According to Bloomberg, Aramco's massive Q2 windfall was the biggest quarterly adjusted profit of any listed company worldwide. Following a dramatic strike in Jeddah that sent smoke billowing during a Formula One practice session in March, Aramco recovered quickly. Generating $29.4 billion in the world's biggest initial public offering, Aramco floated 1.7 per cent of its shares on the Saudi bourse in December 2019. Aramco is the world's second most valuable company after Apple with a market valuation of $2.4 trillion. Aramco, which is the leading source of income for the conservative kingdom and is a "crown jewel", has pledged to reach "operational net zero (carbon) emissions" by 2050. (With inputs from agencies) Watch WION's live TV here: ×

Saudi Aramco unveils record profits amid soaring crude prices

Saudi Aramco on Thursday said it raised $6 billion from its first dollar-denominated Islamic bond sale, as the energy giant seeks capital to fund its hefty dividend payments.

The three-tranche sukuk, or Islamic bonds compliant with the Muslim faith, are due in three, five and 10 years, the company said in a statement.

Aramco "successfully raised $6 billion, following the sale of US dollar-denominated sharia-compliant securities to leading institutional investors", the statement said.

The sale comes after two previous bond offerings that were not compliant with Islamic law,&nbsp;a debut $12 billion sale in 2019 and an $8 billion offering in November last year.

The company is raising money to help pay an annual dividend of $75 billion, a key revenue source for the Saudi government, Aramco's biggest shareholder.

Aramco, the kingdom's cash cow, pledged to pay the dividend when it sought to generate interest in its debut initial public offering on the Saudi bourse in December 2019.

But company finances came under pressure last year, when crude prices tanked as the coronavirus pandemic sapped global demand.

Last month, Aramco declared a 30 percent jump in first quarter profit, thanks to a recovery in oil prices, but the company's free cash flow fell short of the $18.75 billion dividend obligation for that period.

Aramco is pushing to raise cash as Riyadh faces a ballooning budget deficit and pursues multi-billion dollar projects to diversify its oil-reliant economy.

In April, Aramco said it had struck a $12.4-billion deal to sell a minority stake&nbsp;in a newly formed oil pipeline business to a consortium led by US-based EIG Global Energy Partners.

Saudi Aramco on Thursday said it raised $6 billion from its first dollar-denominated Islamic bond sale, as the energy giant seeks capital to fund its hefty dividend payments.

Saudi Aramco on Thursday said it raised $6 billion from its first dollar-denominated Islamic bond sale, as the energy giant seeks capital to fund its hefty dividend payments. The three-tranche sukuk, or Islamic bonds compliant with the Muslim faith, are due in three, five and 10 years, the company said in a statement. Aramco "successfully raised $6 billion, following the sale of US dollar-denominated sharia-compliant securities to leading institutional investors", the statement said. The sale comes after two previous bond offerings that were not compliant with Islamic law, a debut $12 billion sale in 2019 and an $8 billion offering in November last year. The company is raising money to help pay an annual dividend of $75 billion, a key revenue source for the Saudi government, Aramco's biggest shareholder. Aramco, the kingdom's cash cow, pledged to pay the dividend when it sought to generate interest in its debut initial public offering on the Saudi bourse in December 2019. But company finances came under pressure last year, when crude prices tanked as the coronavirus pandemic sapped global demand. Last month, Aramco declared a 30 percent jump in first quarter profit, thanks to a recovery in oil prices, but the company's free cash flow fell short of the $18.75 billion dividend obligation for that period. Aramco is pushing to raise cash as Riyadh faces a ballooning budget deficit and pursues multi-billion dollar projects to diversify its oil-reliant economy. In April, Aramco said it had struck a $12.4-billion deal to sell a minority stake in a newly formed oil pipeline business to a consortium led by US-based EIG Global Energy Partners.

Saudi Aramco raises $6 billion from its first dollar-denominated Islamic bond sale

Saudi Prince Mohammad Bin Salman has announced radical investment to pump up the nation's economy. In a major push, Prince Salman has announced $1.3 trillion investment that would diversify economy. The investment drive will be led by Oil-producing giant Aramco and chemical manufacturing firm SABIC.

Saudi Arabia announces $1.3 trillion private sector investment

State oil giant Saudi Aramco's profit plunged 73% in the second quarter of the year, as a slump in energy demand and prices due to the coronavirus crisis hit sales at the world's biggest oil exporter.

But the company stuck with plans to pay $75 billion in dividends this year and CEO Amin Nasser said global oil demand was recovering.

Also read |&nbsp;<a href="https://www.wionews.com/world/grounded-mauritius-ship-operator-apologises-for-oil-leak-319226">Grounded Mauritius ship operator apologises for oil leak</a>

All major oil companies have taken a hit in the second quarter as lockdowns to contain the coronavirus limited travel, which reduced oil consumption and sent prices tumbling to levels not seen in nearly two decades.

Aramco, which listed in Riyadh last year in a record $29.4 billion flotation, said the rapid spread of COVID-19 globally had significantly reduced demand for crude oil, natural gas and petroleum products.

Nasser told reporters he had seen a partial recovery in the energy market and a pick up in demand as economies gradually open after the easing of coronavirus lockdowns.

"Look at China, their gasoline and diesel demand is almost at pre-COVID 19 levels. We are seeing that Asia is picking up and other markets (too)," he told reporters after announcing the company's quarterly results.

"As countries ease the lockdown, we expect the demand to increase."

Nasser said Aramco was committed to its 2020 dividend.

"We intend to pay the $75 billion, subject to board approval and market conditions," he said.

The group's dividends play a critical role in helping the Saudi government to manage its fiscal deficit.

Aramco reported a 73.4% fall in second-quarter net profit, a steeper drop than analysts had forecast, and said it expected capital expenditure for 2020 to be at the lower end of a $25 billion to $30 billion range.

Net profit fell to 24.6 billion riyals ($6.57 billion) for the quarter to June 30 from 92.6 billion riyals a year earlier.

Analysts had expected net profit of 31.3 billion riyals, according to the mean estimate from three analysts, provided by Refinitiv.

"Aramco figures are healthy compared to other global peers," Mazen al-Sudairi, head of research at Al Rajhi Capital, said. "This was the worst quarter in the modern history of oil industry, and surviving it with healthy figures points to a very positive outlook."

Aramco shares were up about 0.4% in early trade. The group is currently the world's second most valuable publicly traded company after Apple.

Aramco said it will pay a dividend of $18.75 billion for the second quarter of this year, in line with plans for a $75 billion dividend for 2020.

BP earlier this month cut its dividend for the first time in a decade after a record second-quarter loss, while Royal Dutch Shell in April cut its dividend for the first time since World War Two.

Aramco's free cash flow stood at $6.1 billion in the second quarter and $21.1 billion for the first half of 2020, respectively, compared with $20.6 billion and $38.0 billion for the same periods in 2019.

Aramco's gearing ratio was 20.1% at the end of June, mainly reflecting the deferred consideration for the acquisition of Saudi Basic Industries Corp and the consolidation of SABIC’s net debt on to Aramco’s balance sheet.

State oil giant Saudi Aramco's profit plunged 73% in the second quarter of the year, as a slump in energy demand and prices due to the coronavirus crisis hit sales at the world's biggest oil exporter.

State oil giant Saudi Aramco's profit plunged 73% in the second quarter of the year, as a slump in energy demand and prices due to the coronavirus crisis hit sales at the world's biggest oil exporter. But the company stuck with plans to pay $75 billion in dividends this year and CEO Amin Nasser said global oil demand was recovering. Also read | Grounded Mauritius ship operator apologises for oil leak All major oil companies have taken a hit in the second quarter as lockdowns to contain the coronavirus limited travel, which reduced oil consumption and sent prices tumbling to levels not seen in nearly two decades. Aramco, which listed in Riyadh last year in a record $29.4 billion flotation, said the rapid spread of COVID-19 globally had significantly reduced demand for crude oil, natural gas and petroleum products. Nasser told reporters he had seen a partial recovery in the energy market and a pick up in demand as economies gradually open after the easing of coronavirus lockdowns. "Look at China, their gasoline and diesel demand is almost at pre-COVID 19 levels. We are seeing that Asia is picking up and other markets (too)," he told reporters after announcing the company's quarterly results. "As countries ease the lockdown, we expect the demand to increase." Nasser said Aramco was committed to its 2020 dividend. "We intend to pay the $75 billion, subject to board approval and market conditions," he said. The group's dividends play a critical role in helping the Saudi government to manage its fiscal deficit. Aramco reported a 73.4% fall in second-quarter net profit, a steeper drop than analysts had forecast, and said it expected capital expenditure for 2020 to be at the lower end of a $25 billion to $30 billion range. Net profit fell to 24.6 billion riyals ($6.57 billion) for the quarter to June 30 from 92.6 billion riyals a year earlier. Analysts had expected net profit of 31.3 billion riyals, according to the mean estimate from three analysts, provided by Refinitiv. "Aramco figures are healthy compared to other global peers," Mazen al-Sudairi, head of research at Al Rajhi Capital, said. "This was the worst quarter in the modern history of oil industry, and surviving it with healthy figures points to a very positive outlook." Aramco shares were up about 0.4% in early trade. The group is currently the world's second most valuable publicly traded company after Apple. Aramco said it will pay a dividend of $18.75 billion for the second quarter of this year, in line with plans for a $75 billion dividend for 2020. BP earlier this month cut its dividend for the first time in a decade after a record second-quarter loss, while Royal Dutch Shell in April cut its dividend for the first time since World War Two. Aramco's free cash flow stood at $6.1 billion in the second quarter and $21.1 billion for the first half of 2020, respectively, compared with $20.6 billion and $38.0 billion for the same periods in 2019. Aramco's gearing ratio was 20.1% at the end of June, mainly reflecting the deferred consideration for the acquisition of Saudi Basic Industries Corp and the consolidation of SABIC’s net debt on to Aramco’s balance sheet.

Saudi Aramco's profit plunges, sees signs of oil market recovery

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Saudi Aramco unveils record profits amid soaring crude prices

Saudi Aramco raises $6 billion from its first dollar-denominated Islamic bond sale

Saudi Arabia announces $1.3 trillion private sector investment

Saudi Aramco's profit plunges, sees signs of oil market recovery