Saudi Aramco, the world’s largest oil producer, has reported a decline in profits for the tenth straight quarter as prolonged weak oil prices continue to weigh on its earnings. The company’s revenue has been pressured by global oversupply and subdued demand, driven by economic uncertainties and the ongoing energy transition.
At the same time, Aramco’s debt levels have risen as the company seeks to maintain capital expenditures and invest in diversification efforts to prepare for a lower-carbon future. The increased borrowing reflects challenges faced by traditional oil majors adapting to a rapidly changing market landscape.
Industry analysts caution that unless oil prices stabilize or recover, Aramco may face continued financial strain, affecting its ability to sustain dividends and growth initiatives. The company’s performance is being closely watched as a bellwether for the global energy sector amid persistent volatility.
