State oil giant Saudi Arabia Saudi Aramco on Tuesday reported lower net profit in the first quarter by 25% to 62,48 billion rials (about of 16.64 billion), below analysts ' forecasts, because of lower oil prices.
the price of Brent crude has fallen by 65% in the first quarter, before the OPEC producers + agreed to cut oil supplies at a record 9.7 million barrels a day starting in may to support prices and reduce oversupply.
Analysts had expected a profit of Saudi Aramco will amount to 17.8 billion dollars, according to the median estimate of Egyptian investment Bank EFG-Hermes, Saudi Arabia's Al Rajhi Capital and Dubai-based Arqaam Capital.
"Looking ahead to the end of 2020, we expect that the impact of the pandemic COVID-19 global energy demand and oil prices will affect our profits," - said General Director of Saudi Aramco Amin Nasser.
the world's Largest oil company, which went public last year, reported that in the first quarter has paid dividends in the amount of 13.4 billion U.S. dollars. In the second quarter dividends will be paid in the amount of 18.75 billion.
Earlier it was reported that Saudi Arabia, the world's largest oil exporter, will increase three times the rate of value added tax and suspend payment of the allowance to the subsistence minimum for public servants.
