- Arab National Bank reports a 2Q profit of 1.23 billion riyals, matching estimates and showing a 25% increase year-over-year.
- Operating income was recorded at 2.34 billion riyals, reflecting a 12% year-over-year increase and aligning closely with the 2.35 billion riyals estimate.
- Impairments fell significantly to 167 million riyals, a 38% decrease year-over-year.
- Pretax profit rose to 1.44 billion riyals, up by 24% year-over-year.
- Operating expenses increased by 9.3% year-over-year, reaching 737 million riyals.
- The bank’s investments grew to 48.13 billion riyals, marking a 7.8% year-over-year increase.
- Net loans climbed to 161.61 billion riyals, an 8.6% year-over-year increase.
- Total deposits reached 175.59 billion riyals, up by 11% year-over-year.
- Comments indicate that the increase in net special commission income is due to the growth in net loans, advances portfolio, and net investments portfolio.
- Profit growth is mainly attributed to increases in net special commission income, net fees and commission income, net trading income, and dividend income.
- According to analyst ratings: 5 buys, 4 holds, and 0 sells.
A look at Arab National Bank Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 5 | |
| Dividend | 4 | |
| Growth | 4 | |
| Resilience | 4 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 4.2 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Arab National Bank is poised for a bright future as indicated by its impressive Smartkarma Smart Scores. With top-notch ratings in Value, Dividend, Growth, Resilience, and Momentum, the bank is well-positioned to thrive in the long run. Its strong value score signifies that the company is undervalued compared to its peers, presenting a promising investment opportunity. Additionally, the high scores in Dividend, Growth, Resilience, and Momentum highlight the bank’s stability, potential for growth, and ability to weather economic changes effectively.
With a robust reputation in attracting deposits and providing a range of banking services including retail, corporate, investment, private banking, and treasury services, Arab National Bank is well-equipped to cater to various customer needs. Investors looking for a reliable and potentially lucrative opportunity may find Arab National Bank an appealing choice given its favorable Smartkarma Smart Scores across key factors essential for long-term success.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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