Aramco Profits Soar Amid Iran Conflict as Trump Criticizes US Majors
Saudi Aramco's profits surged by 33% in the second quarter, exceeding analyst expectations as oil prices continued to rise due to supply disruptions caused by the Iran conflict. The state-owned company reported an adjusted net income of $33.4 billion, outpacing forecasts of $31.6 billion.
The increase in revenue was primarily driven by higher prices for refined and chemical products, as well as crude oil. However, lower volumes sold were partially offset by the pricing strength. Aramco's operations have been significantly affected by the disruption through the Strait of Hormuz, a critical chokepoint for global oil flows.
To maintain exports, Aramco relied heavily on its 1,200-kilometre East-West pipeline, rerouting crude to the Red Sea and bypassing the conflict zone. Despite the turmoil, the company managed to sustain output at up to 7 million barrels per day.