In its latest financial results, Aramco announced achieving a record of $161.1 billion in net income in 2022, jumping from $110.0 billion in 2021.

This entails an increase of 46.5%. 2022’s fourth quarter’s net income came in line with analysts’ expectations, in addition to $19.5 billion in fourth quarter dividends, that will be paid in 2023’s first quarter.

Stronger crude oil prices, higher volumes, sold and improved margins for refined products, that went parallel with the company’s continues determinations to increase its oil and gas production capacity, as well as its downstream portfolio, all contribute to the very positive results.

Aramco’s balance sheet has continued emphasizing strong performance and its gearing ratio at the end of 2022 was -7.9%, compared to 12.0% at the end of 2021. The company’s free cash flow (FCF) increased by 38.14%, going from $107.5 billion in 2021 to $148.4 billion in 2022.

Capital expenditure in 2022 was $37.6 billion, an increase of 18.0% from 2021. Aramco expects 2023 capital expenditure to be approximately $45.0 billion to $55.0 billion including external investments, with capex increasing until around the middle of the decade

Aramco’s capital expenditure is approximately expected to be between $45.0 billion to $55.0 billion including external investments, with capex increasing until around the middle of the decade, which will make a bigger jump that was made at 2022, as Capital expenditure in 2022 was $37.6 billion, an increase of 18.0% from 2021.

In 2022, Aramco’s average hydrocarbon production was 13.6 million barrels of oil equivalent per day (mmboed), including 11.5 million barrels per day (mmbpd) of total liquids.

Commenting on the results, Aramco President & CEO Amin H. Nasser, said: “Aramco delivered record financial performance in 2022, as oil prices strengthened due to increased demand around the world. We also continued to focus on our long-term strategy, building both capacity and capability across the value chain with the aim of addressing energy security and sustainability.

“Given that we anticipate oil and gas will remain essential for the foreseeable future, the risks of underinvestment in our industry are real — including contributing to higher energy prices. To leverage our unique advantages at scale and be part of the global solution, Aramco has embarked on the largest capital spending program in its history, and last year our capex rose by 18.0% to reach $37.6 billion.

“Our focus is not only on expanding oil, gas and chemicals production, but also investing in new lower-carbon technologies with potential to achieve additional emission reductions — in our own operations and for end users of our products.”