As per the latest reports, Aramco has gone ahead sharing its earnings report for the second quarter of 2021. In the earnings report, the firm has revealed that its net income has experienced significant growth in the second quarter of 2021.
The firm has revealed that in the second quarter of 2021, its net income was $25.5 billion. According to Aramco, this is a 288% increase that the company has observed compared to the second quarter of 2020. The firm has also announced that it has successfully managed to maintain its dividend at a decent figure of $18.8 billion.
According to Aramco, it has experienced such a surge in its prices based on the recovery of the economy that is taking place all over the world. As the lockdowns are being lifted from around the world, the transportation and traveling businesses are going back to normal.
This means that oil consumption has been experiencing a constant increase since the lockdown liftoffs. As the economy is constantly making a comeback, the prices for oil and other fuels are constantly growing higher.
Aramco has reported that its recovery since the pandemic has been very impressive as the company has recorded a tremendous increase in its net income. In the second quarter of 2020, Aramco’s net income was just $6.6 billion. Surprisingly, the net income for the second quarter of 2021 was $25.5 billion. This is a significant rise in terms of the net income that the company has generated in the same quarter of two consecutive years.
The firm has announced that for the second quarter of 2021, the analysts had estimated the net income for the company to be $24.7 billion. Surprisingly, the company even managed to surpass the estimations set by the analysts for the company’s second quarterly earnings for 2021.
Amin Nasser, the CEO, and president of Aramco, took the opportunity to talk about the company’s progress and growth in the post-pandemic quarter.
According to Nasser, as the pandemic is now fading, the lockdowns and curfews are facing it. This is the reason why the traffic on the roads is constantly increasing, as people are getting back to their normal lives.
The traveling and the transportation sectors are rebounding, as well as the entire economy. This is the reason why the demand for oil products is constantly increasing all over the world. This turns out to be a great signal for Aramco and any other companies supplying oil all over the world. The companies have now moved from a survival state to a production and competitive state.
At the time of writing, the stock prices for Aramco are up by 0.29% and the price of the share is $9.37 per share, which translates to 35.15 SAR per share.