SABB expected to build on performance in 2022, Saudi banking sector weathered Q2 with remarkable resilience: Olayan

SABB Chairperson Lubna Olayan

Saudi British Bank (SABB) is expected to build on performance through the remainder of 2022, with further improvements in revenue base, considering the current rate environment, the bank’s Chairperson Lubna Olayan said.

Despite an increase in second-quarter credit impairment charges, the overall year-to-date cost-of-risk remains within the expected range. All of this combined with continued strong cost management has led to a return on tangible equity of 10% by the end of the three-month period, Olayan added.

The Saudi banking sector has weathered Q2 2022 with remarkable resilience, she noted, indicating that the bank continued its progress on the large-scale projects in the Kingdom, including NEOM-related and energy-focused activities.

“Underlying corporate originations in the quarter remained healthy, while retail performance remained robust with continued growth in our home finance portfolio. We also maintained strong performance in our personal finance and cards products”, the Chairperson also said.

According to data compiled by Argaam, SABB posted a net profit of SAR 2.086 billion in the first half of 2022, up 10% from SAR 1.889 billion in year-earlier period. Q2 2022 net profit stood at SAR 1.082 billion.