Aramco second-quarter profits jump as Iran war squeezes supplies
Saudi Aramco reported a 33% increase in second-quarter profits, reaching $33.4 billion despite supply chain disruptions caused by the ongoing conflict between the U.S. and Iran. The company successfully maintained export levels by utilizing its East-West pipeline to bypass the Strait of Hormuz.
Why it matters
The results highlight how major energy producers are navigating geopolitical instability to maintain global oil supply and profitability.
Saudi Aramco on Tuesday reported a jump in second-quarter profit, following a period of severe disruption through the Strait of Hormuz amid the sprawling Middle East conflict.
The world's largest oil company posted adjusted net income of 125.2 billion Saudi riyal ($33.4 billion) over the April to June period, up 33% year-on-year and beating analyst expectations of $31.59 billion.
The results come as oil supermajors have reported blowout quarterly profits , benefitting from higher fossil fuel prices amid hostilities between the U.S. and Iran.
The more than five-month-old conflict, which was already expanding beyond its main fronts, has embroiled further countries in the Middle East in recent days, notably the likes of Iraq and Egypt .
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