JEDDAH, 29 January — The Saudi Hollandi Bank reported a net profit of SR401.1 million for the year 2000, a 33 percent increase compared to SR302 million profits an year earlier.
According to the SHB financial results for 2000, the
return on average equity for 2000 was 23.19 percent, up from 19.54 percent in 1999. Return on average assets also improved by 1.92 percent, up from 1.56 percent during 1999. Net operating income has also increased by 30 percent to reach SR388.5 million, up from SR297.1 million in 1999. The total balance sheet as of Dec. 31, 2000, showed a general increase of 12.8 percent to reach SR22.19 billion. This has been reflected in the increase of customers' loans by 8.2 percent and deposits by 11.2 percent.
SHB Managing Director Henk Mulder expressed satisfaction over the bank's performance and said it was the result of excellent team work of the bank's employees.
"The increase in net profit was attributed to good results across the whole bank, especially in the branch network, commission income from corporate banking services, foreign exchange and investment," Mulder said, adding that despite a more competitive environment in 2000, SHB projects improved earnings for 2001.
The Saudization drive in the bank has also made big strides with 70 percent of the bank's 1,060 employees by year-end being Saudis.
The board of directors will recommend to a shareholders' meeting on March 20 payment of a dividend of SR16 net per each of the 12.6 million shares. It will represent a 60 percent increase over the dividend paid for 1999.
