On the 10th local time, Saudi Arabian National Oil Company (Saudi Aramco) released a financial report showing that the company's net profit for 2023 was $121.3 billion, lower than the $161.1 billion in 2022. The company's annual net profit recorded the second highest in history, second only to its performance in 2022. The financial report shows that the year-on-year decrease in net profit is mainly due to the decrease in crude oil prices and sales volume, as well as a decrease in refining and chemical profits.
Saudi Aramco official website
Specifically, in 2023, Saudi Aramco's net profit reached $121.3 billion, a significant decrease from $161.1 billion in 2022, with a decrease of nearly 25%; The total revenue also decreased by 17% from the previous year's $535.19 billion to $440.88 billion; Free cash flow also decreased to $101.2 billion, compared to $148.5 billion in 2022.
Nevertheless, the world's largest oil company still announced that it will pay a dividend of $20.3 billion for the fourth quarter of 2023, a year-on-year increase of 4%, bringing the dividend paid last year to $97.8 billion, a 30% increase from the previous year. The press release stated that this reflects the company's continued commitment to creating value for shareholders.
Amin Nasser, President and CEO of the company, wrote, "In 2023, we achieved the second highest net profit in history. Despite facing economic headwinds, our resilience and agility have contributed to healthy cash flow and high levels of profitability."
Screenshot of financial situation in English
Last Friday, the stock price of Saudi Aramco, which was listed in Saudi Arabia, rose by over 2%, with a market value exceeding $2 trillion, making it the world's most valuable energy company. Currently, Saudi Aramco ranks fourth on the global market value list, only behind Microsoft, Apple, and Nvidia.
According to CCTV Finance, multiple foreign media reports reported that on March 7th local time, the Saudi Arabian government announced the transfer of 8% of Saudi Aramco's shares to its sovereign wealth fund, the Public Investment Fund, in order to enhance its cash flow.
According to reports, the Saudi Arabian government announced on the same day that it would transfer approximately $164 billion (approximately RMB 1.18 trillion) worth of Saudi Aramco shares to the country's sovereign wealth fund, the Public Investment Fund, which is equivalent to 8% of Saudi Aramco's shares. This transaction will reduce the direct shareholding of the Saudi government in Saudi Aramco to 82.2%.
After the transfer of shares, the Saudi Public Investment Fund will hold 16% of Saudi Aramco's shares, which is a key component of Saudi Crown Prince and Prime Minister Mohammad bin Salman's efforts to promote economic diversification. The transfer of shares will increase the assets of Saudi public investment funds to approximately $900 billion, approaching the Saudi Crown Prince's previous goal of reaching $1 trillion in assets by the end of 2025.
It is reported that the Saudi Public Investment Fund is the main sovereign wealth fund in Saudi Arabia and also one of the largest sovereign wealth investment funds in the world.
