The Saudi Investment Bank reports increase in its profits by 22%

The Saudi Investment Bank declared today that its net profits by the end of Year 2003 has reached SR 463.9 Million compared with SR 380.4 Million at the end of Year 2002 with an increase of 22%. The Statement of Income showed increase in most of its categories. The gross income witnessed a growth ratio of 29%, surging to SR 782 Million with an increase exceeding SR 174 Million higher than the last year.

The Bank continued to follow its conservative policy towards setting aside provisions for possible loan losses, that a provision of SR 81 Million has been made during this year compared with SR 52.2 Million in the last year, despite the balance of such provision has significantly exceeded the balance of the non-operating loans.

The Board of Directors has approved the recommendation for distribution of net cash dividend at SR. 3 per share in addition to share dividend by issuing one new share for each four shares, and this will be presented to the Extra-Ordinary General Assembly Meeting for approval.

The above record results being the largest in the history of the Bank, reflect the growth of the Bank's business activities and increase in volume of its assets which rose to SR 21,708 Million at the end of this year compared with SR 19,957 Million for the same period during the last year with an increase of 9%. The Bank continued to support the production sectors of our national economy, and thus could be able to increase its loans portfolio up to SR 10,232 Million at the end of this year compared with SR 8,891 Million during the last year i.e. with an increase of 15%.

On the liabilities side, the Bank, by the end of the Year 2003, could be able to maintain level of the customers' deposits up to SR 14,404 Million compared with SR 14,065 Million a year earlier.

Dr. Abdul Aziz Al- Abdullah Al Ohali, Chairman of the Saudi Investment Bank, expressed his and other Board members' happiness with the distinguished results achieved by the Bank, its substantial business growth, its carving out a market share with excellent capability and distinct professionalism as well as its greater efficiency in managing its resources.

On the other hand, Mr. Saud Al Saleh, the General Manager of the Bank, said that the business pattern and strategy pursued by the Bank has enabled it to continue achieving business growth and ever increasing results whereby it has acquired flexibility to succeed in all business activities and services it has selected to provide to its customers.