The Saudi Arabian Oil Company (Aramco) recorded in the first quarter (Q1) of 2024 a net income of SAR102.3 billion ($27.2 billion), compared to SAR119.5 billion ($31.86 billion) in the same period of the previous year.
According to the report, the cash flow from operating activities slightly decreased to SAR126.0 billion ($33.59 billion) from SAR148.6 billion ($39.6 billion) in the corresponding period of last year.
Free cash flow also experienced a decline, reaching SAR85.3 billion ($22.7 billion) in Q1 2024, down from SAR115.9 billion ($30.9 billion) in Q1 2023.
Our first-quarter performance reflects the resilience and strength of #aramco, reinforcing our position as a leading supplier of energy to economies, to industries, and to people worldwide
Find out more👇https://t.co/kYWjY3SlId#AramcoResults pic.twitter.com/TCcLkC9mw3
— aramco (@aramco) May 7, 2024
The report indicated an improvement in the gearing ratio, which stood at -3.8 percent as of March 31, 2024, compared to -6.3 percent at the end of 2023.
Read more: Saudi Aramco expands Fadhili Gas Plant with $7.7 billion in EPC contracts
Aramco expects to declare total dividends of SAR466.1 billion in 2024, comprising SAR304.4 billion in base dividends and SAR161.7 billion in performance-linked dividends.
In addition, the press release disclosed that engineering, procurement, and construction contracts worth SAR28.9 billion were awarded for the expansion of the Fadhili Gas Plant. This expansion project aims to increase the processing capacity by 1.5 billion standard cubic feet per day (bscfd).
Furthermore, the announcement revealed that Aramco has added 15 trillion standard cubic feet (tscf) of proven gas reserves and two billion stock tank barrels of condensate at the Jafurah unconventional field.
Regarding acquisitions, Aramco completed the acquisition of a 100 percent equity stake in Chilean retailer Esmax, which is expected to support the company’s downstream expansion. This acquisition will significantly increase venture capital funding to SAR28.1 billion, more than double the previous amount. The increased funding will enhance Aramco’s ability to finance disruptive new technologies in various sectors, including digital and sustainability fields.
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