Saudi Arabian state oil producer Aramco has said its third-quarter net profit more than doubled, boosted by higher crude oil prices and volumes sold, beating analysts’ forecasts.
Net income jumped to $30.4bn for the quarter to September 30 from $11.8bn a year earlier, it said in a bourse filing on Sunday. That was above the median net profit forecast of $28.4bn from four analysts.
In a statement, Aramco’s chief executive Amin Nasser said, “Our exceptional third-quarter performance was a result of increased economic activity in key markets and a rebound in energy demand, as well as our unique low-cost position.”
Oil giant valued at $2tn
Oil prices have rallied to multi-year highs with global crude futures climbing 4.5 per cent in the quarter, helped by the decision by OPEC+ to maintain its planned output increase rather than raising it on global supply concerns.
Brent oil futures are trading around $84.4 a barrel, up about 63 per cent so far this year, while benchmark US crude is at roughly $83.57 a barrel, up just over 70 per cent over the same period.
Aramco’s capital expenditure rose 19 per cent from a year earlier to $7.6bn in the quarter.
The company’s free cash flow rose to $28.7bn from $12.4bn. It declared a dividend of $18.8bn for the third quarter, in line with its guidance.
Higher oil prices and volumes have boosted Aramco’s share price by nearly 8 per cent this year, valuing the oil giant at $2tn.
