Bank AlJazira announces its Interim Financial Results for the Period Ended on 31-03-2020 ( Three Months )

21 May 2020 08:43 AM

BJAZ 1020 -4.88% 16.00 -0.82

Element List	Current Quarter	Similar quarter for previous year	%Change	Previous Quarter	% Change
Total Revenue from Special Commissions/Financing & Investments	805.4	749.9	7.4	810.6	-0.641
Net Income from Special Commissions/Financing & Investments	545.1	489.1	11.449	543.1	0.368
Total Operation Profit (Loss)	768.9	695.8	10.505	817.3	-5.921
Net Profit (Loss) before Zakat and Income Tax	216.6	263.3	-17.736	293.8	-26.276
Net Profit (Loss)	181.6	235	-22.723	247.3	-26.566
Total Comprehensive Income	81.2	250.8	-67.623	274.8	-70.451
All figures are in (Millions) Saudi Arabia, Riyals

Element List	Current Period	Similar period for previous year	%Change
Total Share Holders Equity (after Deducting Minority Equity)	11,671	11,495	1.531
Assets	89,734	73,926	21.383
Investments	28,657	24,186	18.485
Loans and Advances Portfolio (Financing & Investment)	51,979	42,128	23.383
Customer Deposits	62,669	51,432	21.848
Profit (Loss) per Share	0.22	0.29
All figures are in (Millions) Saudi Arabia, Riyals

Element List	Explanation
Increase (Decrease) in Net Profit for Current Quarter Compared to Same Quarter Last Year is Attributed to	Net income has decreased by 23% due to an increase in operating expenses by 28%. The increase in operating expenses is mainly due to an increase in net impairment charge for credit losses, salaries and employee-related expenses, other general and administrative expenses and depreciation and amortization expenses against a decrease in rent and premises related expenses and other operating expenses. For operating income there is an increase by 11%. This is mainly attributable to an increase in net special commission income, net exchange income, net banking fee, other operating income and net gains on derecognition of financial assets measured at FVOCI against a decrease in net gain on financial instruments at FVIS.
Increase (Decrease) in Net Profit for Current Quarter Compared to the Previous Quarter is Attributed to	Net income has decreased by 27% mainly due to decrease in operating income by 6%. The decrease in operating income is mainly attributable to a decrease in net gains on derecognition of financial assets measured at amortised cost, net gain on financial instruments at FVIS and net exchange income against an increase in net banking fee, net special commission income, net gains on derecognition of financial assets measured at FVOCI and other operating income. Operating expenses have also increased by 6%. This increase is mainly due to an increase in net impairment charge for credit losses and salaries and employee-related expenses against a decrease in other operating expenses and other general and administrative expenses.
Basis of the External Auditor's Opinion	Unmodified opinion
Modification, Qualification or Emphasis of a Matter as Stated within the External Auditor Opinion	None
Reclassification of Comparison Items	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 Q1 2020 and has restated Q1 2019. Previously zakat and income tax were reported in the statement of changes in equity. In addition to the above some items have been re-classified to conform to current period presentation.
Additional Information	1- Net impairment charge for credit losses for current quarter is SR 122 million as compared to SR 26 million in similar quarter of previous year, an increase of 369%. And as compared to SR 78 million in the previous quarter with an increase of 57%. 2- Earnings per share for the current and prior periods have been calculated based on net income for the period after Zakat and income tax.

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