- Profit Boost: Saudi Awwal Bank reported a profit of 2.02 billion riyals in Q2 2024, a substantial increase of 30% year-on-year, surpassing the estimate of 1.86 billion riyals.
- Operating Income Up: Operating income reached 3.49 billion riyals, up by 14% year-on-year, beating the estimate of 3.4 billion riyals.
- Lower Impairments: Impairments decreased by 19% year-on-year to 112.3 million riyals, better than the estimated 193.8 million riyals.
- Higher Pretax Profit: Pretax profit was recorded at 2.36 billion riyals, marking a 19% year-on-year increase, exceeding the 2.21 billion riyals estimate.
- Total Assets Surge: Total assets grew to 382.30 billion riyals, up 14% year-on-year, significantly higher than the estimated 307.1 billion riyals.
- Investments Slightly Down: Investments slightly decreased by 1.8% year-on-year to 91.83 billion riyals.
- Net Loans Growth: Net loans surged by 22% year-on-year to 241.55 billion riyals.
- Total Deposits Rise: Total deposits increased by 19% year-on-year to 264.43 billion riyals, topping the 260.66 billion riyals estimate.
- Interest Rate Impact: The growth was mainly driven by interest rate hikes and higher loan volumes.
- Commission Income: Net special commission income rose by 8%, reflecting the higher rate environment and increased term deposits bearing special commission expenses.
- Market Confidence: The bank has strong market support with 11 buys, 3 holds, and 0 sells.
A look at Saudi Awwal Bank Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 5 | |
| Dividend | 5 | |
| Growth | 5 | |
| Resilience | 3 | |
| Momentum | 3 | |
| 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
Saudi Awwal Bank, a prominent bank in the financial sector, shows a promising long-term outlook based on its Smartkarma Smart Scores. With high scores in Value, Dividend, and Growth factors, the bank demonstrates strong fundamentals and potential for sustained performance. Investors may find Saudi Awwal Bank appealing due to its robust financial position and consistent dividend payouts.
While the bank scores slightly lower in Resilience and Momentum categories, indicating moderate performance in these areas, its overall outlook remains positive. Saudi Awwal Bank is well-positioned to capitalize on its strengths and navigate any challenges ahead. With a diverse range of banking services catering to customers globally, Saudi Awwal Bank continues to solidify its presence in the market.
**Summary of Saudi Awwal Bank:** Saudi Awwal Bank operates as a bank, offering a wide range of financial services including wealth management, investment, trade finance, and corporate banking. Serving customers worldwide, the bank positions itself as a reliable player in the industry.
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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