Riyad Bank — Earnings Release 2004

Apr 6, 2004

13% increase in Riyad Bank Net Income for the First Quarter of 2004.

1010 · 06/04/2004 16:15:30 · Announcement #5404 · View on Saudi Exchange

13% increase in Riyad Bank Net Income for the First Quarter of 2004.

The Chairman of Riyad Bank, Mr. Rashed Abdulaziz Al? Rashed, announced that the Bank recorded a Net Profit of SAR 436 million in the first quarter of 2004, compared to SAR 386 million recorded in the same period last year, an increase of 13%. This reflects the Bank?s commitment to maintain continuous and balanced growth of income which has led to a year on year increase in shareholders? value. Return on Equity has increased to 19.3% compared to 17.4% for the same period last year. Return on Assets has increased to 2.40% compared to 2.28% for the same period last year. Mr. Al-Rashed added that the Bank?s financial ratios have improved in all respects. The Bank recorded, during the first quarter, an increase of SAR 25 million in the Net Special Commission Income, an increase of 4.6%. The Bank also maintained continuous growth in Fees from Banking Services to reach SAR 121 million, an increase of SAR 37 million or 43.5% over the same period last year. The performance of the Trading Portfolio was also outstanding, achieving gains of SAR 137 million as compared to SAR 65 million for the same period last year. This has been achieved despite volatile and uncertain Market conditions. Mr. Al-Rashed emphasized that the increase in total income achieved was a result of the Bank?s Strategy to implement new and state of the art technologies, investment in human resources and hiring experts and qualified personnel. The increase in expenses was focused on operational aspects to improve Bank?s products and services in the long term. Although, there was an increase in the operating expenses, this has led to an improvement in the Bank?s efficiency ratios, which reached 43%. He also mentioned that the Bank has made significant growth on all the major items of its balance sheet. As a result of a well-planned approach the balance sheet reached SAR 72,553 million, an increase of SAR 4,775 million compared to the same period last year, an increase of 7%. Loans and Advances - net, have increased by 17.4% to reach SAR 29,136 million, compared to SAR 24,816 million for the same period last year. The Bank?s Investment Portfolio has increased to SAR 34,632 million compared to SAR 32,535 million for the same period last year, an increase of 6.4%. Customer Deposits have increased, at the end of first quarter, to SAR 44,840 million.

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