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Aramco Posts Drop in Annual Profit, Announces First Buyback

Saudi Aramco’s net income fell to $93.4 billion in 2025 due to lower crude prices and higher costs; it plans a $3 billion share buyback over 18 months, the first in its history.

  • On Tuesday, Saudi Arabia’s Aramco reported a 12 per cent drop in annual profit and announced a repurchase of up to $3bn, its first-ever buyback over the next 18 months.
  • Amid regional disruption near the Strait of Hormuz, Aramco reported a 12 per cent profit decline, with weaker crude and product prices reducing revenue and higher costs hurting profits.
  • Aramco's net income was US$93.4-billion for 2025, below the US$95.6-billion consensus, while dividends declined to US$55 billion and impairments included a 14.6 billion riyal charge.
  • The buyback restructures how Aramco returns cash, with CFO Ziad Al-Murshed telling analysts the repurchased shares will be sold back to employees, marking a shift from its dividend policy.
  • Aramco guided 2026 capital expenditures at $50 billion to $55 billion, its gearing ratio fell to 3.8% end-2025, total hydrocarbon production rose to 12.9 million boepd, and global oil demand is expected at 107.3 million bpd.
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Saudi Aramco, the world's largest oil exporter, reported a net profit of nearly $93.4 billion last year, down 12.1 percent from a year earlier, the company said in its earnings report on Tuesday. The company will start buying back its own shares for the first time, but warned that if the Strait of Hormuz does not return to normal due to the conflict with Iran, it will have catastrophic consequences for the global oil market.

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Times of India broke the news in India on Tuesday, March 10, 2026.
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