Samba's Net Profits Hit SR 2,566 Million for the First Half, 2007
Mr. Eisa Al Eisa, Samba's MD & CEO, announces that Samba Financial Group has posted net profits of SR2,566 million during the first half of 2007. The net profits of the second quarter 2007 stands at SR 1,296 million, up by 2.05% over the first quarter 2007 and lower by 7.56% compared to SR 1,402 million in the 2nd quarter 2006. Al-Eisa said that Samba has managed to grow significantly its core business activities. The net special commission income increased by 13.4% to SR 2,355 million, foreign currency exchange profits grew by 60%, net income from listed investments grew by 112%, and net investment gains grew by 93%. Total operating income for the first half 2007 dropped by 2.69% to SR3,728 million against SR3,828 million for the same period 2006, net income for the first half 2007 reached 2,566 million compared to SR2,829 million for the same period last year, down by 9%, as a result of the drop in brokerage income. "All financial indicators of the bank have increased due to the increasing operating activities of core business. This performance reflects the growth in all segments due to diversification of revenue sources, expansion of activities, careful distribution of risks, increasing care of clients, and meeting their needs through quality of services and products provided to them" Al Eisa says. He also shed light on the financial indicators and their implications that reflect the strong market value of Samba and its preeminent position in the local and regional banking sector.
Samba's assets grew by 14.69% to SR 129 billion from SR113 billion for the same period last year, and deposits grew by 13.45% to SR98 billion from SR87 billion for the same period last year.
Al Eisa ascertained the success of Samba's ambitious expansion plans crystallized by successfully finalizing the acquisition of 68.4% shareholding of Crescent Commercial Bank Limited in Pakistan (CCBL). Samba won the deal after competition with several GCC and foreign banks. According to the deal, Samba acquired 600 million shares worth 6.0 billion Pakistani Rupee (USD100 million). Furthermore, Samba has already obtained a full license to operate in UAE. The new UAE branch will add to Samba's successful strategic expansion plans and open wider horizons to its financial and banking efforts.