Saudi Awwal Bank : SAB Datapack 3Q2023 Performance

Saudi Awwal Bank

Data Pack

3Q 2023

This supplement includes summarised financials and key performance indicators. The key sources of the information included are the published financial statements which are prepared in accordance with International Financial Reporting Standards (IFRS) as endorsed in the Kingdom of Saudi Arabia, and other standards and pronouncements

issued by the Saudi Organization for Chartered and Professional Accountants The key sources are compliant with the provisions of Banking Control Law, the Regulations for Companies in the Kingdom of Saudi Arabia, and By-laws of the Bank. The purpose of the document is to provide trends on key financials and performance metrics, on a like-for-like basis. Users of the document are encouraged to refer to the financial statements for further detail where required.

Index

Summary Financials

Income Statement & Balance Sheet

Segmental Information

Glossary

PUBLIC

											SAB Data pack |	3Q23 Performance
Summary Income Statement (SAR mln)					Three months ending								Nine months ending
31-Mar-21	30-Jun-21	30-Sep-21	31-Dec-21	31-Mar-22	30-Jun-22	30-Sep-22	31-Dec-22	31-Mar-23	30-Jun-23	30-Sep-23			30-Sep-22	30-Sep-23
Net special commission income
1,427	1,467	1,407	1,416	1,414	1,718		1,985	2,292	2,534	2,527	2,579			5,117		7,640
Non-funds income	546	456	480	480	599	524		630	489	684	539	669			1,753		1,892
Total operating income (Revenue)	1,973	1,923	1,886	1,897	2,013	2,242		2,615	2,781	3,218	3,067	3,247			6,870		9,532
Provision for expected credit losses, net	(2)	(26)	(13)	(414)	(60)	(136)		(38)	(212)	(229)	(139)	(144)			(233)		(512)
Total operating expenses	(858)	(787)	(853)	(931)	(841)	(863)		(881)	(1,077)	(1,006)	(996)	(1,045)			(2,585)		(3,047)
Share in earnings of an associate	39	25	20	47	68	53		47	5	30	47	59			168		136
Net Income for the period before zakat & income tax	1,152	1,136	1,041	599	1,179	1,297		1,743	1,496	2,012	1,979	2,118			4,219		6,109
Provision for zakat and income tax	(167)	(212)	(150)	(166)	(163)	(203)		(231)	(239)	(248)	(429)	(287)			(597)		(964)
Net income for the period after Zakat & income tax from	985	924	890	433	1,016	1,094		1,512	1,258	1,765	1,550	1,830			3,622		5,145
continuing operations
Loss from discontinued operation	(14)	(5)	(5)	(6)	(12)	(12)		(6)	(24)	-	-	-			(30)		-
Net Income for the period after zakat & income tax	970	919	886	427	1,004	1,082		1,506	1,234	1,765	1,550	1,830			3,592		5,145
Attributable to:
Equity holders of the Bank	974	919	885	427	1,006	1,083		1,505	1,234	1,765	1,550	1,830			3,593		5,145
Non-controlling interest	(4)	0	0	0	(2)	(1)		2	(1)	-	-	-			(1)		-
Net income for the period	970	919	886	427	1,004	1,082		1,506	1,234	1,765	1,550	1,830			3,592		5,145
Balance Sheet - Summary (SAR mln)						As at								As at
	31-Mar-21	30-Jun-21	30-Sep-21	31-Dec-21	31-Mar-22	30-Jun-22	30-Sep-22	31-Dec-22	31-Mar-23	30-Jun-23	30-Sep-23		30-Sep-22	30-Sep-23
Loans and advances, net	156,710	161,444	163,500	167,556	176,148	176,214		183,160	183,132	191,001	198,671	211,404			183,160		211,404
Loans and advances, gross	163,799	168,569	170,478	174,259	182,938	182,079		189,087	189,143	196,909	204,670	217,497			189,087		217,497
-Non-performing loans	5,373	5,407	4,877	4,210	4,291	4,132		4,425	4,292	4,034	3,968	3,993			4,425		3,993
-Purchased or originated credit impaired loans - POCI	3,773	3,736	3,763	3,773	3,701	3,822		3,807	3,841	3,785	3,794	3,836			3,807		3,836
-Provisions (BS)	7,089	7,125	6,978	6,702	6,790	5,864		5,927	6,010	5,908	5,999	6,093			5,927		6,093
Investments	63,225	65,135	66,106	64,904	65,588	73,064		78,786	86,363	90,979	93,530	88,796			78,786		88,796
	183,690	186,828	180,248	186,761	193,889	207,451		202,864	214,279	225,983	222,734	228,053			202,864		228,053
Demand deposits	130,781	140,297	139,641	152,966	147,939	154,585		144,964	141,427	149,317	135,140	135,640			144,964		135,640
Total Assets	271,555	272,940	269,552	272,396	282,692	302,539		299,990	314,451	328,885	334,913	340,478			299,990		340,478
Total Equity	52,035	52,881	52,601	53,029	53,777	53,907		53,543	54,637	57,034	56,693	55,539			53,543		55,539
Tangible Equity
41,109	42,078	41,825	42,288	43,055	43,226		42,670	43,846	46,262	45,990	44,862			42,670		44,862
No. of shares	2,055	2,055	2,055	2,055	2,055	2,055		2,055	2,055	2,055	2,055	2,055			2,055		2,055
Key performance metrics (% unless otherwise stated)					For the period ending								For the period ending
	31-Mar-21	30-Jun-21	30-Sep-21	31-Dec-21	31-Mar-22	30-Jun-22	30-Sep-22	31-Dec-22	31-Mar-23	30-Jun-23	30-Sep-23		30-Sep-22	30-Sep-23
Basic and diluted earnings per share (in SAR)	0.47	0.45	0.43	0.21	0.49	0.53		0.73	0.60	0.86	0.75	0.89			1.75		2.50
Net Interest Margin - NIM	2.03%	2.08%	1.99%	2.01%	2.03%	2.34%		2.54%	2.86%	3.13%	3.04%	2.95%			2.31%		3.04%
Demand Deposit Ratio - NIBs	71.2%	75.1%	77.5%	81.9%	76.3%	74.5%		71.5%	66.0%	66.1%	60.67%	59.48%			71%		59%
Cost/Income ratio	43.5%	40.9%	45.2%	49.1%	41.8%	38.5%		33.7%	38.7%	31.3%	32.5%	32.2%			37.6%		32.0%
Cost of Risk - CoR	0.00%	0.06%	0.03%	0.96%	0.13%	0.30%		0.08%	0.45%	0.47%	0.28%	0.27%			0.17%		0.34%
Non-performing loans ratio - NPL+POCI	5.6%	5.4%	5.1%	4.6%	4.4%	4.4%		4.4%	4.3%	4.0%	3.8%	3.6%			4.4%		3.6%
Non-performing loans ratio - NPL	3.3%	3.2%	2.9%	2.4%	2.3%	2.3%		2.3%	2.3%	2.0%	1.9%	1.8%			2.3%		1.8%
Provision coverage	131.9%	131.8%	143.1%	159.2%	158.2%	141.9%		134.0%	140.0%	146.4%	151.2%	152.6%			134.0%		152.6%
Loans-to-deposits ratio	85.3%	86.4%	90.7%	89.7%	90.8%	84.9%		90%	85.5%	84.5%	89.2%	93%			90.3%		93%
Liquidity Coverage Ratio - LCR	235.0%	209.8%	188.8%	178.2%	156.5%	157.8%		179.2%	171.9%	207.0%	179.2%	187.8%			179.2%		187.8%
Return on Tangible Equity - ROTE	9.7%	8.9%	8.4%	4.0%	9.5%	10.1%		13.9%	11.3%	15.9%	13.5%	16.0%			11.2%		15.2%
ROTE excluding discontinued operations	9.9%	8.9%	8.4%	4.1%	9.7%	10.2%		14.0%	11.5%	15.9%	13.5%	16.0%			11.3%		15.2%
Return on Equity - RoE	7.8%	7.1%	6.7%	3.3%	7.7%	8.1%		11.2%	9.2%	12.8%	10.9%	12.9%			9.0%		12.3%
Return on Assets - RoA	1.5%	1.4%	1.3%	0.6%	1.5%	1.5%		2.0%	1.6%	2.2%	1.9%	2.2%			1.7%		2.1%
Common equity tier 1 ratio - CET1	19.6%	19.6%	19.3%	19.3%	18.5%	18.4%		18.0%	17.7%	17.2%	16.5%	16.3%			18.0%		16.3%
Capital Adequacy ratio	22.4%	22.3%	21.9%	21.8%	21.0%	20.7%		20.3%	19.9%	19.3%	18.6%	18.4%			20.3%		18.4%

PUBLIC

											SAB Data pack |	3Q23 Performance
Income Statement - Summary (SAR mln)
				Three months ending							Nine months ending
	31-Mar-21	30-Jun-21	30-Sep-21	31-Dec-21	31-Mar-22	30-Jun-22	30-Sep-22	31-Dec-22	31-Mar-23	30-Jun-23	30-Sep-23		30-Sep-22	30-Sep-23
Special commission income	1,618	1,642	1,556	1,563	1,590	2,013		2,521	3,198	3,801	4,089	4,458		6,124	12,348
Special commission expense	(191)	(174)	(150)	(147)	(176)	(295)		(536)	(907)	(1,267)	(1,562)	(1,880)		(1,007)	(4,708)
Net special commission income	1,427	1,467	1,407	1,416	1,414	1,718		1,985	2,292	2,534	2,527	2,579		5,117	7,640
Net fee and commission income	270	256	272	174	261	243		221	162	284	269	351		724	904
Net FX and investment income	211	204	214	296	313	273		311	330	406	263	332		897	1,001
Other operating income, net	65	(4)	(7)	11	25	8		98	(2)	(7)	7	(14)		131	(14)
Total operating income	1,973	1,923	1,886	1,897	2,013	2,242		2,615	2,781	3,218	3,067	3,247		6,870	9,532
Salaries and employee related expenses	(408)	(383)	(454)	(490)	(411)	(435)		(449)	(514)	(510)	(529)	(502)		(1,295)	(1,540)
Rent and premises related	(20)	(9)	(15)	(18)	(12)	(10)		(10)	(18)	(18)	(14)	(20)		(32)	(51)
Depreciation and amortization	(187)	(161)	(141)	(132)	(116)	(116)		(116)	(117)	(117)	(110)	(192)		(348)	(419)
General and administrative expenses	(243)	(234)	(243)	(291)	(302)	(302)		(306)	(428)	(362)	(343)	(331)		(910)	(1,036)
Total operating expenses	(858)	(787)	(853)	(931)	(841)	(863)		(881)	(1,077)	(1,006)	(996)	(1,045)		(2,585)	(3,047)
Profit before provision for expected credit losses, net	1,115	1,136	1,033	966	1,172	1,379		1,734	1,704	2,211	2,071	2,203		4,285	6,485
Provision for expected credit losses, net	(2)	(26)	(13)	(414)	(60)	(136)		(38)	(212)	(229)	(139)	(144)		(233)	(512)
Income from operating activities	1,113	1,110	1,020	552	1,112	1,243		1,697	1,492	1,983	1,932	2,058		4,051	5,973
Share in earnings of an associate	39	25	20	47	68	53		47	5	30	47	59		168	136
Net income for the period before Zakat and income tax	1,152	1,135	1,040	600	1,179	1,296		1,743	1,496	2,012	1,979	2,118		4,219	6,109
Provision for Zakat and income tax	(167)	(212)	(150)	(166)	(163)	(203)		(231)	(239)	(248)	(429)	(287)		(597)	(964)
Net income for the period after Zakat and income tax from	985	924	890	433	1,016	1,093		1,512	1,258	1,765	1,550	1,830		3,622	5,145
continuing operations
Net loss from discontinued operations	(14)	(5)	(5)	(6)	(12)	(12)		(6)	(24)	-	-	-		(30)	-
Net income for the period after Zakat and income tax	970	918	885	427	1,004	1,082		1,506	1,234	1,765	1,550	1,830		3,592	5,145
Attributable to:											-	-		-	-
Equity holders of the Bank	974	919	885	427	1,006	1,083		1,505	1,234	1,765	1,550	1,830		3,593	5,145
Non-controlling interest	(4)	0	0	0	(2)	(1)		2	(1)	-	-	-		(1)	-
Net income for the period after Zakat and income tax	970	919	886	427	1,004	1,082		1,506	1,234	1,765	1,550	1,830		3,592	5,145
Balance Sheet - Summary (SAR mln)						As at							As at
31-Mar-21	30-Jun-21	30-Sep-21	31-Dec-21	31-Mar-22	30-Jun-22	30-Sep-22	31-Dec-22	31-Mar-23	30-Jun-23	30-Sep-23		30-Sep-22	30-Sep-23
Assets
Cash and balances with SAMA	22,670	17,009	13,961	14,909	14,162	24,716		15,144	19,259	21,908	15,938	16,163		15,144	16,163
Due from banks and other financial institutions	8,960	9,695	5,820	5,993	7,405	9,141		2,085	5,872	6,041	6,019	3,145		2,085	3,145
Assets classified as held for sale	-	-	68	-	942	1,305		955	-	-	-	-		955	-
Positive fair value derivatives	1,423	1,409	1,463	1,110	1,165	1,554		2,624	2,538	2,117	2,491	3,821		2,624	3,821
Investments, net	63,225	65,135	66,106	64,904	65,588	73,064		78,786	86,363	90,979	93,530	88,796		78,786	88,796
Loans and advances, net	156,710	161,444	163,500	167,556	176,148	176,214		183,160	183,132	191,001	198,671	211,404		183,160	211,404
Investment in an associate	658	584	536	583	651	548		595	599	629	424	483		595	483
Property and equipment, net	3,196	3,278	3,168	3,246	3,317	3,420		3,500	3,622	3,607	3,688	3,668		3,500	3,668
Goodwill and intangibles	10,925	10,803	10,776	10,741	10,722	10,680		10,872	10,790	10,771	10,702	10,678		10,872	10,678
Other assets	3,788	3,583	4,155	3,353	2,592	1,896		2,378	2,229	1,832	3,451	2,320		2,378	2,320
Total Assets	271,555	272,940	269,552	272,396	282,692	302,539		300,099	314,404	328,885	334,913	340,478		300,099	340,478

Liabilities and Equity
Liabilities
Due to banks and other financial institutions	17,170	14,093	17,986	14,664	17,135	22,627	23,041	25,517	26,354	32,957	32,478
	183,690	186,828	180,248	186,761	193,889	207,451	202,864	214,279	225,983	222,734	228,053
Debt securities in issue	5,026	5,062	5,026	5,062	5,028	5,066	5,049	5,115	5,071	5,167	5,074
Liabilities directly associated with assets classified as held for sale	-	-	-	-	736	805	763	-	-	-	-
Negative fair value derivatives	2,011	2,037	1,967	1,515	1,047	1,165	1,826	1,907	1,686	2,137	3,294
Other liabilities	11,623	12,038	11,724	11,367	11,079	11,518	13,013	12,949	12,756	15,225	16,041
Total Liabilities	219,521	220,059	216,951	219,368	228,915	248,632	246,556	259,767	271,851	278,220	284,939
Equity
Equity attributable to equity holders of the Bank
Share capital	20,548	20,548	20,548	20,548	20,548	20,548	20,548	20,548	20,548	20,548	20,548
Share premium	8,525	8,525	8,525	8,525	8,525	8,525	8,525	8,525	8,525	8,525	8,525
Statutory reserve	20,548	20,548	20,548	20,548	20,548	20,548	20,548	20,548	20,548	20,548	20,548
Other reserves	628	161	(30)	(30)	(286)	(535)	(1,143)	(1,182)	(596)	(1,005)	(1,949)
Retained earnings	1,685	2,998	2,909	3,335	4,342	4,722	4,964	6,198	8,009	8,076	7,867
Total equity attributable to equity holders of the Bank	51,933	52,779	52,499	52,926	53,677	53,808	53,442	54,637	57,034	56,693	55,539
Non-controlling interest	101	102	102	102	100	99	101	-	-	-	-
Total equity	52,035	52,881	52,601	53,029	53,777	53,907	53,543	54,637	57,034	56,693	55,539
Total liabilities and equity	271,555	272,940	269,552	272,396	282,692	302,539	300,099	314,404	328,885	334,913	340,478

23,041	32,478
202,864	228,053
5,049	5,074
763	-
1,826	3,294
13,013	16,041
246,556	284,939
20,548
20,548
8,525	8,525
20,548	20,548
(1,143)	(1,949)
4,964	7,867
53,442	55,539

101-

53,543 55,539

300,099 340,478

PUBLIC

											SAB Data pack |	3Q23 Performance
Segmental Information (SAR mln)					Three months ending							Nine months ending
31-Mar-21	30-Jun-21	30-Sep-21	31-Dec-21	31-Mar-22	30-Jun-22	30-Sep-22	31-Dec-22	31-Mar-23	30-Jun-23	30-Sep-23		30-Sep-22	30-Sep-23
Wealth & Personal Banking
Net special commission income	560	541	533	527	531	583		629	661	716	770	762		1,742		2,248
Non-funds income	97	73	85	106	119	123		103	77	102	88	133		346		323
Operating expenses	(463)	(406)	(390)	(431)	(417)	(423)		(431)	(493)	(479)	(463)	(475)		(1,271)		(1,417)
Expected credit losses	308	(28)	171	48	36	0		41	4	31	(32)	(20)		77		(21)
Profit before Zakat and Income tax	501	180	398	251	269	284		341	248	371	363	400		894		1,135
Corporate & Institutional Banking
Net special commission income	546	623	542	550	612	804		1,154	1,362	1,431	1,393	1,449		2,570		4,273
Non-funds income	305	249	262	162	292	233		218	182	251	269	331		744		851
Operating expenses	(330)	(326)	(337)	(390)	(333)	(359)		(343)	(397)	(358)	(367)	(409)		(1,036)		(1,134)
Expected credit losses	(309)	2	(187)	(462)	(97)	(140)		(76)	(217)	(258)	(104)	(126)		(313)		(489)
Profit before Zakat and Income tax	213	548	281	(141)	473	538		954	931	1,066	1,192	1,245		1,965		3,502
Treasury
Net special commission income	323	304	335	338	269	328		194	244	362	338	337		792		1,037
Non-funds income	135	109	127	191	200	161		207	225	289	140	173		568		601
Operating expenses	(46)	(42)	(44)	(59)	(74)	(82)		(88)	(118)	(94)	(92)	(96)		(244)		(282)
Expected credit losses	(1)	1	3	1	1	4		(1)	0	(2)	(2)	2		4		(3)
Profit before Zakat and Income tax	412	373	421	471	396	411		312	351	556	383	416		1,119		1,354
Capital Markets
Net special commission income	2	(1)	1	1	2	3		7	24	24	27	30		12		81
Non-funds income	3	8	6	6	6	6		120	43	40	53	52		131		146
Operating expenses	(3)	(26)	(23)	(12)	(25)	(26)		(36)	(59)	(54)	(56)	(57)		(87)		(167)
Expected credit losses	-	-	-	(0)	(0)	(0)		(1)	1	-	(0)	-		(1)		(0)
Profit before Zakat and Income tax	2	(19)	(16)	(5)	(17)	(17)		90	9	11	24	25		55		59
Others
Net special commission income	(5)	0	(5)	1	0	(0)		-	-	-	-	-		-		-
Non-funds income	6	16	(1)	14	(19)	1		(18)	(38)	0	(11)	(19)		(36)		(30)
Operating expenses	(16)	14	(58)	(40)	9	27		17	(10)	(21)	(19)	(8)		54		(47)
Expected credit losses	-	-	-	-	-	-		-	-	-	-	-		-		-
Share in earnings of associates	39	25	20	47	68	53		47	5	30	47	59		168		136
Profit before Zakat and Income tax	24	55	(43)	23	58	81		47	(43)	9	17	32		186		58
						As at							As at
	31-Mar-21	30-Jun-21	30-Sep-21	31-Dec-21	31-Mar-22	30-Jun-22	30-Sep-22	31-Dec-22	31-Mar-23	30-Jun-23	30-Sep-23		30-Sep-22	30-Sep-23
Loans & advances- net
Wealth & Personal Banking	36,845	37,217	38,224	39,630	42,468	43,461		44,316	45,512	47,171	48,160	50,678		44,316		50,678
' - of which Home Loans	19,444	19,666	19,614	19,781	20,161	20,634		21,150	21,956	23,359	24,197	26,001		21,150		26,001
Corporate & Institutional Banking	119,696	124,060	125,185	127,846	133,578	132,609		137,576	136,430	142,566	149,262	159,404		137,576		159,404
Capital Markets	169	167	91	81	102	145		1,268	1,190	1,264	1,250	1,322		1,268		1,322
Total Loans and Advances	156,710	161,444	163,500	167,556	176,148	176,214		183,160	183,132	191,001	198,671	211,404		183,160		211,404
Customer Deposits
Wealth & Personal Banking	78,577	77,889	76,365	77,676	76,420	75,401		74,228	71,705	75,984	79,423	76,598		74,228		76,598
Corporate & Institutional Banking	94,439	100,549	97,869	105,401	111,181	124,519		117,215	129,751	142,408	130,104	136,847		117,215		136,847
Treasury	10,674	8,390	6,014	3,684	6,288	7,531		11,421	12,823	7,591	13,207	14,608		11,421		14,608
Total Customer Deposits	183,690	186,828	180,248	186,761	193,889	207,451		202,864	214,279	225,983	222,734	228,053		202,864		228,053

Note: Rounding differences may appear in the above tables

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Key Ratios

Net Interest Margin (NIM)

Demand deposit ratio (NIBs)

Cost-Income ratio

Cost of Risk (CoR)

Non performing loans ratio (NPL)

Provision coverage

Loans-to-deposits ratio (LDR)

Liquidity coverage ratio (LCR)

Return on Tangible Equity (RoTE)

Tangible Equity

Return on Equity (RoE)

Return on Assets (RoA)

CET1 ratio (Common Equity Tier1)

Capital Adequacy ratio

Note: Annualisation of ratios based on actual/actual day count

Definition

NIM is calculated as the percentage of net special commission income for the period to the average net special commission income earning assets during the period. The average of the net special commission income assets is calculated using daily averages.

Demand deposit ratio is calculated by dividing the closing demand deposits by total customer deposits at the end of the period.

Cost-income ratio is calculated by dividing total operating expenses (costs) by total operating income (revenue) for the period.

Cost of risk is calculated by dividing the expected credit losses for the period by the average gross loans for the period. Quarterly cost of risk uses a 2-point average, first half uses a 3-point average and the full year uses a 5-point average.

Non performing loans ratio is calculated by dividing the non performing loans by total total loan and advances at the end of the period.

Provision converge is calculated by dividing the provision by non performing loans at the end of there period.

Loans to deposits ratio is calculated by dividing the closing net loans and advances by total customer deposits at the end of the period.

The LCR is calculated by dividing a bank's high-quality liquid assets by its total net cash flows, over a 30-day stress period. The high-quality liquid assets include only those with a high potential to be converted easily and quickly into cash. The three categories of liquid assets with decreasing levels of quality are level 1, level 2A, and level 2B.

Return on tangible equity is calculated by dividing the net income after zakat and income taxes by the average tangible equity for the period. Quarterly RoTE uses a 2-point average, first half uses a 3-point average and the full year uses a 5-point average.

Tangible equity is calculated by deducting goodwill and intangibles from total equity at the end of the period.

Return on equity is calculated by dividing the net income after zakat and income taxes by the average equity for the period. Quarterly RoE uses a 2-point average, first half uses a 3-point average and the full year uses a 5-point average.

Return on Assets is calculated by dividing the net income after zakat and income taxes by the average assets for the period. Quarterly RoA uses a 2-point average, first half uses a 3-point average and the full year uses a 5-point average.

Common Equity Tier 1 (CET1) ratio measures the level of CET1 capital as a percentage of total risk weighted assets.

CET1 capital is the highest quality form of regulatory capital under Basel III that comprises of common shares issued and related share premium, retained earnings and other reserves excluding the cash flow hedging reserve, less specified regulatory adjustments.

The ratio calculated by dividing the Tier I capital by Pillar I Risk Weighted Assets.

The Total Capital Ratio is defined as the banks Total Capital divided by the Total Risk Weighted Assets, where total capital is a measure of the bank's qualifying capital in the calculation of its risk based capital reserves - it consists of both Tier 1 and Tier 2 capital.

Total Capital Ratio = Total Capital / Total Risk Weighted Assets (Pillar I and II)

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