Saudi Aramco reported a modest improvement in profitability for the third quarter of fiscal 2025, driven by higher production despite continued pressure on crude oil prices.
The company posted a 0.9% year-on-year rise in quarterly profit, with adjusted net income at 104.92 billion Saudi riyals ($27.98 billion), compared to market expectations of 98.47 billion Saudi riyals, according to LSEG estimates.
This comes alongside guidance earlier that net income dipped 2.3% to $26.94 billion, reflecting reporting differences across earnings components.
Aramco’s Q3 FY2025 results vs LSEG consensus estimates:
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Adjusted net income: 104.92 billion riyals vs 98.47 billion riyals expected
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Revenue: 418.16 billion riyals vs 411.26 billion riyals expected
Aramco said earnings were supported by increased production levels.
“We increased production with minimal incremental cost, and reliably supplied the oil, gas and associated products our customers depend on, driving strong financial performance and quarterly earnings growth,” CEO Amin Nasser said.
Market backdrop and OPEC+ policy moves
The world’s largest oil exporter continues to navigate lower price realisations.
Year-to-date, U.S. West Texas Intermediate prices have fallen over 16%, while global benchmark Brent is down more than 12%, according to FactSet data.
Over the weekend, OPEC+ approved a modest increase in December oil output and paused further hikes through the first quarter of next year. The coalition has lifted production targets by about 2.9 million barrels per day since April but slowed the pace from October amid oversupply concerns.
Fresh Western sanctions on Russia are also adding complexity to OPEC+ policy execution, impacting Moscow’s ability to ramp up production due to the latest restrictions on Rosneft and Lukoil.
Recent strategic developments
Aramco recently completed the acquisition of a 22.5% stake in Petro Rabigh from Sumitomo Chemical for $701.8 million, raising its ownership to roughly 60%, according to Reuters.
The company also acquired a minority stake in artificial intelligence firm HUMAIN, majority-owned by the Public Investment Fund.
Saudi Aramco — the Saudi Arabian Oil Company — is the world’s largest integrated energy and chemicals enterprise, headquartered in Dhahran and operating across the global hydrocarbon value chain.
More updates expected as the company details its market outlook and capex plans.
