BANQUE SAUDI FRANSI ANNOUNCES ITS ANNUAL FINANCIAL RESULTS FOR THE PERIOD ENDING ON 31-12-2019
| Element List | Current Year | Previous Year | %Change | ||
|---|---|---|---|---|---|
| Total Revenue from Special Commissions/Financing & Investments | 7,370 | 6,948 | 6.073 | ||
| Net Income from Special Commissions/Financing & Investments | 5,206 | 5,017 | 3.767 | ||
| Total Operation Profit (Loss) | 6,873 | 6,799 | 1.088 | ||
| Net Profit (Loss) before Zakat and Income Tax | 3,619 | 3,307 | 9.434 | ||
| Net Profit (Loss) | 3,115 | 1,403 | 122.024 | ||
| Total Comprehensive Income | 4,245 | 1,370 | 209.854 | ||
| Total Share Holders Equity (after Deducting Minority Equity) | 32,947 | 30,862 | 6.755 | ||
| Assets | 178,149 | 190,250 | -6.36 | ||
| Investments | 31,454 | 28,372 | 10.862 | ||
| Loans and Advances Portfolio (Financing & Investment) | 125,725 | 120,632 | 4.221 | ||
| Customer Deposits | 132,838 | 148,368 | -10.467 | ||
| Profit (Loss) per Share | 2.6 | 1.17 | |||
| All figures are in (Millions) Saudi Arabia, Riyals | |||||
| Element List | Explanation |
|---|---|
| Increase (Decrease) in Net Profit for Current Year Compared to Last Year is Attributed to | Net Income increased by 122.02% mainly due to reduction in Zakat and income tax provision. However, Net Income before Zakat and income tax also increased by 9.43% due to increase in Total Operating Income and decrease in Total Operating Expenses.
Total Operating Income increased by 1.09%, driven by Net Special commission income, Gain on non-trading investments and Fee and commission income which was partially offset by reduction in Trading Income and exceptional gain of SAR 97.3 million on partial sale of Allianz Saudi Fransi recognized last year.
Meanwhile, Total operating Expenses decreased by 6.90% .This decrease was primarily due to reduction in impairment charge for other financial assets, Rent and premises related expenses, Salaries and employee related expenses and Impairment charge for associate which was partially offset by increase in Impairment charge for credit losses, Other operating and general and administrative expenses as well as Depreciation and amortization. |
| Basis of the External Auditor's Opinion | Unmodified opinion |
| Reclassification of Comparison Items | Certain prior period numbers have been restated to conform to the current period presentation. |
| Additional Information | Starting from the quarter ended June 2019, and in accordance with International Financial Reporting Standards (IFRS) and other standards and pronouncements endorsed by SOCPA, the Bank changed its accounting policy for reporting zakat and income taxes. Accordingly, the Bank has reported zakat and income tax through the statement of income for the year-ending 2019 and restated the year-ending 2018. Previously zakat and income tax were reported in the statement of changes in equity.
In Q4 2018, the Bank entered into a settlement of zakat claims agreement with GAZT for periods up to and including 2017. The amount of the settlement was SAR 1,510.7 million and the restated 2018 statement of income includes the impact of this settlement.
The restated 2018 statement of income, including the impact of the settlement agreement, resulted in a SAR 1,904 million decrease of previously reported net income for 2018 and commensurately a decrease of earnings per share from SAR 2.76 to SAR 1.17.
Net Income before zakat and income tax for the 3 month period ended 31 December 2019 was SAR 573 million compared to SAR 269 million for the same period of last year. Net Income before zakat and income tax for the 3 month period ended 30 September 2019 was SAR 965 million.
Impairment charge for credit losses for the year ended 31 December 2019 was SAR 1,009 million, as compared to SAR 910 million in the corresponding period of last year.
Zakat and income tax provision for the year ended 31 December 2019 was SAR 504 million as compared to SAR 1,904 million in corresponding period of last year.
EPS for the current and the previous years are calculated by dividing the net income after zakat and income tax for the periods by the weighted average number of shares outstanding after excluding treasury shares. |
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