Dhahran is where Saudi Aramco reported a net income of $106.2 billion for 2024, a decrease from the $121.3 billion recorded in 2023.
According to SPA, cash flow from operating activities was $135.7 billion, compared to $143.4 billion in 2023, while free cash flow reached $85.3 billion against $101.2 billion the previous year. The gearing ratio as of December 31, 2024, was 4.5%, compared to -6.3% at the end of 2023.
Dividends and Capital Expenditure
The board declared a Q4 base dividend of $21.1 billion, representing a 4.2% year-on-year increase to be paid in Q1 2025. A performance-linked dividend of $0.2 billion was also declared for payment in Q1 2025. Total dividends for 2025 are expected to be $85.4 billion.
Capital investment in 2024 totaled $53.3 billion, which included $50.4 billion in organic capital expenditure. Guidance for 2025 capital investment ranges between $52.0 billion and $58.0 billion, excluding approximately $4.0 billion of project financing.
The company noted Q4 2024 net income aligned with analyst consensus despite non-cash charges of around $1.7 billion. Growth strategies in Upstream gas and Downstream businesses could provide additional operating cash flows of $8.0 billion to $10.0 billion each by 2030. Utilizing one million barrels per day of spare capacity could generate $12.0 billion in operating cash flow based on 2024 averages.
What were Aramco’s financial results for 2024 compared to 2023? Aramco reported a net income of $106.2 billion in 2024, compared to $121.3 billion in 2023. Cash flow from operating activities was $135.7 billion in 2024 versus $143.4 billion in 2023, and free cash flow was $85.3 billion compared to $101.2 billion in the previous year.
What are the dividend details announced by Aramco? The company declared a Q4 base dividend of $21.1 billion, which is a 4.2% year-on-year increase, and a performance-linked dividend of $0.2 billion, both to be paid in Q1 2025. Aramco expects total dividends to reach $85.4 billion in 2025.
How much did Aramco invest in capital expenditure for 2024 and 2025? In 2024, capital investment was $53.3 billion, including $50.4 billion in organic capital expenditure. For 2025, the company provided capital investment guidance ranging from $52.0 billion to $58.0 billion, excluding about $4.0 billion of project financing.
What are the projected cash flow gains from Aramco’s growth strategies? By 2030, growth in the Upstream gas business could provide $9.0 billion to $10.0 billion in additional operating cash flows, while the Downstream business could provide $8.0 billion to $10.0 billion. Additionally, using one million barrels per day of spare capacity could generate $12.0 billion in operating cash flow.