VIDEO: How do we calculate and distribute dividends?

What is the framework behind Aramco’s dividend distribution?

Aramco dividends consist of

Sustainable and progressive dividends

Performance-linked dividends

Performance-linked dividend is a mechanism introduced in 2023 to share upside with investors.

How are performance-linked dividends calculated?

From the Company’s free cash flow

deduct the sustainable and progressive dividends

and other amounts, including external investments

then, from any remaining amount, we intend to distribute

50% to 70% target range

In 2023, Aramco announced performance-linked dividends distribution based on the financial performance of 2022 and 2023 to be paid over the subsequent six quarters, set at 70% of the range.

Performance-linked dividends for 2023 and 2024

$9.9 billion 

2023 Q3 and 4 

$10,8 billion

2024 Q1-4

In 2025, sustainable and progressive dividends are expected to increase by 4.2%, and performance-linked dividends are expected to be declared at 70% of the range.

$85.4 billion

total expected distribution in 2025

The performance-linked dividends are intended to be determined and announced along with the full-year results of each year.

All dividends are declared at the Board’s sole discretion.