RIYADH, 19 April 2005 — The Saudi Hollandi Bank (SHB) recorded a net profit of SR202.9 million for the quarter ended March 31, 2005, up 24 percent from SR163.9 million for the same period the previous year.
Total assets totaled SR33.9 billion, up 13.7 percent from SR29.8 billion the previous year. Shareholders’ equity increased by 11.9 percent from SR2.7 billion to SR3.0 billion, while earnings per share reached SR8.05 compared to SR6.51 for the same period the previous year.
Customers’ deposits reached SR24.1 billion compared to SR23.1 billion for the same period the previous year. Loans and advances increased by 18 percent to reach SR17.3 billion.
Fee from banking services amounted to SR94.7 million, up 30 percent from SR72.7 million for the same period the previous year. The investment portfolio grew by 23 percent to reach SR9.1 billion as of March 31 this year.
Peter Baltussen, managing director, said on recent developments at SHB, “The bank has opened “Van Gogh” preferred banking centers which have been successful in attracting a substantial number of new affluent clients. We have also introduced a wide range of new mutual funds in Saudi Arabia, of which 11 funds featured in the top 3 in various categories of best performing funds during 2004.”
Another recent development is the successful launch of the Structured Finance Division that has already closed several sizeable transactions. SHB has now firmly established its presence in this area where major expansion in the telecom, power and water as well as oil and gas and petrochemical industries are anticipated.
“SHB has successfully secured a number of deals and mandates for financing and advisory in this field,” he said.
Meanwhile, Giel-Jan van der Tol, the current COO, was recently appointed by the board of directors as the new managing director. He will succeed Baltussen, who has been appointed president of the French private banking organization of ABN Amro as from May 1, 2005.
SHB, the oldest bank in the Kingdom, was founded in 1926 and currently one of the leading banks in Saudi Arabia. The Dutch bank ABN Amro owns 40 percent of the stock with the remainder being held by Saudi investors. SHB operates 41 branches and 140 ATMs throughout the Kingdom.
