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Saudi Arabian Oil Co.’s Q1 2025 net profit is set to drop 7% to 95 billion riyals ($25.3 billion) due to relatively weaker crude oil prices, according to Al Rajhi Capital.
The oil major’s upstream business is expected to perform marginally better than in Q4 2024 given the slight rise in expected realized prices despite similar volumes, the note said.
Oil production in the kingdom averaged around 8.95 million barrels per day (bpd) for Q1 while crude oil prices averaged around $75.0/bbl versus $74.0/bbl in the previous quarter.
The dip in profit though is offset to some extent by slightly better downstream performance.
Q1 revenues at SAR 1.73 trillion is set to be to be broadly flat sequentially, but slightly down year-on-year. “However, profit (income before minority) is expected to gain almost 14% q-o-q to SAR 95 billion, supported by lower losses in downstream and also lower corporate costs,” said analyst Madhu Appissa.
Analysts mean estimate of Aramco’s net profit is also $25.34 billion, according to LSEG data.
(Writing by Brinda Darasha; editing by Seban Scaria)
