United News of Bangladesh

Saudi Arabia’s state oil giant, Aramco, has announced a decline in its net profit for 2024, reporting $106.2 billion, down from $121.3 billion in 2023. The company also revealed a significant reduction in its dividend payouts for 2025, expecting total distributions of $85.4 billion, compared to $124.2 billion in 2024. Aramco announces $121 billion profit for 2023, down from 2022 record The oil producer disclosed that its base dividend for the fourth quarter of 2024 would rise to $21.1 billion, while its performance-linked payout would be significantly lower at just $200 million. This marks a steep decline from the previous quarter, when the company had distributed a base dividend of $20.3 billion alongside a performance-linked payout of $10.8 billion. Aramco’s declining profit comes amid falling global oil prices and slowing demand. In 2024, the average price of Brent crude oil stood at $80 per barrel, down by $2 compared to the 2023 average, according to the U.S. Energy Information Administration. Besides, an increase in global crude production put further downward pressure on prices, impacting Aramco’s earnings. Bangladesh to import 1.5mn metric tons of crude oil from Saudi Aramco, UAE’s Adnoc   The company also reported a decline in total revenue, which fell to $436.6 billion in 2024 from $440.8 billion in 2023. This financial performance underscores the challenges faced by the energy sector, as fluctuating oil prices and shifting market dynamics continue to shape the industry’s outlook. Despite the decline, Aramco remains one of the world’s most profitable companies and a key driver of Saudi Arabia’s economy. The company has continued to invest in expansion projects and energy transition initiatives, positioning itself for long-term stability in an evolving energy landscape. Industry analysts will be closely watching Aramco’s strategic decisions in the coming months, particularly regarding its approach to dividends and capital expenditure as it navigates a period of global economic uncertainty. Source: Agencies