Oil giant Aramco reports record first quarter as oil prices rise

The Saudi Aramco logo is depicted at the oil factory in Abqaiq, Saudi Arabia October 12, 2019.

Maxim Shemetov | Reuters

Oil giant Aramco reported an increase in net profit of more than 80% on Sunday, surpassing analyst expectations and setting a new quarterly record since its IPO.

The Saudi Arabian behemoth said net income rose 82% to $39.5 billion in the first three months of the year, up from $21.7 billion in the same period last year. Analysts polled by Reuters had forecast net profit of $38.5 billion.

The record quarter for Aramco comes amid a standout quarter for Big Oil, which is benefiting from a sharp rise in oil and gas prices. Aramco said its revenues were driven by higher crude oil prices, increasing volumes sold and improved downstream margins.

“During the first quarter, our strategic downstream expansion continued in both Asia and Europe, and we continue to develop opportunities that complement our growth targets,” said Aramco President and CEO Amin Nasser in Sunday’s earnings release.

“Against the backdrop of increased volatility in global markets, we remain focused on helping meet global energy demands that are reliable, affordable and increasingly sustainable.”

With a market cap of about $2.43 trillion on Wednesday, Aramco surpassed Apple as the world’s most valuable company last week.

This is a latest news item and will be updated shortly.

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