The Saudi British Bank announces first half 2004 results

This represents an increase of 46.8 per cent over the SAR565 million (US$151 million) earned in the same period in 2003. Earnings per share increased to SAR16.60 (US$4.43) compared to SAR11.30 (US$3.01) for the same period last year.

Customer deposits increased to SAR39.3 billion (US$10.5 billion) at 30 June 2004 from SAR36.5 billion (US$9.7 billion) at 30 June 2003.

Loans and advances to customers increased to SAR28.0 billion (US$7.5 billion) at 30 June 2004 from SAR23.3 billion (US$6.2 billion) at 30 June 2003.

The bank's investment portfolio totalled SAR15.4 billion (US$4.1 billion) at 30 June 2004, a decrease from SAR19.6 billion (US$5.2 billion) at 30 June 2003, as proceeds from maturing investments have been reinvested in the loan portfolio.

Geoff Calvert, managing director, said: "The bank has maintained its strong start to 2004. Operating revenues continue to grow strongly, especially non-funds income which has benefited from record volumes in the local equity markets. Overheads remain in line with our expectations. Provisions for credit losses remain well below the same period in 2003 reflecting the quality of our loan portfolio. Capital and liquidity positions remain strong.

"All areas of the bank are performing well and customer satisfaction levels remain high. We continue to look for new opportunities to enhance our service and product offerings.

"The Directors have approved the payment of a net interim dividend of SAR9.00 per share (gross dividend of SAR9.41 per share). This represents a total gross interim dividend payment of SAR470.5 million, an increase of 25.8 per cent compared to the same period last year.

"We thank our customers for their continued support, and our staff for their commitment and contribution to the bank's success."