Refinitiv Newscasts - Lower oil prices push Aramco's Q1 profit down 19%

Valvoline

09/05/2023 11:24

Click the following link to watch video: https://share.newscasts.refinitiv.com/link?entryId=1_bd842g9c&referenceId=tag:reuters.com,2023:newsml_RW102809052023RP1_930&pageId=RefinitivNewscasts
Source: Reuters

Description: Saudi oil giant Aramco posted first-quarter net profit of $31.88
billion on Tuesday, a fall of about 19% from the previous year. Fiona Jones
reports.
Short Link: https://refini.tv/3nKdhSi

Video Transcript:

Saudi oil giant Aramco on Tuesday posted a first-quarter net profit of $31.9
billion. It marked a 19% drop from the previous year, which the company
attributed to lower crude prices. According to Refinitiv data, the profit
still beat analysts’ median forecast of just under $31 billion. The
world’s top oil exporter said the decline was partially offset by lower
taxes, including in the country's zakat Islamic tax. Last year, Aramco had
made a record profit of over $160 billion. Over the first quarter the oil
titan reached deals to expand its downstream business abroad. This includes
investment in China and the acquisition of Valvoline's oil products business.
Last month, Saudi Arabia and other major producers announced surprise oil
production cuts from May. While this initially drove a spike in prices, global
economic uncertainty and an unclear demand outlook continue to cast a shadow.
Crude oil and natural gas contributed over 32% of Saudi Arabia's GDP last year
- and the production cuts are expected to weigh on GDP. The IMF projects the
kingdom’s growth will more than halve this year compared to 2022