Saudi Aramco reported a strong rise in first-quarter earnings, posting a 26% year-on-year increase in profit as global oil markets faced growing disruption linked to tensions involving Iran and the Strait of Hormuz.

The Saudi energy giant announced adjusted net income of $33.6 billion for the first quarter of 2026, significantly higher than the $26.6 billion reported during the same period last year. The latest earnings also marked a sharp increase from the previous quarter’s profit of $25.1 billion.

The company’s results exceeded analyst expectations, as market forecasts had projected adjusted net income of around $31.2 billion for the quarter.

Aramco credited part of its strong performance to the strategic importance of its East-West Pipeline, which recently reached its maximum transport capacity of seven million barrels of oil per day. The pipeline has become increasingly vital as shipping activity through the Strait of Hormuz faces severe disruption.

According to Aramco CEO Amin Nasser, the pipeline has helped maintain global energy supplies by allowing Saudi oil exports to bypass the Strait of Hormuz, one of the world’s most important maritime oil routes.

The Strait of Hormuz crisis has intensified in recent weeks following escalating conflict involving Iran. Reports indicate that Iran’s blockade of the strategic waterway has significantly disrupted oil shipments, contributing to major supply shortages across global energy markets.

Industry estimates suggest that nearly one billion barrels of oil supply have already been affected due to the continued closure and shipping restrictions in the region.

Global oil prices moved higher again on Friday after renewed military tensions in the Middle East. Markets reacted following reports of additional missile attacks launched by Iran toward the United Arab Emirates, along with U.S. military actions involving Iranian oil tankers accused of attempting to bypass naval restrictions.

International benchmark Brent crude oil futures rose approximately 1% to settle above $101 per barrel, while U.S. West Texas Intermediate crude also posted gains.

Energy markets have experienced sharp volatility throughout the year, with Brent crude prices rising dramatically during the first quarter and continuing to climb amid concerns over supply disruptions and geopolitical instability.

Analysts say Saudi Aramco’s strong earnings highlight how major oil producers are benefiting from elevated global crude prices despite increasing uncertainty surrounding global energy security and regional conflict.

The company’s performance also reinforces Saudi Arabia’s central role in stabilizing oil supplies during periods of geopolitical crisis, particularly as alternative export infrastructure becomes increasingly important.