Saudi Aramco Q1 Profit Rises 25% to $32.5 Billion

Saudi Aramco, the world's largest oil exporter, reported a 25 percent increase in first-quarter net profit on Sunday, reaching $32.5 billion for the three months ended March 31, surpassing analyst expectations of $30.95 billion. The surge came amid Iran's blockade of the Strait of Hormuz, which prompted the company to operate its East-West crude pipeline at full capacity to sustain exports.

The state-owned giant's adjusted net profit, excluding one-time items totaling $1.06 billion, climbed to $33.6 billion, beating a median estimate of $31.16 billion. Total revenue rose nearly 7 percent from a year earlier to $115.49 billion, driven by higher prices and sales volumes of crude oil, refined products and chemicals. Aramco sold crude at an average of $76.90 per barrel during the quarter, up from $64.10 in the prior three months. Capital expenditure dipped slightly to $12.1 billion from $12.5 billion a year ago, aligning with the company's guidance of $50 billion to $55 billion for the year.

The results reflect Aramco's response to geopolitical tensions following U.S. and Israeli military actions against Iran, which led to the effective closure of the Strait of Hormuz, a chokepoint...