1020 · 24/07/2025 15:43:12 · Announcement #88966 · View on Saudi Exchange

Bank AlJazira announces its Interim Financial Results for the Period Ended on 30-06-2025 ( Six Months )

Element ListCurrent QuarterSimilar quarter for previous year%ChangePrevious Quarter% Change
Total Income From Special Commission of Financing 1,635.11,40516.3771,584.83.173
Total Income From Special Commission of Investment 435.2519.7-16.259496.9-12.416
Net Income From Special Commission of Financing 660.5491.534.384634.34.13
Net Income From Special Commission of Investment 101.2137.9-26.613119.6-15.384
Total Operations Profit (Loss) 1,101.8903.122.0011,079.22.094
Net Profit (Loss) before Zakat and Income Tax 436.1358.321.713411.95.875
Net Profit/(Loss) 382.1317.620.3083615.844
Total Comprehensive Income 322.1335.8-4.079750-57.053
Total Operating Expenses Before Provisions for Credit and Other Losses 574.1508.212.967565.71.484
Total Provision of Expected Credit Losses And Other Losses (Reversing Entry), Net 9740.2141.293103-5.825
All figures are in (Millions) Saudi Arabia, Riyals
Element ListCurrent PeriodSimilar period for previous year%Change
Total Income From Special Commission of Financing 3,219.92,75516.874
Total Income From Special Commission of Investment 932.11,010.6-7.767
Net Income From Special Commission of Financing 1,294.81,026.126.186
Net Income From Special Commission of Investment 220.8223.4-1.163
Total Operations Profit (Loss) 2,181.11,791.421.753
Net Profit (Loss) before Zakat and Income Tax 848.1705.520.212
Net profit (Loss) 743.161820.242
Total Comprehensive Income 1,072.1357.8199.636
Assets 157,573138,00114.182
Investments 37,38134,6197.978
Loans And Advances Portfolio (Financing And Investment) 103,70287,20818.913
Clients' deposits 114,15598,55315.831
Total Shareholders Equity (after Deducting Minority Equity) 19,09116,67414.495
Total Operating Expenses Before Provisions for Credit and Other Losses 1,139.81,00013.979
Total Provision of Expected Credit Losses And Other Losses (Reversing Entry), Net 199.995.6109.1
Profit (Loss) per Share 0.50.41
All figures are in (Millions) Saudi Arabia, Riyals
Element ListAmountPercentage of the capital (%)
Profit (Losses) Resulting From The Change In Investment Propertie’s Fair Value --
All figures are in (Millions) Saudi Arabia, Riyals
Element ListExplanation
The reason of the increase (decrease) in special commission income during the current quarter compared to the same quarter of the last year is Net financing and investment income has increased by 21% due to an increase in income from investments and financing by 8%. This increase is mainly due to higher income from financing and investment which increased primarily as a result of portfolio growth against a lower income from shariah complaint derivatives and due from banks and other financial institutions.

On the other hand, return on deposits and financial liabilities has increased slightly by 1%. The increase in return on deposits and financial liabilities is mainly due to an increase in return on customers deposits and due to banks and other financial institutions against a decrease in return on shariah compliant derivatives.The reason of the increase (decrease) in the net profit during the current quarter compared to the same quarter of the last year is Net income has increased by 20% mainly due to an increase in operating income by 22%. The increase in operating income is mainly due to an increase in net financing and investment income, net fees from banking services, net exchange income and dividend income against a decrease in net gains on FVIS financial instruments, net gains on derecognition of financial assets at amortized cost and net gains on derecognition of financial assets at FVOCI.

On the other hand, total operating expenses have increased by 22% mainly due to an absence of impairment reversal for other real estate and an increase in other general and administrative expenses, salaries and employee-related expenses, net impairment charge for financing and other financial assets and other operating expenses against a decrease in depreciation and amortization expenses.

The increase in net income was also offset by higher zakat charge during the quarter.The reason of the increase (decrease) in the total net provision (reversing entry) of expected credit losses and other losses during the current quarter compared to the same quarter of the last year is Net impairment charge for financing and other financial assets has increased by 17% mainly due to higher provisioning requirements for Commercial financing. On the other hand, during the same quarter last year there was an impairment reversal of SAR 42.6 million for other real estate.The reason of the increase (decrease) in special commission income during the current quarter compared to the previous quarter is Net financing and investment income has increased by 1% mainly due to a decrease in return on deposits and financial liabilities by 1%. This decrease was mainly due to a decrease in return on shariah compliant derivatives against an increase in due to banks and other financial institutions and customers deposits.

On the other hand, income from investments and financing has decreased by 1%. This was mainly due to lower income from shariah compliant derivatives and due from banks and other financial institutions against an increase in income from financing and investments which increased as a result of portfolio growth.The reason of the increase (decrease) in the net profit during the current quarter compared to the previous quarter is Net income has increased by 6% mainly due to an increase in operating income by 2%. The increase in operating income is mainly due to an increase in net gains on FVIS financial instruments, other operating income, fees from banking services, net financing and investment income and net exchange income against a decrease in net gains on derecognition of financial assets at amortized cost, dividend income and net gains on derecognition of financial assets at FVOCI.

On the other hand, total operating expenses have slightly increased by 0.4% mainly due an increase in other operating expenses and other general and administrative expenses against a decrease in net impairment charge for financing and other financial assets.

The increase in net income was also contributed by an increase in share in net income of an associate, offset by higher zakat charge during the quarter.The reason of the increase (decrease) in the total net provision (reversing entry) of expected credit losses and other losses during the current quarter compared to the previous quarter is Net impairment charge for financing and other financial assets has decreased by 6% mainly due to lower provisioning requirements for Consumer financing.The reason of the increase (decrease) in special commission income during the current period compared to the same period of the last year is Net financing and investment income has increased by 21% due to an increase in income from investments and financing by 10%. This increase is mainly due to higher income from financing and investments which increased as a result of portfolio growth against a decrease in shariah compliant derivatives and due from banks and other financial institutions.

On the other hand, return on deposits and financial liabilities has increased by 5% mainly due to an increase in return on customers deposits, due to banks and other financial institutions against a decrease in return on shariah compliant derivatives.The reason of the increase (decrease) in the net profit during the current period compared to the same period of the last year is Net income has increased by 20% mainly due to an increase in operating income by 22%. The increase in operating income is mainly due to an increase in net financing and investment income, net fees from banking services, net exchange income and dividend income against a decrease in net gains on FVIS financial instruments, net gains on derecognition of financial assets at amortized cost, net gains on derecognition of financial assets at FVOCI and other operating income.

On the other hand, total operating expenses have increased by 22% mainly due to an increase in other general and administrative expenses, salaries and employee-related expenses, net impairment charge for financing and other financial assets, absence of impairment reversal for other real estate and other operating expenses against a decrease in depreciation and amortization expenses.

The increase in net income was also offset by higher zakat charge for the period.The reason of the increase (decrease) in the total net provision (reversing entry) of expected credit losses and other losses during the current period compared to the same period of the last year is Net impairment charge for financing and other financial assets has increased by 45% mainly due to higher provisioning requirements for Commercial financing. On the other hand, during the same period last year there was an impairment reversal of SAR 42.6 million for other real estate.Statement of the type of external auditor's report Unmodified ConclusionComment mentioned in the external auditor’s report, mentioned in any of the following paragraphs (other matter, conservation, notice, disclaimer of opinion, or adverse opinion) NoneReclassification of Comparison Items Certain items have been re-classified to conform to current period presentation.Additional Information 1- Earnings per share for the current and prior periods have been calculated by dividing net income for the period after Zakat and income tax (adjusted for Tier 1 Sukuk costs) by the weighted average number of shares outstanding (adjusted for treasury shares) i.e. 1,277 million shares (HY,2024: 1,281 million shares).

2-Earnings per share for the comparative periods have been recalculated to reflect the increase in the bank’s capital from 1,025 million shares to 1,281 million shares due to issue of bonus shares in the ratio of one share for every four shares as approved in the extraordinary general assembly meeting held on 28 April 2025.

3- The Extraordinary General Assembly Meeting held on 11 December 2024, approved the Employee Share Plan for which 4.5 million shares (Pre bonus issue) have been purchased as treasury shares for allocating them under the Employee Share Plan.

4- Total Tier 1 Sukuk issued by the bank amounting to SAR 4.9 billion are included as part of total Equity.

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.