The financial statements of Bank Al-Jazira showed a decline in the bank's profits in the first nine months of this year by 28.9% on an annual basis.
According to the bank's results for the Saudi market (Tadawul), today, Sunday, profits for the period amounted to 529 million riyals, compared to the profits of the first nine months of last year amounting to 743.7 million riyals.
The bank said in a statement to the stock exchange that the decline in profits during the comparison periods was due to the increase in operating expenses by 32%. However, operating income increased by 10%.
The increase in operating expenses is mainly due to the increase in the net provision for credit losses, employee salaries and the like, other general and administrative expenses, depreciation and amortization expenses, offset by a decrease in other expenses And the expenses of rents and buildings.
As for the increase in operating income, it is mainly due to the increase in net special commission income, net foreign exchange income, other operations income, and net profits from selling financial assets measured at fair value. Through other comprehensive income and net profits from financial instruments measured at fair value through income statement, offset by a decrease in net bank fee and commission income and net profits from selling financial assets measured at amortized cost.
The bank's profits in the third quarter of this year were 181.6 million riyals, compared to profits of 256.9 million riyals for the same period of 2019, with a decline in profits by 29.3%.
