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Saudi Aramco Q1 Profits Jump 30% On Oil Market Recovery

Saudi Aramco Q1 Profits Jump 30% On Oil Market Recovery

Tuesday, 4 May, 2021 - 09:30
Strong first quarter earnings provide relief for energy giant Saudi Aramco after it posted consecutive falls in profits since it began disclosing earnings in 2019

Energy giant Saudi Aramco on Tuesday posted a 30 percent jump in first quarter profits, in a sign of recovery from last year's oil market crash fuelled by the coronavirus pandemic.

Aramco said its net profit rose to $21.7 billion in the first three months of the year, compared to $16.7 billion in the same quarter of 2020, owing to a stronger oil market and higher refining and chemicals margins.

The bumper results follow strong profits posted last month by major oil firms -- including France's Total, Britain's BP and Anglo-Dutch group Shell -- as a recovery in crude prices fuelled their rebound from the pandemic.

"The momentum provided by the global economic recovery has strengthened energy markets," Aramco chief executive Amin Nasser said in a statement, AFP reported.

"Aramco's operational flexibility, financial agility and the resilience of our employees have contributed to a strong first quarter performance."

According to Reuters, the company also confirmed it would deliver on a promised dividend payout of $18.75 billion for its shareholders.

Aramco is more than 98% owned by the Saudi government, with 1.7% traded on the Saudi stock exchange.

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