BSF'S 2006 net income records 36 per cent growth to SR 3 billion

This represents an increase of 35.7% over the SAR 2,216 million earned in 2005. Earnings per share increased to SAR 8.91 compared to SAR 6.56 for the previous year.

The Bank achieved Total Operating Income of SR. 833 Mio for the fourth quarter, 2006 compared to SR. 856 Mio for the same period of 2005. Total Expenses increased by 1%. Net Income for the period was SR. 582 Mio compared to SR. 608 Mio for the same period of year 2005.

The balance sheet's healthy growth was evidenced from the growth in Total Assets that augmented by SR 12,080 million to SR 79,581 million, a 17.9% boost. On the asset's side loans and advances grew by 18.9% to SR 51,130 million. On the liabilities side customer deposits stood at SR 61,998 million at December 31, 2006 which is a 21.3% surge from the previous year.

The Board of Directors recommended the payment of dividend to the Saudi shareholders at SR 2 per share (2005: SR 1.73 per share) out of which the interim dividend paid was SR 1.5 per share (2005: SR 1.07 per share). The net dividend per share is re-calculated retrospectively to give effect for the increase number of shares as a result of bonus issue and share split during 2006. The share dividend of SR. 0.50 per existing share for the second half of the year will be paid after securing the approval of the authorities and the shareholders.

Commenting on the record results, BSF Chairman, Sheikh Ibrahim AL-Touq said:

"BSF has been remarkably accurate in its efforts to maximize the shareholder's value this year again, by adopting the right mix of management, innovation and strategy".

He was also, all praise for Almighty God and for the management and stated that it was the banks staff whose contributions together were the overriding catalyst for success. In 2007 the bank would be celebrating its 30 years of existence and the Chairman reiterated the collective resolve of the entire bank's management and team that the bank will continue to value its partnership with its stakeholders and further improve on its financial performance.