Saudi Aramco Base Oil Company - Luberef announced its H1 2024 financial results, reporting total revenue of approximately SAR 4.9 Billion and net income of approximately SAR 538 Million. Net income decreased by 40% compared to the same period in 2023 due to a decline in base oil and by-products crack margins.

Comparing to the second quarter of 2023, net income decreased by around 34%. The decrease is mainly due to a decrease in base oil and by-products crack margin.

Sequentially, both revenue and net income increased by 25% compared to Q1. The revenue increase was driven by higher prices and volumes for base oils and by-products.

The net income increase was primarily driven by increased base oil sales volumes and improved crack margins.

During H1 2024, the Company generated free cash flow of SAR 879 million. Despite the lower crack margin, FCF benefited from changes in working capital.