Banque Saudi Fransi profits up 23% during Q1 by SAR 1.08 billion

The net profit of Banque Saudi Fransi “BSFR” reached SAR 1.08 billion during the first quarter, compared to SAR 875 million in the same quarter of last year, by 23%. This came after the announcement of the interim financial results on Sunday for the period ending on 31.03.2023 (3 Months).

The total operating profit in the first quarter amounted to SAR 2.3 billion, compared to SAR 1.8 billion in the same quarter of the previous year, a growth of 27%.

The net income from special commissions, financing and investments amounted to SAR 1.9 billion in the 3-month period, compared to SAR 1.4 billion in the same period last year, an increase of 36%.

The profit per share in the current period amounted to SAR 0.85, compared to SAR 0.68 in the same period last year.

The net income increased mainly due to an increase in total operating income by 27.29% partially offset by an increase in total operating expenses by 32.17%.

This increase in total operating income was driven by higher net special commission income and exchange income, net which was partially offset by reduction in trading income.

The increase in total operating expenses was primarily due to higher impairment charge for expected credit losses on loans and advances, net, salaries and employee related expenses and other operating and general and administrative expenses which was partially offset by reversal of impairment charges for other financial assets, net.

Net income increased mainly due to an increase in total operating income by 3.34% as well as a decrease in total operating expenses by 6.76%.

This increase in total operating income was driven by higher net special commission income which was partially offset by a reduction in trading income, exchange income, net and net fee and commission income.

The decrease in total operating expenses was primarily due to the reversal of impairment charges for other financial assets, net and other operating and general and administrative expenses, while there was an increase in impairment charges for expected credit losses on loans and advances, net, salaries and employee-related expenses and Depreciation and amortization

BSFR administration Certain prior period numbers have been reclassified to conform to the current period presentation.

EPS for the current and the previous periods was calculated by dividing the net income after zakat for the period (adjusted for Tier 1 Sukuk costs) by the weighted average number of shares outstanding after excluding treasury shares.

The Tier 1 Sukuk amounting to SAR 5 billion was included as part of the Total Equity.