Saudi Aramco profits drop 25%
Saudi Aramco reported a 25% in Q1 net profit. The result comes under the analysts’ forecasts, yet the company still has a backup plan.
The net profit of “the most valuable company in the world” fell to 62.48 billion riyals. In Q1 2019 it amounted to 83.29 billion.
Experts believed that Aramco will keep paying out to minor stakeholders and reduce the dividend payments to the Saudi authorities. The state finances have been impacted heavily by the pandemic.
Despite a hard blow to its budget, the oil behemoth stayed strong in comparison to other big energy companies. The quarterly dividend has also been kept in line with an earlier plan aimed at a US$75 billion payout for the year.
Its resilience kept it afloat even after an underwhelming Q1 report. By 08:25 GMT Aramco stock gained 1.3% reaching 31.30 riyals - still under the IPO price.