Kuwait Petroleum's annual profit drops 5.8% due to lower crude prices

Kuwait Petroleum Corporation, a state-owned company, posted a net loss of 1.366 billion dinars (US$4.47 billion) in the fiscal year that ended on March 31. This is a decline of 5.8% compared to the previous year.

In the last fiscal year, the company and its subsidiary posted a profit of 1,450 billion dinars.

KPC didn't give a specific reason for the drop, but lower oil costs likely impacted returns. Kuwaiti oil prices fell by 5.5%, to $79.70 a barrel, during the fiscal year 2024/25, from $84.40 per barrel a year ago, according to Kuwaiti financial advisory firm AlShall.

The report stated that despite the decline in profit, KPC's subsidiary Kuwait Oil Company reached its production target annually for the first seven-year period, with a sustainable capacity of 2,59 million barrels a day.

Kuwait Gulf Oil Company, the main producer of crude oil in Kuwait, operates in the Neutral Zone, shared with Saudi Arabia.

The report described this milestone as "a significant operational achievement" and noted heavy crude production reached 95,000 bpd, its highest level since heavy oil began in 2020. Reporting by Ahmed Hagagy. (Editing by Yousef Sabah and Mark Potter.

(source: Reuters)