SAIB profits jump 100.5% during Q3 to SR550 mln

The Saudi Investment Bank (SAIB) announced an increase in net profit during the third quarter to SR550 million, compared to SR274.3 million in the same quarter of last year, at a rate of 100.5%.
This came after announcing on Thursday the preliminary financial results for the period ending on 30-09-2022 (nine months).
Gross operational profit in the third quarter amounted to SR858.2 million, compared to SR680.2 million in the same quarter of the previous year, an increase of 26%.
The bank’s net profit during the 9-month period amounted to SR1.15 billion, compared to SR775.6 million in the same period of the previous year, a growth of 49.2%.
The gross equity “after excluding non-controlling interests” amounted to SR13.2 billion in the current period, compared to SR14.6 billion in the same period last year, a decrease of 9.5%.
Profits per share in the current period reached SR1.1, compared to SR0.75 in the same period last year.
The reason of the increase (decrease) in the net profit during the current quarter compared to the same quarter of the last year is:
Net profit increased by 100.5% due to an increase in gross operational income and a decrease in gross operational expenses.
Gross operational income increased by 26.2% primarily due to an increase in net special commission income, fair value through profit and loss, and exchange income, which was offset by a decrease in gains on disposals of FVOCI debt securities, and fee income from banking services.
Gross operational expenses decreased by 39.1% primarily due to a decrease in provisions for credit and other losses, which was offset by an increase in other general and administrative expenses, salaries and employee-related expenses, and depreciation and amortization.
The reason of the increase (decrease) in the net profit during the current quarter compared to the previous quarter of the current year is:
Net profit increased by 71.5% due to an increase in gross operational income and a decrease in gross operational expenses.
Gross operational income increased by 11.1% primarily due to an increase in net special commission income, exchange income and gains on disposals of FVOCI debt securities, which was offset by a decrease in fee income from banking services and fair value through profit and loss.
Gross operational expenses decreased by 45.2% primarily due to a decrease in provisions for credit and other losses, which was offset by an increase in salaries and employee-related expenses, other general and administrative expenses, depreciation and amortization and rent and premises related expenses.
The reason of the increase (decrease) in the net profit during the current period compared to the same period of the last year is:
Net profit increased by 49.3% due to an increase in gross operational income and a decrease in gross operational expenses.
Gross operational income increased by 15.7% primarily due to an increase in net special commission income, fair value through profit and loss, and exchange income, which was offset by a decrease in gains on disposals of FVOCI debt securities, other income, and fee income from banking services.
Gross operational expenses decreased by 12.7% primarily due to a decrease in provisions for credit and other losses, which was offset by an increase in other general and administrative expenses, salaries and employee-related expenses, rent and premises related expenses, and depreciation and amortization.
Certain prior period amounts have been reclassified to conform to current period presentation.
Profits per share for the nine month period ended September 30, 2022 and 2021 was SR 1.10 and 0.75 respectively, which was calculated by dividing net income adjusted for Tier I Sukuk costs by 1,000 million shares and 939 million shares respectively representing the weighted average of the issued and outstanding shares after giving effect to the purchase and issuance of 74.9 million treasury shares.
The weighted average number of outstanding shares have been retrospectively adjusted for prior period to reflect the effect of the changes in number of shares due to bonus element included in the treasury shares and bonus shares issued.