National Commercial Bank announces the interim financial results for the period ending on 30-06-2017 (Six Months)
| Element | Current quarter | Similar quarter for previous year | % Change current | Previous quarter | % Change previous |
|---|---|---|---|---|---|
| Net profit (loss) | 2,417 | 2,438 | -0.86 | 2,703 | -10.58 |
| Total profit (loss) operation income Investments | 4,478 | 4,660 | -3.91 | 4,860 | -7.86 |
| Net profit (loss) special commission income Investments | 3,473 | 3,348 | 3.73 | 3,360 | 3.36 |
| All figures are in (Millions) Saudi Arabia, Riyals | |||||
| Element | Current period | Similar period for previous year | % Change |
|---|---|---|---|
| Net profit (loss) | 5,120 | 5,068 | 1.03 |
| Total profit (loss) operation income Investments | 9,338 | 9,384 | -0.49 |
| Net profit (loss) special commission income Investments | 6,834 | 6,784 | 0.74 |
| Earning or loss per share, Riyals | 2.49 | 2.47 | - |
| Total Assets | 449,776 | 452,614 | -0.63 |
| Investments | 114,634 | 114,728 | -0.08 |
| Loans and advances portfolio | 256,901 | 264,766 | -2.97 |
| Customer deposit | 314,690 | 314,708 | -0.01 |
| All figures are in (Millions) Saudi Arabia, Riyals | |||
| Element | EXPLAINATION |
|---|---|
| Reasons of increase (decrease) for quarter compared with same quarter last year | Net income decreased as lower operating income was almost fully offset by an improvement in operating expenses. Lower operating income derived from declines of SAR 121Mn in fees from banking services, and SAR 115Mn in investment-related income* which was partially offset by SAR 125Mn growth in net special commission income. Total operating expenses improved by SAR 220Mn (-9.9%). Operating expenses excluding impairment charges for financing and investments decreased by SAR 301Mn which were partly offset by an increase of SAR 92Mn in total impairment charges for financing. |
| Reasons of increase (decrease) for period compared with same period last year | Higher net income derived from improvement in operating expenses partly offset by lower total operating income. The principal drivers of the decrease in operating income were SAR 238Mn lower fees from banking services, while net special commission, foreign exchange and investment related income improved by SAR 50Mn, SAR 41Mn and SR 183Mn respectively. Total operating expenses improved by SAR 155Mn (-3.6%). Operating expenses excluding impairment charges for financing and investments decreased by SAR 312Mn which were partly offset by an increase of SAR 167Mn impairment charges for financing. |
| Reason of increase (decrease) for quarter compared with the previous quarter | Lower net income resulted mainly from lower operating income partly offset by lower operating expenses. Operating income was lower by SAR 381Mn principally of SR302Mn in gains on non-trading investments. Total operating expenses improved by SAR 115Mn (-5.5%). Expenses excluding impairment charges for financing and investments decreased by SAR 167Mn but were partly offset by an increase of SAR 51Mn in impairment charges for financing. |
| Reclassifications in quarterly financial results | Some numbers have been re-classified for comparative reasons. |
| Other notes | Gross profit/(loss) special commission income Financing and Investments, reached to SAR 4,268Mn for the current quarter against SAR 4,329Mn in the similar quarter of the previous year with a decrease of 1.4%. Gross profit/(loss) special commission income Financing and Investments, reached to SAR 8,489Mn for the current period , against SAR 8,726Mn in the similar period of the previous year with a decrease of 2.7%. Total comprehensive income attributable to the equity holders, reached to SAR 2,446Mn for the current quarter against SAR 2,526Mn in the similar quarter of the previous year with a decrease of 3.2%. And as compared to SAR 2,380Mn in the previous qaurter with an increase of 2.8%. Total comprehensive income attributable to the equity holders, reached to SAR 4,826Mn for the current period, against SAR 5,523Mn in the similar period of the previous year with a decrease of 13%. Impairment charge for the credit losses reached to SAR 473Mn for the current quarter against SAR 381Mn in the similar quarter of the previous year with an increase of 24.1%. Impairment charge for the credit losses reached to SAR 895Mn for the current period against SAR 728Mn in the similar period of the previous year with an increase of 23%. Equity attributable to the equity holders of the bank reached to SAR 59,876Mn including SAR 7,000Mn of Tier 1 Sukuk, against SAR 57,605Mn including SAR 5,700Mn of Tier 1 Sukuk in the similar period of the previous year with an increase of 3.9%. *Investment related income includes Dividend Income, Trading Income, Gains on non-trading investments and Income from FVIS investments. |
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