The Saudi Arabian oil giant Aramco achieved a profit of $48.4 billion (or £29.8 billion) during the second quarter of 2022, which set a new record for the company.
It is the largest increase in earnings for the world’s largest energy exporter since it went public three years ago, marking a 90% year-on-year increase and making it the largest increase in earnings ever.
As a direct result of Russia’s invasion of Ukraine, oil and gas prices have significantly increased.
Although Russia is one of the world’s largest exporters, Western nations have committed to reducing their reliance on the country to meet their demands for energy.
Bloomberg claims that this represents “the biggest quarterly adjusted profit of any listed company,” and that this particular figure belongs to the Saudi oil giant.
Along with the announcement of record profits, the state-owned Saudi energy giant stated that it would maintain its dividend payment at the same level of $18.8 billion for the third quarter.
The company promised that it would continue to grow in order to meet the demand.
According to Aramco’s president and chief executive officer Amin Nasser, “While global market volatility and economic uncertainty remain, events during the first half of this year support our view that ongoing investment in our industry is essential both to help ensure markets remain well supplied and to facilitate an orderly energy transition.” “While global market volatility and economic uncertainty continue, events during the first half of this year support our view that ongoing investment in our industry is essential”
In point of fact, he continued, “despite the downward economic pressures on short-term global forecasts, we expect oil demand to continue to grow for the remainder of this decade.”
Before the Ukraine conflict, the price of oil was already on the ascent because economies were beginning to recover from the Covid-19 pandemic and demand was exceeding supply.
This year, the largest oil producers in the world, including ExxonMobil, Chevron, and BP, have all reported enormous earnings, which has led to an increase in the number of people demanding that governments impose a windfall tax in the midst of an alarming increase in the cost of living.
In June, Joe Biden, the Vice President of the United States, stated that Exxon had made “more money than God this year.”