DUBAI: Saudi Arabian oil giant Aramco on Sunday announced that its net income in the second quarter of 2021 rose to $25.5 billion, a 288 percent increase from the same quarter of last year, driven primarily by higher oil prices and a recovery in worldwide demand.
Easing of COVID-19 restrictions, vaccination campaigns, stimulus measures, and accelerating activity in key markets also aided in the rise, the company said in a Tadawul filing.
The company announced a dividend of $18.8 billion and said the net income for the first half of the year was $47.2 billion, representing a 103 percent increase over the same period in 2020.
The rise in net income is slightly above the economist estimates of Bank of America predicted ($24 billion), JPMorgan estimated ($23.7 billion) and Alrajhi Capital’s forecast of $25.3 billion.
Aramco President and CEO Amin Nasser said, “We are heading into the second half of 2021 more resilient and more flexible, as the global recovery gains momentum. While there is still some uncertainty around the challenges posed by COVID-19 variants, we have shown that we can adapt swiftly and effectively to changing market conditions.”
He said the company’s historic $12.4 billion pipeline deal was an endorsement of its long-term business strategy by international investors, representing significant progress in its portfolio optimization program.
“Our landmark $6 billion Sukuk reinforced our robust balance sheet, further diversifying our funding sources and expanding our investor base. And, once again, we delivered a dividend of $18.8 billion for our shareholders,” he said.