Saudi Oil giant Aramco reported a 288% increase in net income to $25.5 billion for the second quarter. The company also maintained its dividend of $18.8 billion, as big oil benefits from higher prices and a recovery in worldwide demand.
Saudi Oil giant net income of $25.5 billion for the quarter compares to $6.6 billion in the same quarter of 2020. The result beat expectations, with analysts expecting a median net income of $24.7 billion for the quarter.Aramco President and CEO Amin Nasser said that the company’s second-quarter results reflect a strong rebound in worldwide energy demand. They are heading into the second half of 2021 more resilient and more flexible, as the global recovery gains momentum.
Saudi Oil giant said that the net income for the first half of the year was $47.2 billion, compared to $23.2 billion in the first half of 2020, representing a 103% increase. The company also added that the results were supported by the global easing of Covid-19 restrictions, vaccination campaigns, stimulus measures and accelerating activity in key markets.
Aramco said free cash flow was $22.6 billion in the second quarter and $40.9 billion for the first half of 2021, compared to $6.1 billion and $21.1 billion, respectively, for the same periods in 2020. Saudi Arabia’s Crown Prince Mohammed bin Salman said the kingdom would sell more Aramco shares earlier this year, but the company did not comment on the plans. Aramco also stopped short of commenting on a previously flagged oil-to-chemicals deal with Indian conglomerate Reliance Industries, which was expected to be formalized sometime this year.