Al Rajhi Bank H1 2024 profit rise 10% to SAR 9.1B; Q2 at SAR 4.69B

Al Rajhi Bank reported a profit of SAR 9.1 billion in H1 2024, up 10% from SAR 8.2 billion in the year-ago period.

Net financing and investment income increased by 11.5% year-on-year (YoY) in H1 2024 on higher gross financing and investment income.

Gross operating income rose by 9.2% YoY during the same period, driven mainly by the elevated net financing and investment income as well as other operating income and currency exchange income. This was offset by fees from banking services

In contrast, gross operating expenses, including impairment charges for financing, climbed by 8.4% YoY in H1 2024, due to the YoY rise in depreciation expenses as well as salaries and employees’ related benefits. The bank posted a YoY decrease in other general and administrative expenses during the same period.

Credit loss provisions also grew 21.8% YoY from SAR 719 million to SAR 876 million in the first six months of this year.

The second-quarter net profit leapt 13% to SAR 4.69 billion, from SAR 4.15 billion in Q2 2023.

Sequentially, net earnings rose 6.7% from SAR 4.40 billion in Q1 2024.

Total shareholders’ equity, no minority interest and after sukuk, increased to SAR 97.62 billion as of June 30, 2024, from SAR 86.68 billion a year earlier.