Aramco workers handle drilling equipment at a rig site in Saudi Arabia. Photo: Aramco
Saudi Aramco, the largest oil company in the world, on Sunday, May 11, reported a 4.6 percent decline in its net profit for the first quarter of 2025, totalling SAR 97.54 billion (USD 26.01 billion), down from SAR 102.27 billion (USD 27.27 billion) in the same period last year.
In a statement to the Saudi Stock Exchange (Tadawul), the company attributed the decline to lower revenue and sales-related income, combined with increased operating costs. This was partially offset by a reduction in income tax and zakat, due to a decline in taxable income for the quarter.
Aramco confirmed a total dividend distribution of USD 21.36 billion for the quarter, including USD 219 million linked to performance.
Free cash flow also declined by 15.8 percent compared to the first quarter of 2024.
The first quarter of 2025 saw a 15.8 percent decrease in free cash flow compared to the same period last year.
“Global energy markets were impacted in the first quarter of 2025 by factors related to changes in global trade, which caused economic uncertainty and impacted oil prices,” Aramco President and CEO Amin Nasser said in a statement.
He continued, “Such periods highlight the value of flexibility and disciplined capital planning. Despite market volatility, Aramco continues to demonstrate financial strength and deliver reliable, growing dividends.
The results were announced ahead of US President Donald Trump’s scheduled visit to the Kingdom next Tuesday. Ongoing trade tensions between the US and China
have increased concerns over a global economic slowdown, putting further pressure on crude oil prices.This post was last modified on May 11, 2025 7:36 pm