Aramco's Annual Profit Declines with Dividends Reduced

Saudi Arabia's leading oil company, Aramco, announced on Tuesday that its net earnings for 2024 fell to $106.2 billion. This marks a decrease in profit compared to previous years.

For the last quarter of 2024, Aramco declared its core dividend to be $21.1 billion. However, the dividend linked to performance was only $0.2 billion. This is a substantial reduction from the third-quarter figures, where the base dividend stood at $20.3 billion, complemented by a performance-linked dividend of $10.8 billion.

The dip in profits is largely attributed to decreased oil prices. Worldwide crude production increased while demand showed signs of slowing. The average price of Brent crude oil, the global standard, was lesser by $2 compared to the 2023 average, as reported by the U.S. Energy Information Administration.

Aramco's total revenue for 2024 amounted to $436.6 billion, showing a slight decrease from the $440.8 billion revenue of the previous year.