The Strategist

Saudi Aramco's 2020 net profit falls to $49B

03/22/2021 - 05:35

Saudi Aramco's net profit in 2020 fell 1.8 times to $49bn from $88.2bn a year earlier, according to the company's accounts. Saudi Aramco president Amin Nasser said last year was one of the most challenging in the company's history due to the impact of the coronavirus pandemic.

Marco Verch via flickr
Marco Verch via flickr
"However, as a result of the increased focus on capital and operational efficiency, the company's financial position has remained strong and Saudi Aramco has declared a $75bn dividend to shareholders in 2020," Amin Al-Nasser added.

The company's average production in 2020 was 12.4 million bpd of oil equivalent, of which oil accounts for 9.2 million bpd. Saudi Arabia's oil production reached an all-time high of 12.1m bpd in April 2020, but the OPEC+ deal forced the country to cut production levels.

In addition, Amin Nasser said in an interview with Al-Arabiya TV that he expects oil demand to increase in 2021.

"We will see an increase in oil demand this year, especially from Asia," the Saudi Aramco chief said. According to him, global oil demand could reach 99 million bpd by the end of 2021. "We are optimistic about 2021. The second half of the year is expected to be better," he added.