RIYADH: Saudi Hollandi Bank (SHB) has posted SR1.22 billion net profit for the 12-month period ended Dec. 31, 2008, an increase from SR439 million, or 179 percent, over the same period in 2007. Net earnings per share increased to SR4.62 compared to SR1.66 in 2007.
Fourth quarter net profit for 2008 was SR309 million compared to a loss of SR106 million for the same period in 2007.
Total operating income for the 12-month period grew to SR2.1 billion from SR1.8 billion in 2007, registering an 18.9 percent growth. This was due in large part to 20.4 percent growth being achieved in net special commissions, which rose to SR1.4 billion from SR1.2 billion. Operating costs fell by four percent from SR 842 million in 2007 to SR810 million in 2008.
The bank’s total assets as at Dec. 31, 2008, stood at SR61.4 billion, up from SR50.4 billion on Dec. 31, 2007, representing 22 percent growth. There was an increase of 38 percent in loans and advances, which stood at SR38 billion compared with SR27.6 billion as at Dec. 31, 2007. Customer deposits grew by 24 percent to SR43 billion as at Dec. 31, 2008, compared with SR34.6 billion as at Dec. 31, 2007.
SHB Chairman Mubarak Al-Khafrah welcomed these results saying, “They are very encouraging.”
Managing director, Geoff Calvert, stated, “SHB continues to perform soundly. Profit growth is the result of a rise in operating income, combined with focus on controlling our costs, and lower loan impairment levels. We also continue to maintain a conservative investment policy.”
