Saudi energy giant Aramco posted a net profit of SR398.42 billion ($106.2 billion) in 2024, marking a 12.39% decline from the $121.3 billion recorded in 2023. The drop was attributed to lower crude oil prices and reduced refined product and chemical margins.
🔹 Dividend Growth & Shareholder Returns
Despite the profit decline, Aramco raised its quarterly base dividend by 4.2% to $21.1 billion, reinforcing its commitment to shareholders. A performance-linked dividend of $0.2 billion is also set for Q1 2025. The company expects total dividends of $85.4 billion in 2025.
🔹 Production & Market Impact
Saudi Arabia’s 500,000 barrels per day production cut, in line with OPEC+, remained in effect throughout 2024, contributing to lower revenue. Total revenue stood at SR1.63 trillion, a slight 0.97% decline from 2023. Operational profit dropped 10.79% to SR774.63 billion.
🔹 Investments & Growth Strategy
- $53.3 billion invested in capital projects in 2024
- $50.4 billion directed toward organic capital expenditures
- 2025 capital investment guidance: $52B–$58B
- Upstream gas business expected to generate $9B–$10B by 2030
- Downstream segment to add $8B–$10B
🔹 Global Oil Demand & Market Outlook
CEO Amin H. Nasser noted that global oil demand reached record highs in 2024 and is projected to grow by 1.3 million barrels per day in 2025. Aramco expects 106.1 million barrels per day in global oil demand this year, up from 104.8 million in 2024.
🔹 Strategic Expansion & Energy Transition
- Gas expansion: Aramco is targeting a 60% increase in sales gas production by 2030
- MidOcean acquisition: A 49% stake, securing 7.5M tonnes per annum of LNG
- Energy transition: Investments in solar, wind, AI, and lithium mining to support long-term sustainability
🔹 CEO’s Vision
“We are making progress on maintaining our maximum sustainable crude oil capacity, expanding gas capabilities, and integrating our upstream and downstream operations to capture additional value,” Nasser stated.
As Aramco continues to adapt to market shifts, its diversification efforts and technological advancements are positioning the company for long-term growth.