Saudi Aramco Adjusted Profit Rose 9% as a Stake Sale Lifted Reported Earnings

Saudi Aramco's adjusted net income rose 9 percent to $31.2 billion in the third quarter, as stronger refining margins offset lower production.

Saudi Aramco is the world's largest oil exporter and the financial engine of the Saudi state. Its third quarter, ended September 30, combined sharply higher oil prices with lower production and attacks on energy facilities.

Adjusted net income was $31.2 billion, or 117.0 billion riyals, up from $28.6 billion a year earlier. Adjusted figures strip out one-time items. They are the company's preferred guide to the underlying trend.

Reported net income told a bigger story. Consolidated net income was $36.25 billion, up 34.5 percent from $26.9 billion. Net income attributable to shareholders was 137.39 billion riyals, up 41.3 percent.

A stake sale explains the gap

The gap between the two growth rates is mostly one transaction. In September, Aramco completed the sale of its stake in PRefChem to PETRONAS. PRefChem is its Malaysian refining and petrochemicals venture with PETRONAS.

The sale produced a gain of 25.9 billion riyals, or $6.91 billion. Total adjusting items were 18.95 billion riyals. Tax and zakat adjustments partly offset the gross gain, which is why the net gap is smaller.

Adjusted profit beat the median analyst estimate of $30.66 billion cited by Reuters. Other consensus frames circulating Tuesday differed. Only the Reuters median is carried here, labeled at the point of use.

The year-on-year rise also hides a softer step from the second quarter. Adjusted net income fell 6.6 percent from $33.4 billion in that quarter. Reported profit rose over the same span only because the sale gain landed in the third quarter.

Higher prices, lower volumes

Revenue was 464.33 billion riyals, up from 386.17 billion riyals a year earlier. Other income related to sales nearly doubled to 62.51 billion riyals. Together, revenue and other income reached $140.5 billion.

Aramco's average realized crude price was $95.20 a barrel, up from $70.10 a year earlier. It eased from $108.10 in the second quarter. Total hydrocarbon production averaged 11.05 million barrels of oil equivalent a day, down from 13.3 million.

Refining carried the growth

Downstream adjusted EBIT was $10.3 billion, up from $3.1 billion a year earlier. Adjusted EBIT is earnings before interest, tax and zakat, with some items removed. Stronger refining margins drove the 234 percent rise.

Upstream adjusted EBIT fell to $46.8 billion, from $51.5 billion a year earlier. Lower crude sales volumes and higher production royalties outweighed higher prices. Upstream remains by far the larger earnings engine.

"Geopolitical uncertainty and attacks on key energy facilities continued to amplify the global energy supply crisis in the third quarter of 2026, with serious implications for global energy security," President and Chief Executive Amin H. Nasser said.

Cash covered the dividend

Cash flow from operating activities was $38.7 billion, up from $36.1 billion. Free cash flow was $28.2 billion, up from $23.6 billion. Capital expenditure was $10.5 billion, of which $8.3 billion was upstream and $1.9 billion downstream.

The board declared a base dividend of $21.9 billion for the quarter, up 3.5 percent. That is 82.07 billion riyals, or 0.3393 riyals a share. Free cash flow covered the payout, and gearing eased to 5.5 percent.

The cash step-up also repaired a weak second quarter. Free cash flow then was $12.3 billion, hit by a $13.6 billion build in working capital. The base dividend that quarter was 1.78 times free cash flow.

Projects moved while exports were rerouted

Production started at the Zuluf crude oil increment in October, after the quarter ended. The project is designed to process up to 600,000 barrels a day by the end of 2026. That capacity is a plan, not current output.

Supply reliability was 97.8 percent, down from 99.9 percent a year earlier. The East-West Pipeline kept exports moving to the Red Sea. Jafurah phase two, the Fadhili expansion and the Dammam project remain on track.

Aramco also completed its acquisition of a 49 percent stake in HUMAIN, the Saudi artificial intelligence company. The deal combined asset transfers with about $2.6 billion of cash contributions. A mining joint venture agreement was also signed.

What remains unknown

What remains unknown starts with the outlook. The release as carried gives no full-year profit or production guidance to test the quarter against. Any guidance given on the results call is not in the frozen sources for this article.

Whether a performance-linked dividend will be declared alongside the base payout is also unknown. A year earlier the quarter carried a $200 million performance-linked dividend. This quarter's declaration as carried states the base dividend only.

The full cost of the attacks is a third unknown. Aramco said the impact was not expected to be material as of September 30. Heavier attacks reported in October fall after the quarter and outside these results.

What to watch next

What to watch next starts with the dividend dates. Eligibility falls on November 16 and distribution on November 25, per the dividend notice. Fourth-quarter production and the Zuluf ramp are the next operating tests.

Watch downstream earnings against the $10.3 billion third-quarter level. That result rests on refining margins the company does not control. Watch also whether realized prices hold anywhere near $95.20 a barrel.