Saudi Aramco (2222.SR) reported a first-quarter net profit of 27.3 billion, marginally surpassing analyst expectations of 26.8 billion despite Brent crude averaging just $83.42/barrel (-14% YoY). The world’s largest oil producer demonstrated resilience through:

Key Financial Highlights:

• Revenue: $(vs.$121.3B Q1 2024)

• Free Cash Flow: $25.6B (covers 87% of dividend)

• Dividend: Maintained at $29.4B payout

Operational Wins:

1. Downstream Strength

   • Refining margins expanded to $(from$7.20)

   • New Jazan refinery reached 92% utilization

2. Cost Discipline

   • Production costs fell to $(from$7.80)

   • Capex reduced by $1.2B through efficiency gains

Market Reaction:

• Shares rose 0.8% in early Riyadh trading

• 5-year CDS spreads tightened 3bps

Outlook:
CEO Amin Nasser affirmed 2025 production guidance of 12.3M bpd but warned of “demand uncertainties” in H2.