Voice of America
14 Aug 2022, 14:06 GMT+10
DUBAI, UNITED ARAB EMIRATES - State oil giant Saudi Aramco reported a soaring 90% rise in second-quarter profit on Sunday, beating analyst expectations and propelled by higher oil prices, volumes sold and refining margins.
The company expects 'oil demand to continue to grow for the rest of the decade, despite downward economic pressures on short-term global forecasts,' Aramco chief executive Amin Nasser said in the earnings report.
Aramco's net profit rose to $48.39 billion for the quarter to June 30 from $25.43 billion a year earlier.
Analysts had expected a net profit of $46.2 billion, according to the mean estimate from 15 analysts.
It declared a dividend of $18.8 billion in the second quarter, in line with its own target, which will be paid in the third quarter.
Aramco shares have risen over 25% this year as oil and natural gas prices have scaled multi-year highs after Western sanctions against major exporter Russia squeezed an already under-supplied global market.
Aramco joins other oil majors that have reported strong results in recent weeks.
On July 29, Exxon Mobil Corp posted its biggest quarterly profit ever, a net income of $17.9 billion, an almost four-fold increase over the year earlier period.
Margins for making fuels like gasoline and diesel surged worldwide, boosting the profits of oil giants, including European majors Shell and TotalEnergies, both of which reported results on July 27.
Aramco said its average total hydrocarbon production was 13.6 million barrels of oil equivalent per day in the second quarter.
"But while there is a very real and present need to safeguard the security of energy supplies, climate goals remain critical, which is why Aramco is working to increase production from multiple energy sources - including oil and gas, as well as renewables, and blue hydrogen.' said Nasser.
Capital expenditure increased by 25% to $9.4 billion in the second quarter compared to the same period in 2021. Aramco said it continued to invest in growth, expanding its chemicals business and developing prospects in low-carbon businesses.
Get a daily dose of Israel Herald news through our daily email, its complimentary and keeps you fully up to date with world and business news as well.
Publish news of your business, community or sports group, personnel appointments, major event and more by submitting a news release to Israel Herald.
More InformationEVERGLADES, Florida: Over the weekend, a diverse coalition of environmental activists, Native American leaders, and residents gathered...
BEIJING, China: China's national soccer team may struggle to stir excitement, but its humanoid robots are drawing cheers — and not...
]LONDON, U.K.: A World Health Organization (WHO) expert group investigating the origins of the COVID-19 pandemic released its final...
DOVER, Delaware: California Governor Gavin Newsom has taken legal aim at Fox News, accusing the network of deliberately distorting...
FRANKFURT, Germany: Germany has become the latest country to challenge Chinese AI firm DeepSeek over its data practices, as pressure...
TORONTO, Canada: Harvard University and the University of Toronto have created a backup plan to ensure Harvard graduate students continue...
NEW YORK, New York - Global stock indices closed with divergent performances on Tuesday, as investors weighed corporate earnings, central...
TORONTO, Canada: Canadian Prime Minister Mark Carney announced late on June 29 that trade negotiations with the U.S. have recommenced...
Vancouver, Canada: A high-stakes legal showdown is brewing in the world of athleisure. Lululemon, the Canadian brand known for its...
LONDON, U.K.: British oil giant Shell has denied reports that it is in talks to acquire rival oil company BP. The Wall Street Journal...
NEW YORK, New York - U.S. stock markets closed firmly in positive territory to start the week Monday, with the S&P 500 and Dow Jones...
WASHINGTON, D.C.: On Friday, President Donald Trump announced that he was halting trade discussions with Canada due to its decision...