Saudi Aramco announced a $10 billion reduction in its dividend payout following a drop in first quarter profits. The company’s net profit dropped 5% from a year earlier to $26 billion.
The decision reflects the company’s strategic adjustments amidst fluctuating global oil markets and economic conditions. It comes as Washington’s tariffs sparked market volatility and helped push oil prices lower, an outcome welcomed by the US president as he seeks to lower cost for consumers.
As the world’s largest oil company, Aramco’s financial moves impact both shareholders and the broader energy sector. The dividend cut aims to preserve capital for future investments and operational resilience. Despite this reduction, the company continues to offer substantial returns to its stakeholders.
