Revenues shrank by 57.03% in Q2-20

Saudi Aramco’s profits down 73% in Q2; dividends approved

09 Aug 2020, 10:38

Riyadh - Mubasher: The Saudi Arabian Oil Company (Saudi Aramco) gained SAR 24.62 billion in net profits during the second quarter (Q2) of 2020, down by 73.41% from SAR 92.59 billion in the corresponding quarter a year earlier.

The decrease in the interim earnings highlights the impact of lower crude oil prices and declining refining and chemicals margins, according to a stock exchange statement on Sunday.

These drops were partially “offset by a decrease in production royalties resulting from lower crude oil prices and a decrease in the royalty rate from 20% to 15%, lower income taxes and zakat as a result of lower earnings, and higher other income related to sales for gas products,” the statement read.

Moreover, revenue for the three-month period ended 30 June 2020 came in at SAR 123.23 billion, a decline of 57.03% when compared to SAR 286.81 billion in Q2-19.

In a separate filing, the oil giant said it will distribute SAR 70.32 billion ($18.75 billion) worth of cash dividends to shareholders for Q2 of the year, equivalent to SAR 0.3518 per share.

Eligibility of dividends will be to shareholders at the end of the maturity date scheduled on 11 August 2020, as per the registered shareholders in the register of the Securities Depository Center Company (Edaa) at the end of the second trading day following the due date.

The distribution date is 31 August, the statement concluded.

Source: Mubasher Source: {{details.article.source}}