Alinma Bank net profit rises 30 percent in first nine months of 2017

15/10/2017 16:29 AST

Alinma Bank has announced the achievement of a net profit of SR542 million during the third quarter of 2017. This represents an improvement over the SR312 million net profit earned for the same period of the previous year, an increase of 73.72%. It also showed an increase of 11.07% over the SR488 million earned during the second quarter of 2017. Net profit for third quarter 2017 increased due to the increase in total operating income by 28%, mainly due to the increase in income from financing and investments in addition to increase in gain on investments, fee from banking services and exchange income. On the other hand, the total operating expenses increased by 2% mainly due to increase in provisions for impairment of financing, general and administrative expenses and salaries, while provision for impairment of investments decreased.

Alinma Bank reports SR1.45 billion net profit for first nine month 2017, reflects an increase of 30.49% compared to SR1.11 billion for the same period of 2016. Net profit increased due to the increase in total operating income by 29%, mainly due to the increase in income from financing and investments in addition to exchange and fee income and gain on investments. On the other hand, the total operating expenses increased by 28% mainly due to increase in provisions for impairment of financing, salaries, general and administrative and depreciation expenses. While provision for impairment of investments decreased. Assets rose to SR111.37 billion as on September 30, 2017 compared to SR102.96 billion as of same period of the previous year, an increase of 8.2%.

The financing portfolio amounted to 77.81 billion as of September 30, 2017, compared to SR69.27 billion as on the same period of the previous year, an increase of 12.32%.

Customer deposits amounted to SR87.2 billion as of September 30, 2017, compared to SR77.32 billion as on the same period of the previous year, an increase of 12.8%.

Gross financing and investment income for the nine months period ended 30 September 2017 was SAR 3,090 million as compared to SAR 2,461 million last year, an increase of 26%. Gross financing and investment income for the three months period ended 30 September 2017 was SAR 1,062 million as compared to SAR 916 million for corresponding period of last year, an increase of 16%. Total comprehensive income for the nine months period ended 30 September 2017 was SAR 1,746 million as compared to SAR 1,128 million last year, an increase of 55%. Total comprehensive income for the three months period ended 30 September 2017 was SAR 630 million as compared to SAR 337 million for corresponding period for last year, an increase of 87% and compared to SAR 482 million for the three months ended 30, June 2017, an increase of 31%. Total shareholders equity there are no minority rights as at 30 September 2017 was SAR 20.1 billion compared to SAR 18.7 billion last year, an increase of 7%. For calculation of earning per share, 10 million treasury shares have been excluded.

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