Saudi Aramco reported a first-quarter net profit of $32.5 billion on Sunday, a 25% increase over the same period last year, as higher oil prices and a successful export rerouting strategy offset disruptions caused by the Iran war.
The state-owned company had reported a 12% decline in annual profits in 2025. The first-quarter rebound was driven by stronger prices and sales volumes across crude, refined, and chemical products, with total first-quarter revenue reaching 433.10 billion riyals.
The key operational shift was Aramco’s pivot to its East-West Pipeline, which runs from Saudi Arabia’s eastern oil fields across the country to the Red Sea, bypassing the Strait of Hormuz entirely. The pipeline reached its maximum capacity of 7 million barrels of oil per day following the effective closure of the strait. However, it cannot replace the full capacity lost to the shipping disruption in the Strait of Hormuz.
Before the war, 20% of the world’s traded oil typically flowed through the strait every day, as well as large supplies of natural gas, fertilizer, and other petroleum products. Iran effectively seized control of the critical waterway after the US and Israel attacked it on February 28. A US naval blockade imposed last month also complicates its use.
Iranian attacks on Saudi energy infrastructure during the conflict caused significant damage. Struck sites included pumping stations on the East-West Pipeline, the Manifa and Khurais production plants, and refineries at Jubail, Ras Tanura, Yanbu, and Riyadh. Ras Tanura, Saudi Arabia’s largest refinery at 550,000 barrels per day capacity, was attacked early in the war and closed for 16 days before resuming production.
Aramco’s average crude oil realized price from January to March was $76.9 per barrel, up from $76.30 in the first quarter of 2025 and from $64.10 in the previous quarter. Brent crude rose 2.58% to $103.91 per barrel on Sunday, still below its wartime peak above $119 but well above its pre-conflict level of approximately $70.
“Recent events have clearly demonstrated the vital contribution of oil and gas to energy security and the global economy,” Aramco President and CEO Amin Nasser said. “Despite these headwinds, Aramco remains focused on its strategic priorities and is leveraging both its domestic infrastructure and its global network to navigate disruption.”
