Saudi Aramco’s profits increased 39% in Q3 thanks to higher oil prices
Saudi Aramco announced that it achieved a 39% increase in its profits during the third quarter of 2022, compared to last year’s period. This was due to high oil prices caused by the continuing war in Ukraine.
Aramco said in a statement that “net income amounted to 159.12 billion riyals ($42.43 billion) for the third quarter of 2022, compared to 114.09 billion Saudi riyals ($30.43 billion) for the same quarter of 2021. It also indicated that “the increase in net income was primarily driven by the rise in crude oil prices, as well as the quantities sold.”
Saudi Aramco President and Chief Executive Officer Amin Nasser praised “strong earnings and record free cash flow,” which rose from $28.7 billion in the third quarter of last year to $45 billion in the third quarter of this year.
Nasser said: “With global crude oil prices affected during this period due to continued economic uncertainty, our long-term view is that the demand for crude oil will continue to grow for the remainder of the current decade, given the world’s need for more reliable and affordable energy.”
Aramco, the second largest global company in terms of value with about two trillion dollars after the American company Apple, is the main source of the kingdom’s revenues.
Saudi Arabia announced on Monday that it achieved growth in the gross domestic product in the third quarter of this year of 8.6% on an annual basis, “driven by the growth of oil sector revenues,” according to rapid estimates revealed by the General Authority for Statistics. According to the International Monetary Fund, Saudi Arabia’s gross domestic product is expected to grow by 7.6% in 2022.
