Quick overview

---

Saudi Aramco reported a 26 percent increase in first-quarter profit as it rerouted exports via a pipeline that avoided the Strait of Hormuz. Adjusted net income increased to nearly 126 billion riyals ($33.6 billion) in the quarter from 97.5 billion riyals a year earlier.

That exceeded the 109 billion riyals in profit predicted by analysts. The earnings are in line with rising oil prices in March, when the global benchmark Brent increased by over 43% due to Iran’s effective closure of the Strait of Hormuz in response to attacks by the United States and Israel.

Within days of the conflict beginning, Saudi Arabia, which had been increasing its exports before the conflict, swiftly rerouted some shipments to a different port on the Red Sea. In recent weeks, oil prices have reached four-year highs and have remained close to $100 per barrel as tensions around the Strait of Hormuz continue to worsen what the International Energy Agency referred to as the “bubble.”

, Oil prices have risen to four-year highs and have stayed near $100 per barrel as tensions around the Strait of Hormuz continue to escalate, which the International Energy Agency described as the largest supply disruption in history. As a result, the price of refined products like jet fuel and diesel has also gone up.

Saudi Arabia and other Persian Gulf nations, such as the United Arab Emirates, Kuwait, and Iraq, have been forced to lower production due to field attacks and a lack of storage space. Aramco stated in a stock exchange filing that it made money during the quarter thanks to increases in the price of fuel, chemical products, and crude oil. Although the volume of crude sold was higher than it was a year ago, it declined every quarter.