SNB 2023 profit grows 8% to SAR 20B, Q4 at SAR 4.96B

The year-on-year (YoY) profit growth is mainly due to an increase of 45% in net special commission income, as the financing and investment portfolios rose by 10.3% and 4.2%, respectively.

Moreover, the bank’s total operating income grew by 4.8% YoY as a result of an increase in net special commission income by 2.7%, banking services fee income by 5.1%, and income from foreign currency transfers by 23.1%.

In addition, investment income leapt 22% YoY, partially offset by other operating expenses, which rose 21.9%.

The bank’s 2023 profit growth was also driven by a drop in total operating expenses, including credit losses, by 1.7%. This is due to a 45.3% YoY decrease in the net provision for expected credit losses.

In addition, the accelerated collections of corporate sector debts and re-evaluation of some low-value credit portfolios contributed to the bank’s profit surge.

The fourth-quarter net profit grew by 4% to SAR 4.96 billion from SAR 4.76 billion in Q4 2022.

Net profit edged down 0.9% quarter-on-quarter (QoQ) from SAR 5 billion in Q3 2023.

Total shareholders’ equity, excluding minority interest and sukuk, reached SAR 160.7 billion as of Dec. 31, 2023, compared to SAR 150.5 billion a year earlier.

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