Latest news with #SR1.2
Saudi Gazette
04-05-2025
- Business
- Saudi Gazette
SABIC reports SR1.2 billion loss in Q1 2025
Saudi Gazette report RIYADH — SABIC announced on Sunday a net loss of SR1.2 billion for the first quarter of 2025 — a 36% improvement from the SR1.9 billion loss recorded in the previous quarter, driven by one-time restructuring costs and continued global market pressures. CEO Abdulrahman Al-Fageeh attributed the quarterly loss primarily to expenses related to business restructuring, which he said are expected to yield positive long-term results by enhancing cost control. He also cited a global economic slowdown, market uncertainty, and oversupply in the petrochemical sector as key factors impacting demand and margins. 'The oversupply of petrochemicals continues to pressurize product prices and, in turn, profit margins,' Al-Fageeh said at a press conference held at SABIC headquarters in Riyadh on May 4. Despite the challenging environment, Al-Fageeh highlighted improvements in SABIC's Environment, Health, Safety, and Security (EHSS) performance, noting a 17% year-on-year enhancement in the company's Safety, Health, and Environment Rate (SHER). He reaffirmed SABIC's strong financial standing and ongoing efforts to optimize costs, improve efficiency, and maintain competitiveness globally. Al-Fageeh also emphasized that SABIC's strategic growth projects remain on track and aligned with planned timelines. SABIC's CEO spotlighted the company's global innovation achievements, including six Edison Awards received this year — the fifth consecutive year SABIC has earned such recognition for its industrial solutions.
Zawya
01-05-2025
- Business
- Zawya
Saudi Arabia raises white land tax to 10%, introduces annual levy on vacant properties
RIYADH — Saudi Arabia has approved amendments to its White Land Tax Law, raising the annual levy on undeveloped land from 2.5% to 10% of its value and introducing, for the first time, an annual tax on long-vacant properties without justified use. The changes, passed during Tuesday's Cabinet session, are aimed at boosting property development and increasing housing supply, as the government works to address rising real estate prices. The Ministry of Municipal and Rural Affairs and Housing announced plans to offer housing units across various regions in partnership with private developers, priced between SR250,000 and SR1.2 million. The initiative targets raising Saudi homeownership to 66% this year, according to Minister Majed Al-Hogail during a recent government press conference. The amendments also unify the tax application stages, with the annual tax now covering individual or combined landholdings of 5,000 square meters or more within designated urban zones. Previously limited to residential and commercial land, the scope has expanded to include any undeveloped land suitable for development. Regulations for white lands will be issued within 90 days, while rules governing vacant property taxation are expected within a year. Minister Al-Hogail acknowledged the sharp rise in real estate prices in Riyadh but noted that Crown Prince Mohammed bin Salman had issued swift and firm directives to ensure property prices align with industrial, agricultural, commercial, and housing growth. © Copyright 2022 The Saudi Gazette. All Rights Reserved. Provided by SyndiGate Media Inc. (
Saudi Gazette
01-05-2025
- Business
- Saudi Gazette
Saudi Arabia raises white land tax to 10%, introduces annual levy on vacant properties
Saudi Gazette report RIYADH — Saudi Arabia has approved amendments to its White Land Tax Law, raising the annual levy on undeveloped land from 2.5% to 10% of its value and introducing, for the first time, an annual tax on long-vacant properties without justified use. The changes, passed during Tuesday's Cabinet session, are aimed at boosting property development and increasing housing supply, as the government works to address rising real estate prices. The Ministry of Municipal and Rural Affairs and Housing announced plans to offer housing units across various regions in partnership with private developers, priced between SR250,000 and SR1.2 million. The initiative targets raising Saudi homeownership to 66% this year, according to Minister Majed Al-Hogail during a recent government press conference. The amendments also unify the tax application stages, with the annual tax now covering individual or combined landholdings of 5,000 square meters or more within designated urban limited to residential and commercial land, the scope has expanded to include any undeveloped land suitable for for white lands will be issued within 90 days, while rules governing vacant property taxation are expected within a Al-Hogail acknowledged the sharp rise in real estate prices in Riyadh but noted that Crown Prince Mohammed bin Salman had issued swift and firm directives to ensure property prices align with industrial, agricultural, commercial, and housing growth.
Zawya
23-04-2025
- Business
- Zawya
SNB net income rises to $1.6bln, registering highest-ever quarterly results
RIYADH — The Saudi National Bank (SNB), the largest bank in Saudi Arabia, announced a net income of SR6.0 billion for the first quarter of 2025, representing its highest-ever quarterly financial results. This marks a year-on-year growth of 19% compared to the first quarter of 2024. On a quarterly basis, net income grew sequentially by 8%. These exceptional financial results are being delivered as a part of successful execution on SNB's strategy. In a statement published on the Saudi Exchange (Tadawul), SNB attributed the strong growth in net income to an 8% increase in total operating income, which reached SR9.6 billion. This performance was supported by a 5% rise in net special commission income, and a 16% increase in fee and other income. Total assets increased to SR1.2 trillion, reflecting a 9% growth compared to 1Q 2024 (Year-over-Year) and a 6% increase compared to 4Q 2024 (Quarter-over-Quarter). The Bank's investment portfolio also grew by 13% YoY (6% QoQ). This growth was driven by a 13% expansion in the financing portfolio YoY (8% QoQ), primarily driven by Wholesale Financing and Retail Mortgages. The growth was mainly funded through Customers' deposits, which reached SR626.4 billion for the period. Saeed Alghamdi, Chairman of SNB, commented: "The exceptional financial performance delivered in the first quarter of 2025 marks a defining milestone in the Bank's journey. Achieving our highest-ever quarterly profit is a testament to our disciplined strategy, underpinned by strong governance, robust financial management, and an accelerated transformation agenda. These foundations have positioned us to effectively capitalize on the Kingdom's economic opportunities and reinforce our presence across key sectors." He added: "This remarkable growth in profitability, alongside continuous improvements in asset quality and operational efficiency, underscores our ability to deliver long-term value to shareholders and reflects the deep trust placed in us by our clients and the broader business community." Tareq AlSadhan, Chief Executive Officer of SNB, stated: "Driven by our strategy, the first quarter of 2025 witnessed outstanding financial performance, with SNB achieving its highest-ever quarterly earnings. This result reflects healthy growth across our business segments, driven by a solid increase in operating income from higher net special commission income, stronger fee-based revenue, and robust returns from our investment portfolio. By aligning our efforts with clear strategic priorities, we are making solid progress on SNB's strategic aspirations, growing in lucrative segments and expanding our addressable market, while creating sustainable value for our shareholders. Key focus areas of our strategy are market share & value creation, operational excellence, enhancing customer experience, accelerating innovation and attracting the right talent; all of which are progressing according to plan. We have designed a central steer to drive the strategy which includes shared targets, organization structural changes, and strong performance governance." He continued: "We have successfully expanded our financing portfolio by 706.4 bn, including both Wholesale and Retail financing growth. Wholesale growth was broad-based across key business lines including large corporates, mid-sized corporates, SMEs, Vision 2030 projects and financial institutions lending. Retail financing growth was driven mainly by residential and personal financing. By maintaining our client-centric approach, we have funded this growth primarily from Customers' Deposits, which reached SR626.4 bn. Our focus on operational efficiency and digital transformation has also translated into an enhanced customer experience and improved cost-to-income ratios." AlSadhan reaffirmed SNB's strong financial position, supported by solid capital adequacy and stable liquidity, enabling us to contribute to the Kingdom's economic development and deliver sustainable value to our shareholders. He also confirmed Bank's commitment to playing a central role in supporting Saudi Vision 2030, enabling private sector development, expanding financial inclusion through innovative digital solutions, supporting Saudi businesses and MSME's, along with financing Saudi Arabia's flagship projects. "We remain focused on building on these achievements and strengthening SNB's position as a national banking champion that actively contributes to Saudi Arabia's economic progress," he concluded. — SG © Copyright 2022 The Saudi Gazette. All Rights Reserved. Provided by SyndiGate Media Inc. (
Saudi Gazette
22-04-2025
- Business
- Saudi Gazette
SNB net income rises to SR6bn, registering highest-ever quarterly results
RIYADH — The Saudi National Bank (SNB), the largest bank in Saudi Arabia, announced a net income of SR6.0 billion for the first quarter of 2025, representing its highest-ever quarterly financial results. This marks a year-on-year growth of 19% compared to the first quarter of 2024. On a quarterly basis, net income grew sequentially by 8%. These exceptional financial results are being delivered as a part of successful execution on SNB's strategy. In a statement published on the Saudi Exchange (Tadawul), SNB attributed the strong growth in net income to an 8% increase in total operating income, which reached SR9.6 billion. This performance was supported by a 5% rise in net special commission income, and a 16% increase in fee and other income. Total assets increased to SR1.2 trillion, reflecting a 9% growth compared to 1Q 2024 (Year-over-Year) and a 6% increase compared to 4Q 2024 (Quarter-over-Quarter). The Bank's investment portfolio also grew by 13% YoY (6% QoQ). This growth was driven by a 13% expansion in the financing portfolio YoY (8% QoQ), primarily driven by Wholesale Financing and Retail Mortgages. The growth was mainly funded through Customers' deposits, which reached SR626.4 billion for the period. Saeed Alghamdi, Chairman of SNB, commented: "The exceptional financial performance delivered in the first quarter of 2025 marks a defining milestone in the Bank's journey. Achieving our highest-ever quarterly profit is a testament to our disciplined strategy, underpinned by strong governance, robust financial management, and an accelerated transformation agenda. These foundations have positioned us to effectively capitalize on the Kingdom's economic opportunities and reinforce our presence across key sectors." He added: "This remarkable growth in profitability, alongside continuous improvements in asset quality and operational efficiency, underscores our ability to deliver long-term value to shareholders and reflects the deep trust placed in us by our clients and the broader business community." Tareq AlSadhan, Chief Executive Officer of SNB, stated: "Driven by our strategy, the first quarter of 2025 witnessed outstanding financial performance, with SNB achieving its highest-ever quarterly earnings. This result reflects healthy growth across our business segments, driven by a solid increase in operating income from higher net special commission income, stronger fee-based revenue, and robust returns from our investment portfolio. By aligning our efforts with clear strategic priorities, we are making solid progress on SNB's strategic aspirations, growing in lucrative segments and expanding our addressable market, while creating sustainable value for our shareholders. Key focus areas of our strategy are market share & value creation, operational excellence, enhancing customer experience, accelerating innovation and attracting the right talent; all of which are progressing according to plan. We have designed a central steer to drive the strategy which includes shared targets, organization structural changes, and strong performance governance." He continued: "We have successfully expanded our financing portfolio by 706.4 bn, including both Wholesale and Retail financing growth. Wholesale growth was broad-based across key business lines including large corporates, mid-sized corporates, SMEs, Vision 2030 projects and financial institutions lending. Retail financing growth was driven mainly by residential and personal financing. By maintaining our client-centric approach, we have funded this growth primarily from Customers' Deposits, which reached SR626.4 bn. Our focus on operational efficiency and digital transformation has also translated into an enhanced customer experience and improved cost-to-income ratios." AlSadhan reaffirmed SNB's strong financial position, supported by solid capital adequacy and stable liquidity, enabling us to contribute to the Kingdom's economic development and deliver sustainable value to our shareholders. He also confirmed Bank's commitment to playing a central role in supporting Saudi Vision 2030, enabling private sector development, expanding financial inclusion through innovative digital solutions, supporting Saudi businesses and MSME's, along with financing Saudi Arabia's flagship projects. "We remain focused on building on these achievements and strengthening SNB's position as a national banking champion that actively contributes to Saudi Arabia's economic progress," he concluded. — SG
