Aramco Q3 Earnings Remain Strong, but Dividend Remains Unchanged

Aramco reported net income of $42.4 billion during the during the third quarter on higher oil prices and volumes, up from $30.4 billion the year before but slightly lower than the record reported profits of $48.4 billion seen last quarter. Free cash flow increased to $45.0 billion in the quarter from $28.7 billion the year prior. Net debt and gearing fell to $30.8 billion and negative 4.1% respectively, from net debt of $56.4 billion and gearing of 12.0% at year-end 2021. Aramco paid $18.8 billion in dividends during the quarter, or $0.09 per share. Aramco provided no additional guidance on its plan to grow the dividend, but given previous commentary and its continued balance sheet improvements in the third quarter we anticipate a modest increase at least.