Saudi Aramco, the global energy leader, reported a 15% decrease in its third-quarter profits compared to the previous year, primarily attributed to reduced oil prices. The company's net income declined from $32.58 billion in 2023 to $27.56 billion, largely due to the impact of lower crude oil prices and diminishing refining margins, as disclosed in an official statement to the Saudi stock exchange.

As the largest crude exporter globally, Saudi Arabia is currently producing approximately nine million barrels per day, significantly below its maximum capacity of 12 million barrels per day, a situation resulting from a series of output reductions initiated in October 2022.

Recently, Saudi Arabia, along with seven other OPEC+ nations, announced an extension of a 2.2 million-barrel production cut, initially declared in November 2023, for an additional month, lasting until the end of December.

Despite the challenging oil price landscape, CEO Amin Nasser emphasized that Aramco achieved strong net income and free cash flow during the third quarter. He reiterated the company's commitment to solidifying its status as a leading global player in energy and petrochemicals.

Aramco plays a crucial role in the Saudi economy and is a vital source of funding for Crown Prince Mohammed bin Salman’s Vision 2030 initiative, which seeks to prepare the kingdom for a sustainable future beyond oil dependency. The company's profits are instrumental in financing key projects, including the ambitious NEOM mega-city, a major airport in Riyadh, and various tourism and leisure ventures.

After experiencing record profits in 2022 due to the surge in oil prices following Russia's invasion of Ukraine, Aramco's earnings fell by 25 percent last year due to lower oil prices and production cuts. Profits also decreased by 14.5 percent in the first quarter and 3.4 percent in the second quarter of this year.