22/02/2018 08:44 AST

Saudi Arabian banks showed more evidence of improving results on Wednesday with stronger fourth-quarter performances from two of the kingdom’s larger lenders.

Of the seven main Saudi banks to report so far, all have posted higher profits for the quarter, although few have done enough to beat market forecasts. Samba Financial Group, Saudi’s third-largest bank by assets, was the latest to do so on Wednesday, recording an 11.4 percent rise in fourth-quarter net profit, in line with analysts’ expectations.

Meanwhile, Alawwal Bank, Saudi’s oldest lender, swung to a fourth-quarter net profit as operating expenses almost halved. After several years of fighting the fallout from weaker oil prices, analysts expect the Saudi banking sector’s performance in the coming quarters to be helped by a pick up in liquidity thanks to a combination of looser public spending and planned international sovereign debt issuance.

Samba made a profit of 1.21 billion riyals ($323 million) in the three months to Dec. 31, up from 1.09 billion riyals in the same period a year earlier, it said in a bourse statement.

Three analysts had on average forecast the bank would make a quarterly net profit of 1.21 billion riyals. Samba said its increase in net profit was in part due to a rise in net special commission income and gains on non-trading investments and other operating income.


Alawwal Bank said it made a profit of 326.5 million riyals in the three months to Dec. 31, compared to a loss of 249.3 million riyals in the corresponding quarter of 2016.

“In the face of challenging economic conditions in 2017, lending activity was slower than anticipated but with a more positive industry outlook in 2018 improvements are expected,” Alawwal managing director Soren Nikolajsen said.

NCB Capital had forecast Alawwal would make a quarterly profit of 281 million riyals, while EFG Hermes predicted it at 339 million riyals. Alawwal’s performance was aided by a drop in impairment charges for credit losses, general and administrative expenses, rent, salaries and other staff-related costs.

The bank is in merger talks with fellow Saudi lender Saudi British Bank (SABB), with the outlook for the proposed merger to become clear by the end of the first quarter, Saudi Arabia’s central bank governor said last month.

Loans and advances and deposits at both Samba and Alawwal slid during the quarter, as in previous quarters. Deposit levels began to fall for some Saudi banks more than two years ago as the government, which had placed substantial amounts of oil revenue with banks when prices were high, withdrew cash to help bridge a budget shortfall. ($1 = 3.7502 riyals)

Arab News

Saudi bank Samba's quarterly profit falls 2.5 pct


Saudi Arabia’s third-largest bank by assets, Samba Financial Group, reported a 2.5 percent drop in third-quarter net profit on Wednesday, blaming rising credit costs and other expenses.



Chairman of Samba Financial Group voted ‘Arab Banker of the year 2017’


THE Union of Arab Banks’ summit 2017, held recently in London, honored Eisa M. Al Eisa, Chairman of Samba Financial Group, who has been unanimously chosen as the Arab Banker of the year 2017. Al Eisa

Saudi Gazette

Saudi Bank Samba Follows Bourse in Naming Woman to Top Position


Saudi Arabia’s Samba Financial Group named Rania Mahmoud Nashar as chief executive officer, the second woman recruited for a top finance-industry position in recent days as the country undertakes unp


Ticker Price Volume
QNBK 135.21 176,223
SABIC 112.40 5,501,053
STC 81.90 613,277
ALMARAI 54.10 748,793
WALAA 33.40 757,302
BURUJ 34.25 27,534
TAWUNIYA 72.00 683,657
SAMBA Sector Market
Dividend Yield (%)
Relative Strength
  • 1-Month
  • 3-Month
  • 1-Year
Volume Change
  • 10D Avg Vs 90D Avg
Price Vs…
  • 52-w high
  • 50-day moving avg.
  • 200-Day Moving Avg
Ticker Price Change
NCB 63.70 0.06 (0.09%)
FAB 11.40 0.10 (0.88%)
RJHI 76.10 0.64 (0.84%)
EMIRATESNBD 10.30 -0.05 (-0.49%)
NBK 781.00 10.00 (1.29%)
UDC to launch island project in QR5.5bn expansion plan


United Development Company, the master developer of The Pearl-Qatar, will be launching a new state-of-the-art island project as part of UDC’s QR5.5bn estimated investment for the next five years.

Gulf Times

Masraf Al Rayan launches Qatar ETF


Qatar’s first Shari’a-compliant exchange traded fund and arguably, the largest single-country Shari’a compliant ETF in the world was listed on Qatar Stock Exchange (QSE) yesterday. The Al Rayan Qatar

The Peninsula

QIIB announces appointment of Qataris as top executives


QIIB has announced the appointment of Sheikh Abdulaziz bin Abdullah bin Faisal Al Thani, as the Chief- Corporate Banking Sector and Sheikh Mohammed bin Ali Al Thani as Chief-Treasury & Investments. T

The Peninsula

Crescent, Dana to raise Kurdistan gas production


Pearl Petroluem, a consortium led by Crescent Petroluem and Dana Gas, on Wednesday said that it has signed a 10-year gas sales agreement with the Kurdistan regional government.

Under the ag

Gulf News

HSBC Bank Oman marks 70 years in Oman


Celebrating 70 years of supporting Oman’s economic growth and development is the focus of a series of roadshows launched this week at HSBC Bank Oman’s branches across the country to mark the bank’s m

Oman Daily Observer