Saudi Arabian Oil Company (2222) Q2 2026 earnings summary

Executive summary

• Delivered strong financial and operational results in H1 and Q2 2026, with adjusted net income of $33.4B in Q2 and $67.2B for H1, up 33% year-over-year, despite unprecedented operational and geopolitical challenges, including major supply shocks and attacks on facilities.

• Maintained oil supply to global markets through strategic infrastructure such as the East-West Pipeline, demonstrating resilience and agility in operations and rapid asset restoration.

• Maintained a leading global energy partner status, with robust financial and operational performance and progressive dividend policy.

• Achieved industry-leading returns and maintained project momentum, positioning for further growth as market demand recovers.

Financial highlights

• Q2 2026 adjusted net income reached $33.4B, up 33% year-over-year; H1 2026 adjusted net income was $67.2B, up 29% year-over-year.

• Q2 2026 revenue was $139.1B, H1 2026 revenue $263.7B, both up year-over-year.

• Upstream adjusted EBIT in Q2 was $50.9B, H1 $105.1B; Downstream adjusted EBIT in Q2 was $6.2B, H1 $11.7B, both showing strong year-on-year growth.

• Free cash flow (excluding working capital) was $25.9B in Q2, $60.3B in H1, both up over 50% year-on-year; reported free cash flow was $12.3B in Q2 and $30.9B in H1, impacted by working capital build.

• ROACE reached 22.1% for the 12 months ended June 30, 2026, about double the IOC average.

Outlook and guidance

• Capital investment guidance for 2026 remains at $50–$55B, with 65–70% allocated to Upstream, 20–25% to Downstream, and 5–10% to New Energies and other.

• Zuluf crude oil increment and Fadhili Gas Plant expansion on track for completion in 2026 and 2027, respectively; Jafurah Gas Plant phase two progressing for 2027 completion.

• Demand expected to rise by 2 million barrels per day in H2 2026 versus H1, with further increases needed to replenish depleted inventories.

• Committed to maintaining progressive dividends and ongoing share buybacks.