Saudi British Bank announces its Interim Financial Results for the Period Ending on 2021-09-30 ( Nine Months )

Element List	Current Quarter	Similar quarter for previous year	%Change	Previous Quarter	% Change
Total income from Special Commissions/Financing & Investments	1,558	1,856	-16.056	1,644	-5.231
Net Income from Special Commissions/Financing & Investments	1,409	1,658	-15.018	1,469	-4.084
Total Operation Profit (Loss)	1,968	2,141	-8.08	1,976	-0.404
Net Profit (Loss) before Zakat and Income Tax	1,038	1,112	-6.654	1,132	-8.303
Net Profit (Loss)	886	1,049	-15.538	919	-3.59
Total Comprehensive Income	796	1,461	-45.516	961	-17.169
All figures are in (Millions) Saudi Arabia, Riyals

Element List	Current Period	Similar period for previous year	%Change
Total income from Special Commissions/Financing & Investments	4,822	6,130	-21.337
Net Income from Special Commissions/Financing & Investments	4,307	5,375	-19.869
Total Operation Profit (Loss)	5,951	6,828	-12.844
Net Profit (Loss) before Zakat and Income Tax	3,308	-5,102	-
Net Profit (Loss)	2,775	-4,847	-
Total Comprehensive Income	3,039	-5,086	-
Total Share Holders Equity (after Deducting Minority Equity)	52,499	49,680	5.674
Assets	269,552	263,958	2.119
Investments	66,106	64,102	3.126
Loans and Advances Portfolio (Financing & Investment)	163,500	151,886	7.646
Clients' deposits	180,248	180,198	0.027
Profit (Loss) per Share	1.35	-2.35
All figures are in (Millions) Saudi Arabia, Riyals

Element List	Explanation
The reason of the increase (decrease) in the net profit during the current quarter compared to the same quarter of the last year is	The net income decreased by SAR 163 million due to lower total operating income and higher Zakat and income tax charge. This was partially offset by a decrease in total operating expenses and provision for expected credit losses.

Total operating income decreased primarily due to lower net special commission income by SAR 249 million, partially offset by an increase in exchange income, Income from FVSI financial instruments, other operating income and Gains on FVOCI debt instruments.

Total operating expenses decreased mainly due to lower depreciation and amortisation expenses and general and administration expenses resulting from continued success in efficiency creation in terms of cost reduction. This was partially offset by an increase in salaries and employee-related expenses.The reason of the increase (decrease) in the net profit during the current quarter compared to the previous period of the current year is The net income decreased by SAR 33 million primarily contributed by higher total operating expenses and lower total operating income. This was partially offset by a decrease in Zakat and income tax charge and provision for expected credit losses.

Total operating expenses increased mainly due to higher salaries and employee-related expenses and general and administration expenses. This was partially offset by a decrease in depreciation and amortization expenses.

Total operating income decreased primarily due to lower net special commission income by SAR 60 million and dividend income, partially offset by an increase in exchange income and Income from FVSI financial instruments.The reason of the increase (decrease) in the net profit during the current period compared to the same period of the last year is Setting aside the one-off impact of the Goodwill impairment (SAR 7,418 million) recorded in the same period last year, the net income before Zakat and income tax was higher by SAR 992 million primarily driven by lower provision for expected credit losses and total operating expenses and further contributed by an increase in share in earnings of associates. This was partially offset by a decrease in total operating income mainly driven by lower net special income by 20%.

Total operating expenses decreased mainly on account of lower general and administrative expenses, salaries and employee-related expenses and depreciation and amortization expenses resulting from continued success in efficiency creation in terms of cost reduction.Statement of the type of external auditor's report Unmodified opinionModification, Qualification or Emphasis of a Matter as Stated within the External Auditor Opinion NoneReclassification of Comparison Items Certain prior period figures have been re-classified to be aligned with the presentation in the current period.Additional Information Total operating expenses for the nine month period ended 30 September 2021 were SAR 2,687 million, as compared to SAR 2,972 million in the same period of last year. Total operating expenses for the three month period ended 30 September 2021 were SAR 937 million, as compared to SAR 1,001 million in the same quarter of the last year, and as compared to SAR 844 million in the previous quarter.

Provision for expected credit losses for the nine month period ended 30 September 2021 was SAR 40 million, as compared to SAR 1,599 million in the same period of last year. Provision for expected credit losses for the three month period ended 30 September 2021 was SAR 13 million, as compared to SAR 51 million in the same period of last year, and as compared to SAR 26 million in the previous quarter.

Provision for Zakat and income tax for the nine month period ended 30 September 2021 amounted to SAR 533 million, as compared to reversal of provision for Zakat and income tax of SAR 255 million in the same period of last year. Provision for Zakat and income tax for the three month period ended 30 September 2021 amounted to SAR 152 million, as compared to provision for Zakat and income tax of SAR 63 million in the corresponding period of last year, and as compared to SAR 213 million in the previous quarter.

Earnings per share for the nine month period ended 30 September 2021 and 30 September 2020 are calculated by dividing the net income after Zakat and income tax attributable to equity holders of the Bank by 2,055 million weighted average number of shares outstanding during the three and nine month period ended 30 September 2021 and 30 September 2020.

The Capital Market Authority and Saudi Exchange take no responsibility for the contents of this disclosure, make no representations as to its accuracy or completeness, and expressly disclaim any liability whatsoever for any loss arising from, or incurred in reliance upon, any part of this disclosure, and the issuer accepts full responsibility for the accuracy of the information contained in it and confirms, having made all reasonable enquiries, that to the best of their knowledge and belief, there are no other facts or information the omission of which would make the disclosure misleading, incomplete or inaccurate.