Saudi Aramco Q3 profit jumps 34.5% to $36.25 billion despite ongoing US-Iran conflict

Saudi Aramco reported a 34.5% increase in third-quarter net profit on Tuesday, supported by higher revenue and its exit from a joint venture, despite attacks targeting its energy infrastructure amid the ongoing US-Iran conflict.

The world's largest oil exporter posted net profit of $36.25 billion for the three months ended September 30, compared with $26.9 billion in the same period last year. This was also higher than the $32.7 billion recorded in the second quarter.

Read more: Chinese yuan set for biggest daily drop in six months after PBOC tightens FX reserves


Adjusted net income stood at approximately $31.2 billion, beating the median analyst estimate of $30.66 billion, based on a consensus shared by Aramco from 12 analysts.

Higher oil prices helped offset the impact of reduced production volumes caused by the US-Iran war. The conflict has disrupted Aramco's output while increasing security risks for Saudi Arabia's energy infrastructure.

Read more: South Korean shares slide nearly 3% as tech selloff deepens; won strengthens

Reuters reported that Aramco has continued exporting crude through its eastern terminals in the Gulf and western terminals along the Red Sea. The company has increasingly relied on its East-West pipeline to transport crude from eastern oilfields to the Red Sea, reducing its dependence on Gulf shipping routes.

The pipeline ramped up flows after the conflict began in late February, following US and Israeli strikes on Iran. However, it has faced several attacks during the conflict. Aramco CEO Amin Nasser has described the pipeline as a critical lifeline for maintaining the country's oil exports.

Other Saudi energy infrastructure and Aramco's headquarters have also come under attack as fighting intensified in the wider regional conflict involving Yemen's Iran-aligned Houthi group.

The latest results highlight how higher crude prices have helped Aramco cushion the financial impact of production disruptions and mounting security risks.

(Disclaimer: This article is based on inputs from agencies. These do not represent the views of The Economic Times.)