Saudi Aramco reported a 26% year-on-year jump in first-quarter profits on Sunday, beating analyst forecasts, as a key pipeline allowing it to circumvent the choked-off Strait of Hormuz reached full capacity.
Adjusted net income for Q1 2026 stood at $33.6 billion, compared with $26.6 billion in the same period last year, the Saudi Arabian energy giant told CNBC in a statement. The Q1 figure was a 34% increase on the $25.1 billion profit in the previous quarter.
Analysts had expected a Q1 adjusted net income of $31.2 billion, Aramco said.
"Our East-West Pipeline, which reached its maximum capacity of 7.0 million barrels of oil per day, has proven itself to be a critical supply artery, helping to mitigate the impact of a global energy shock and providing relief to customers affected by shipping constraints in the Strait of Hormuz," Aramco CEO Amin Nasser said in a statement.
Iran's blockade of the Strait of Hormuz has resulted in the loss of nearly a billion barrels of oil, with the shortage growing worse every day the sea lane remains closed.
Oil prices ticker higher Friday after Iran fired missiles at the United Arab Emirates again and the U.S. struck two Iranian tankers that tried to evade its naval blockade.
International benchmark Brent crude futures added around 1% to close at $101.29 per barrel. U.S. West Texas Intermediate futures settled marginally higher at $95.42 per barrel.
Brent crude prices rose by 95% over the first quarter, and are up 67% year-to-date.
The world's energy system will change in big ways as a result of the Iran war, the CEOs of key oil and gas companies told investors on their earnings calls over the past two weeks.
The disruption has demonstrated the fragility of the global energy system, said Olivier Le Peuch, CEO of the big oilfield services company SLB.
Aramco reported a gearing ratio of 4.8% at the end of Q1.
The company's board approved a base dividend of $21.9 billion for the first quarter, a 3.5% increase year-on-year, Aramco said.
â CNBC's Dan Murphy and Spencer Kimball contributed to this story.
