Saudi Aramco profits reach $47bn in 2019’s first half

Saudi Aramco profits reach $47bn in 2019’s first half

Saudi Aramco company raises its cash dividends to shareholders by 48% to $49bn.

Saudi Aramco reported a net profit of $46.9bn in the first half of 2019, compared to $53.02bn in the same period last year.

Revenues and other sales-related income were $163.88bn in the first half of 2019, up from $167.68bn a year earlier.

The income before income tax stood at $92.5bn in the first half of 2019 from $101.23bn, according to Saudi Aramco.

Saudi Aramco said that the net income in the first half of 2019 was negatively affected by a 4 percent decline in average selling prices for crude oil and the rising costs.

Cash and cash equivalents stood at $39.53bn on June 30, 2019, compared to $48.84billion on December 31, 2018.

Similar levels of oil production

Crude oil production maintained the same levels at 10 million bpd in the first half of the year, compared to 10 million bpd in the same period last year.

The total delivered quantities of crude oil to refineries reached 4.6 million bpd in the first half, compared to 4.5 million bpd.

Flexible budget

“Looking ahead, we will maintain a prudent and flexible budget,” Saudi Aramco Chief Executive, Amin Al-Nasser, said.

Al-Nasser stressed that despite the decline in oil prices during the first half of 2019, we continued to achieve strong profits and free cash flows.

Cash Dividends

On the other hand, Aramco raised total cash dividends to shareholders in the first half of 2019 by 48% to $49.39bn, compared to $32bn in the first half of last year.

Total cash dividends to shareholders in the first half comprise a regular distribution of $26.39bn and a special distribution of $20bn.

The company attributed the increase in free cash flows in the first half of the year to a large extent, to a decline in the capital spending of $14.47billion, by a 12% percent.