The Saudi oil giant Aramco announced on Sunday a 4.6% drop in its net profit for the first quarter due to declining sales and rising operating costs, according to a statement released on the Saudi stock exchange.
The decline is attributed to “a reduction in revenue and other sales-related products, as well as an increase in operating costs,” stated the company, a flagship of the Saudi economy and one of the largest globally by market capitalisation.
“The dynamics of global trade weighed on energy markets in the first quarter of 2025, with economic uncertainty impacting oil prices,” said Amin Nasser, Aramco’s CEO, in another statement.
Net profit for the first quarter stood at 97.54 billion riyals (€23.1 billion), compared to 102.27 billion riyals (€24.3 billion) during the same period in 2024.
These results come as oil prices continue to decline.
Aramco, 81.5% owned by the Saudi government, is the primary funding source for Crown Prince Mohammed bin Salman’s Vision 2030 reform programme, aimed at preparing Saudi Arabia, the world’s leading crude oil exporter, for a post-oil future.
The company had posted record profits of €143.1 billion in 2022, boosted by soaring oil prices amidst market disruptions from the post-Covid recovery and Russia’s invasion of Ukraine.
This surge allowed the Gulf kingdom to achieve its first annual budget surplus in nearly a decade.
However, the firm has seen its profits decline in recent years due to falling oil prices.
