Oil & Gas

Saudi Aramco delivered a strong second quarter in 2025, reporting an adjusted net income of $24.5 billion, bringing its total for the first half to $50.9 billion, despite a year-on-year decline in realized oil prices and revenue. Official filings disclosed a net profit of $22.7 billion for Q2 (a 22% drop from the previous year), slightly below analyst expectations of $23.7 billion.

In Q2, Aramco generated $27.5 billion in operating cash flow and $15.2 billion in free cash flow, while H1 totals reached $59.3 billion and $34.4 billion, respectively. The company's gearing ratio rose to 6.5% as of June 30, up from 5.3% at the end of March, reflecting a modest increase in debt levels.

Aramco’s board declared a base dividend of $21.1 billion for Q2, along with a performance-linked dividend of $0.2 billion, both scheduled for distribution in the third quarter, While this maintains shareholder distributions, it reflects a significant step down from 2024’s record total dividend payouts due to pressure on free cash flow and lower oil prices.

Operationally, the company sustained 100% supply reliability in H1, reinforcing its reputation for performance amid geopolitical uncertainty. Major upstream expansions—such as the Berri, Marjan and Zuluf crude oil increments, the Jafurah gas plant, and the first phase of the Dammam development project—remain on track. Aramco also expanded its downstream and new-energy footprint with premium fuel launches in Chile and Pakistan and renewable power purchase agreements in Saudi Arabia.

CEO Amin H. Nasser remarked that Aramco’s resilience, disciplined capital allocation, and operational reliability underpin its robust half-year results, even in a softer global oil market. He added that global oil demand is expected to rise by more than two million barrels per day in H2 2025 versus H1, and reaffirmed the company’s long-term strategy that balances hydrocarbons with investments in AI, renewables, and digital innovation.