Saudi Aramco to host 1st earnings call

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DUBAI
Now that Saudi Aramco has revealed itself as the world’s most profitable company, it’s preparing to host its first earnings call in August to discuss half-yearly results. The world’s biggest crude exporter rolled back decades of secrecy over its business when it revealed an independent audit of its oil reserves in January and in April released a bond prospectus revealing financials for the first time, showing a $111 billion profit last year. Now the company, officially known as Saudi Arabian Oil Co., is going a step further by posting results for 2017 and 2018 on a new investor relations page on its website. Holding a public conference call to discuss half-year earnings, as indicated on the investors’ page without specifying the exact day in August, would be another first. Aramco is a linchpin in the plan to overhaul the Saudi economy by developing new industries and bringing in foreign investors to fuel growth. While royalties and taxes from Aramco’s billions of profit underpin the economy already, the oil producer is bringing in cash by selling $12 billion of bonds in its first international dollar issue and by attracting firms like Schlumberger Ltd. and McDermott International Inc. to invest in manufacturing in the Gulf state. An initial public offering of Aramco has also been mooted, which Saudi Arabia would like to see the company valued at around $2 trillion. Energy Minister and Aramco Chairman Khalid Al-Falih has said the IPO is on track for 2021 and that the company’s bond was “only the beginning” of its involvement in capital markets. — VoM

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