Saudi Aramco on Sunday reported a 24.7 percent drop in profit in 2023 compared with the previous year, a result of lower oil prices and production cuts.
Net income is expected to reach 454.7 billion Saudi riyals ($121.25 billion) in 2023, compared with 604.01 billion Saudi riyals ($161.07 billion) in 2022, the oil giant said in a filing to the Saudi stock exchange.
“The decrease primarily reflected the impact of lower crude oil prices and lower volumes sold and weaker refining and chemicals margins,” Aramco said.
Russia's invasion of Ukraine in February 2022 caused oil prices to skyrocket, reaching more than $130 a barrel that year.
Aramco reported record profits for 2022, giving the state its first annual budget surplus in nearly a decade.
“We achieved our second-highest net income in 2023. Our flexibility and agility contributed to healthy cash flows and high levels of profitability despite economic headwinds,” Aramco CEO Amin H. Nasser said in a statement. ”