The Saudi National Bank (1180) investor relations material

Executive summary

• Net income for 1H 2026 rose 7% year-over-year to SAR 13.04 billion, with Q2 net income reaching a record SAR 6.6 billion and return on tangible equity at 16.9%.

• Total assets reached SAR 1.24 trillion, up 3% year-to-date, with a diversified financing portfolio and strong presence in Saudi Arabia and select international markets.

• Operating income for H1 2026 was SAR 20.23 billion, up 6% year-over-year, driven by growth in net special commission income and fee/other income.

• Strong deposit inflows, disciplined cost management, and digital transformation initiatives supported performance.

• The bank remains central to Vision 2030, focusing on innovation, operational excellence, and AI adoption.

Financial highlights

• Net special commission income for H1 2026 was SAR 15.4 billion, up 7% year-over-year; fee and other income up 1% year-over-year to SAR 4.8 billion.

• Cost-to-income ratio improved to 25.6% (group) and 23.1% (domestic), both down year-over-year.

• Customer deposits grew 10% year-to-date to SAR 698.2 billion, outpacing financing growth and strengthening funding.

• Earnings per share for H1 2026 increased to SAR 2.11, up 8% year-over-year.

• Tier 1 capital adequacy ratio at 20.6%, total capital at 22%, and robust liquidity (SAMA LDR at 77.9%).

Outlook and guidance

• Financing growth guidance revised down to mid-single digits, focusing on value-driven growth.

• Cost of risk guidance upgraded to 10–20 basis points, reflecting strong credit quality and recoveries.

• Profitability ratios and return on tangible equity guidance maintained at 16%-17% (adjusted: 17%-18%).

• Continued focus on cost optimization and maintaining strong margins above Q1 levels.

• Scenario analysis indicates immaterial impact on credit losses from current macroeconomic and geopolitical risks.