The Saudi British Bank announces 1st quarter results

This represents an increase of 25.1 per cent over the SAR364 million (US$97 million) earned in the quarter ended 31 March 2004. Earnings per share increased to SAR9.12 (US$2.43) compared to SAR7.29 (US$1.94) for the first quarter in 2004.

Customer deposits increased to SAR42.3 billion (US$11.3 billion) at 31 March 2005 from SAR37.2 billion (US$9.9 billion) at 31 March 2004.

Loans and advances to customers increased to SAR32.3 billion (US$8.6 billion) at 31 March 2005 from SAR27.2 billion (US$7.3 billion) at 31 March 2004.

The bank's investment portfolio totalled SAR16.4 billion (US$4.4 billion) at 31 March 2005, a decrease from SAR17.4 billion (US$4.6 billion) at 31 March 2004.

Geoff Calvert, managing director of The Saudi British Bank, said: "The Saudi British Bank has made an encouraging start to 2005. Operating revenues are well above 2004 levels, with particularly strong growth in non-funds income which has continued to benefit from a strong local equity market. Despite incurring higher overheads to support business growth, the bank's cost:income ratio has continued to reduce reflecting improved operational efficiency. Our loan portfolio remains sound and this is reflected in the low provision for credit losses. Capital and liquidity positions remain strong.

"One of the highlights of the quarter was the successful issue of a US$600 million eurobond to investors throughout Europe, Asia and the Middle East. This is the first eurobond ever issued by a Saudi Arabian company. The success of the issue is recognition of the bank's strength and reputation in the international markets.

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