Bank AlJazira 2021 net profit soars to SAR 1.006 bln; Q4 at SAR 228.8 mln

Bank AlJazira reported a surge in 2021 net profit to SAR 1.006 billion, compared to SAR 33.8 million a year earlier.

The profit rise was fueled by a decline of SAR 951 million in net credit loss provisions. Moreover, the bank recorded an 8% rise year-on-year (YoY) in operating income. The increase in operating income was mainly attributed to higher net financing and investment income, net gains on the derecognition of financial assets measured at amortised cost, net fees from banking services and net gains on the derecognition of financial assets measured at fair value. through other comprehensive income (FVOCI) against a decrease in net exchange income.

On the other hand, total operating expenses without impairment charges increased by 4% year-on-year (YoY) mainly due to increase in other general and administrative expenses and other operating expenses against a decrease in depreciation and amortization expenses, as well as salaries and employee-related expenses. Zakat and income tax charge were also higher during 2021.

In Q4 2021, the bank turned to a net profit of SAR 228.8 million against a net loss of SAR 495.2 million in the year-ago period.

Shareholders’ equity, after minority interest, rose 22.2% to SAR 13.895 billion in 2021, from SAR 11.364 billion a year earlier.

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