Alinma Bank’s Profits Increased to SR2.7 bln

Alinma Bank’s net profit grew to SR2.7 billion, during the Year 2021, compared to SR1.96 billion, during the year previous year, at a rate of 38%.

This came after announcement of the annual financial results ending on 12-31-2121 (12-month).

Total operating profit during the period amounted to SR6.66 billion, compared to SR5.68 billion, during the same period the previous year, a growth of 17%.

The total net income from special commissions/financing and investments amounted to SR5 billion, compared to SR4.6 billion, during the same period the previous year, an increase of 11%.

Earnings per share during the period amounted to SR1.31, compared to SR0.99, during the same period the previous year

The reason for the increase in net profit during the year, compared to the previous year, was due to the increase in net income as a result of an increase in total operating income by 17.3%, mainly due to the increase in net financing and investment income from investments, at fair value through the income statement, and income from service fees of banking, and income from other operations, offsetting decrease in income from currency conversion.

On the other hand, total operating expenses increased by 4.2% as a result of the increase in general and administrative expenses, and employee salaries expense, offset by a decrease in the expected credit losses expense.

The administration said that some comparative figures have been reclassified.

The expected credit loss expense for the year amounted to SR1,266.3 million, compared to SR1,418.5 million for the previous year, a decrease of 10.7%.

As much as 12.2 million shares were excluded, as treasury shares, on calculating the value of the earnings per share.

Earnings per share for the period ending on December 31, 2021, and the period ending on December 31, 2020, were calculated by dividing the net income for the period after Zakat, over 1,987.7 million shares and 1,987.1, respectively.

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