Riyadh, Saudi Arabia — The Saudi National Bank (SNB, TASI: 1180) reported a net profit of SAR 18.63 billion for the nine months ending 30 September 2025. This marks a 19.1% year-on-year increase from SAR 15.64 billion in the same period of 2024. The results were driven by higher operating income, improved investment returns, and reduced expenses.
Nine-Month Performance
SNB’s total operating income rose 8.2% year-on-year to SAR 29.27 billion. This was supported by solid growth in both financing and investment activities.
Net special commission income increased 4.1%, while net fees from banking services and investment gains grew by 11.5% and 35.5%, respectively.
Operating expenses declined 13%, reflecting disciplined cost management and lower impairment charges. As a result, net profit before zakat and income tax reached SAR 20.86 billion, up 19.6% from a year earlier.
The bank’s total comprehensive income grew 15.1% to SAR 20.46 billion. Earnings per share rose to SAR 2.99, compared with SAR 2.53 in the prior year.
Third Quarter Highlights
For the third quarter of 2025, SNB delivered a net profit of SAR 6.47 billion. This represents a 20.6% increase versus SAR 5.37 billion in Q3 2024 and a 5.4% sequential rise over Q2 2025.
Total operating income climbed 10.4% year-on-year to SAR 10.15 billion. This was fueled by higher net commission income, stronger fee generation, and a 44.6% surge in investment income.
Meanwhile, operating expenses fell 13.1% to SAR 2.49 billion, underscoring continued efficiency improvements. However, the bank recorded a modest 3.1% rise in expected credit loss provisions for the quarter, reflecting prudent risk recognition.
Comprehensive income reached SAR 7.42 billion, compared to SAR 9.11 billion in Q3 2024. This change was due to fair value adjustments moderating from prior-year highs.
Key Financial Metrics
- Total assets: SAR 1.21 trillion (+7.3% YoY)
- Loans and advances: SAR 725.1 billion (+10.6%)
- Investments: SAR 318.2 billion (+9.5%)
- Clients’ deposits: SAR 639.5 billion (+0.8%)
- Shareholders’ equity: SAR 196.5 billion (+7.3%)
- Provisions for credit losses: down 90.7% over the nine-month period
SNB also noted that total assets expanded 9.3% since December 2024, driven by 10.8% growth in financing, led by wholesale and mortgage lending, and 8.8% growth in investments.
Management and Outlook
SNB attributed its profit increase to strong growth in financing and investment income. Efficiency gains from cost optimization also played a role. The external auditor issued an unmodified report, affirming the soundness of financial reporting.
The bank highlighted steady customer deposit growth—up 10.3% since December 2024—as a key liquidity strength. Wholesale financing grew nearly 20%, while mortgages advanced 6%, signaling continued demand in both corporate and retail segments.
Looking forward, SNB aims to sustain earnings momentum through prudent balance sheet expansion, stable margins, and continued focus on non-interest income streams.
What This Means for Investors
- Earnings resilience: Solid double-digit profit growth supported by fee and investment income.
- Operational efficiency: Expense reductions enhancing profitability ratios.
- Balance sheet strength: Asset growth underpinned by diversified financing and deposits.
- Outlook: Positive, with sustainable earnings and capital adequacy reinforcing dividend potential.
THE SAUDI STANDARD’S VIEW: Saudi National Bank’s 19% Profit Growth Reinforces the Kingdom’s Financial Strength
Saudi National Bank’s (SNB) 19% profit surge to SAR 18.6 billion over the first nine months of 2025 reflects the strength, resilience, and maturity of Saudi Arabia’s banking sector. Driven by higher operating income, investment gains, and disciplined cost management, SNB’s results affirm the robustness of the Kingdom’s financial system and its alignment with Vision 2030’s goals for economic diversification and capital market development.
• Sustained Profitability and Earnings Quality
SNB’s double-digit profit growth was supported by a balanced mix of financing income, fee-based services, and investment returns. The bank’s ability to deliver earnings expansion while maintaining stable margins underscores the resilience of its diversified revenue structure amid evolving market dynamics.
• Efficiency and Risk Management Discipline
A 13% reduction in operating expenses and a 90% drop in credit loss provisions highlight SNB’s operational efficiency and prudent risk oversight. These results demonstrate institutional maturity and the effectiveness of Saudi banks in optimizing cost structures while safeguarding asset quality.
• Capital and Balance Sheet Strength
With total assets surpassing SAR 1.2 trillion and shareholders’ equity exceeding SAR 196 billion, SNB remains one of the strongest financial institutions in the region. Continued growth in financing and investments, alongside stable deposits, reinforces liquidity strength and supports long-term lending capacity.
• Catalyst for Vision 2030 Financial Sector Transformation
SNB’s performance reflects the broader trajectory of Saudi Arabia’s financial sector—advancing toward greater competitiveness, transparency, and innovation. The bank’s growth in wholesale and mortgage financing supports national priorities for housing, business expansion, and infrastructure development.
• Investor Confidence and Positive Outlook
SNB’s solid capital adequacy, stable funding base, and sustainable earnings profile provide strong fundamentals for dividend continuity and investor confidence. With continued focus on non-interest income and balance sheet optimization, SNB is positioned to maintain growth momentum into 2026.
Saudi National Bank’s results exemplify the strength of Saudi Arabia’s banking ecosystem—resilient, well-capitalized, and aligned with national reform objectives. As the Kingdom advances its Vision 2030 financial transformation, SNB’s performance underscores the success of prudent regulation, institutional discipline, and sustained economic confidence across the Saudi banking sector.
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