Al Rajhi Bank · TADAWUL:1120
Al Rajhi Bank — Q4 2024 Earnings Presentation
31 slides from Al Rajhi Bank's earnings presentation, 2025
Slide 1: Al Rajhi Bank Investor Presentation 4Q 2024
Al Rajhi Bank Investor Presentation 4Q 2024
Slide 2: 4Q 2024 Investor Presentation
4Q 2024 Investor Presentation 03 The World’s Leading Islamic Bank 12 Harmonize the group Strategy 14 KSA Macro-Economic Environment 17 4Q 2024 Financial Highlights 29 IR Contact Information 4Q 2024 Investor Presentation 2
Slide 3: The World's Leading Islamic Bank
The World’s Leading Islamic Bank
Slide 4: Al Rajhi Bank | Islamic Banking, Everywhere
Al Rajhi Bank | Islamic Banking, Everywhere At a glance, 4Q 2024 Presence & Branches, 4Q 2024 100% 73% Jordan Kuwait Islamic CASA Customers 13 2 512 4,371 Branches ATMs 18.5 million 85% 95 : 5 +786k 136 NPS Digital : Manual 512 Remittance 13 POS Centers Saudi Arabia Malaysia Largest network in Saudi
Slide 5: Top Facts About Al Rajhi Bank
Top 10 Facts About Al Rajhi Bank Largest Islamic Bank worldwide #1 Bank in KSA 1 (by Assets & Market Cap) 6 (by number of customers) #1 Retail Bank in Middle East #1 Distribution network in Middle East 2 (Retail Deposits & Income) 7 (by # of Branches, POS, ATMs, Remittance Centres) One of the highes
Slide 6: Robust balance sheet with 73% CASA deposits in 2024
The World’s Leading Islamic Bank | Robust balance sheet with 73% CASA deposits in 2024 Total Assets (SARbn) Capital Ratios (%) 0 1,200 +107.8% 974 0 21.4% 21.5% 20.2% 1,000 808 0 762 19.1% 624 20.4% 800 20.3% 0 17.5% 600 469 19.3% 18.0% 0 16.4% 17.2% 400 17.0% 0 200 0 16.0% 0 0 2020 2021 2022 2023 2
Slide 7: ARB has the largest retail banking business in the Kingdom
What sets Al Rajhi Bank Apart | ARB has the largest retail banking business in the Kingdom Market Share - Demand Deposits Market Share - Deposits 1 18.5 +430bps 0 +400bps 0 0 24.2% 24.6% 23.4% 28.6% 0 23.2% 0 24.3% 25.9% 25.2% 24.6% 19.4% Million 0 0 0 0 Customers 0 0 0 0 2020 2021 2022 2023 2024 20
Slide 8: The Bank has the largest distribution network in Saudi Arabia
Al Rajhi Bank’s Leading Network | The Bank has the largest distribution network in Saudi Arabia #1 in Branches #1 in ATMs Market Share - Branches Market Share - ATMs 1 -10bps +80bps 0 0 0 29.6% 0 0 27.0% 26.8% 26.8% 26.9% 26.9% 28.2% 29.1% 28.5% 29.0% 0 0 0 0 0 0 0 0 0 0 2020 2021 2022 2023 2024 202
Slide 9: Al Rajhi Bank has a unique franchise across key products
Al Rajhi Bank has a unique franchise | We maintain a leading market share across key products #1 in Personal Loans #1 in Auto Loans Market Share - Personal Loans Market Share - Auto Loans 1 1 1 +100bps 1 -730bps 44.6% 44.3% 51.8% 51.7% 1 40.6% 41.0% 41.6% 47.6% 1 43.7% 40.3% 1 0 0 0 0 0 0 0 0 0 0 20
Slide 10: Al Rajhi Bank Market Performance
Al Rajhi Bank Market Performance | ARB maintained its momentum and outperform its peer group • Share Price Performance Top 3 KSA Banks (Daily; Rebased to 100) 31 Dec 2024 RAJHI SNB Riyad TASI 300 Key Metrics Closing Price SAR 94.6 Market Cap SAR 378 bn 250 Market Cap / % Industry 38.9% RAJHI, 231 Ma
Slide 11: ESG Highlights
ESG Highlights +200 USD 4.6 bn Scholarships to Orphan ISO/DIS 37301:2020 Green syndicated loan students to join Compliance Universities Started using solar +39k energy system in 61 Families have been +22k ISO 22301:2019 benefited from the Employees across the Business Continuity branches to reduce a
Slide 12: Our strategy "Harmonize the group"
Our strategy “Harmonize the group”
Slide 13: "Harmonize the Group" | Highlights on our strategy performance
“Harmonize the Group” | Highlights on our strategy performance Business to Business to Support Digital & Data Consumer Business Businesses Leverage customer Become ‘main bank’ Centralization Expand digital base via cross-sell of large corporates and standardization capabilities Group-wide % of custo
Slide 14: KSA's Macro-Economic Environment
KSA’s Macro–Economic Environment
Slide 15: KSA Economic Outlook
KSA Economic Outlook | Economic conditions remain positive for the Kingdom Highlights GDP Growth/Brent Oil Price 99.0 • Saudi GDP is expected to increase by 1.3% in 2024 driven by higher 9.0 82.5 80.5 84.8 100.0 non-oil activities. 7.0 70.9 80.0 8.7 5.0 Based on IMF forecasts, Saudi’s GDP is estimat
Slide 16: Banking Sector Highlights
Banking Sector Highlights | Banking system deposits continue growing by end of 2024 SAMA LDR (%) & Bank Loans and Deposits (SARmn) Recent Developments 79.5% 81.5% 80.7% 2,956 83.2% 3,000 75.0% 2,692 80.0% • Deposits have grown in the banking system by end of December 2024 2,584 2,800 2,473 70.0% ali
Slide 17: 4Q 2024 Financial Highlights
4Q 2024 Financial Highlights
Slide 18: 4Q 2024 Results Summary
4Q 2024 Results Summary | Results are above expectations for the year 2024 16.7% YoY Growth in financing portfolio 21.4% Growth in liabilities LDR below regulatory minima 20.6% YoY Balance Net Financing Total Liabilities Loan to Deposit Ratio Sheet Growth 594.2bn +16.7% 693.4bn 701.3bn +21.4% 851.2b
Slide 19: Balance Sheet Trends (1)
Balance Sheet Trends (1) | Balance sheet growth of 20.6% YoY driven by Financing and Investments Total Assets (SARbn) SAR (mn) 4Q 24 3Q 24 QoQ 4Q 23 YoY 1,400 1,200 +20.6% Cash & balances with SAMA 53,245 45,085 +18% 41,768 +27% Due from banks & other FI 19,530 15,433 +27% 9,507 +105% 974 1,000 867
Slide 20: Balance Sheet Trends (2)
Balance Sheet Trends (2) | Financing growth is driven by Mortgage and Corporate Financing, Net (SARbn) Financing, Net Mix By Segment Retail Financing Mix By Segment (SARbn) (SARbn) 950 +16.7% Corporate Auto Loans SAR 178bn SME SAR 22bn 850 693.4 26% SAR 39bn 5% Credit Cards 649.0 39.1 750 594.2 34.9
Slide 21: Balance Sheet Trends (3)
Balance Sheet Trends (3) | Balance sheet shows improving funding mix Total Liabilities (SARbn) Total Customers' Deposits Mix By Total Liabilities Mix By Segment Type (SARbn) (SARbn) Treasury +21.4% 1,200 SAR 198bn Customers’ Time 23% 851.2 1,000 Investments Other 784.7 41.1 Rajhi 701.3 32.0 SAR 167b
Slide 22: Net Income Trends
Net Income Trends | highest-ever annual net income with a 19% growth YoY Net Income For The Period After Zakat (SARmn) SAR (mn) FY 24 FY 23 YoY 4Q 24 4Q 23 YoY 9,000 Net financing & investment income 24,843 21,269 +17% 6,941 5,550 +25% +32.3% Fee from banking services, net 4,693 4,226 +11% 1,288 988
Slide 23: Operating Income Trends
Operating Income Trends | Higher operating income driven by net yield and fee income growth Total Operating Income (SARmn) Total Operating Income Growth Drivers By Type (SARmn) 14,000 40,000 12,000 +24.1% 35,000 +16.4% 8,750 3,574 467 46 436 32,055 8,439 10,000 30,000 7,229 7,637 27,531 8,000 7,051
Slide 24: Expenses Trends
Expenses Trends | Cost efficiencies remains solid Operating Expenses (SARmn) Operating Expenses Growth Drivers By Type (SARmn) 8,000 3,500 3,000 +2.6% 7,000 +6.3% 6,000 2,070 2,050 404 7,971 2,500 1,998 1,894 1,956 5,000 7,498 199 2,000 (130) 4,000 1,500 3,000 1,000 2,000 500 1,000 0 0 4Q 23 1Q 24 2
Slide 25: Liquidity Trends
Liquidity Trends | Liquidity remains comfortably within regulatory requirements HQLA (SARbn) Loan to Deposits Ratio (SAMA) (%) 200 +21.4% Regulatory 1 Maximum 90% 131.0 85.5% 1 128.1 82.9% 150 121.1 79.7% 105.5 105.4 1 78.7% 78.3% 100 1 1 50 1 0 0 4Q 23 1Q 24 2Q 24 3Q 24 4Q 24 4Q 23 1Q 24 2Q 24 3Q 2
Slide 26: Net Impairment & Assets quality
Net Impairment & Assets quality | Higher gross charge due to Financing portfolio growth Net Impairment Charges (SARmn) Cost of Risk (%) 1,250 1,050 +36.2% 0 0 688 850 0.33% 0.32% 553 0.28% 0 650 0.25% 0.28% 421 455 450 406 0 0 250 50 (0) 4Q 23 1Q 24 2Q 24 3Q 24 4Q 24 FY 23 1Q 24 1H 24 9M 24 FY 24 NP
Slide 27: Capitalization Trends
Capitalization Trends | Capital position well above regulatory minima RWA (SARbn) Total Capital (SARbn) 200 900 +17.5% +10.3% 180 800 160 611.4 700 577.8 47.0 140 119.7 123.6 600 520.3 47.0 112.0 38.4 10.5 5.6 120 500 9.8 6.0 10.8 5.8 100 400 80 521.0 554.0 113.7 118.0 300 106.2 60 200 471.0 40 100
Slide 28: Return Metrics
Return Metrics | Al Rajhi Bank’s returns remain industry-leading Return on RWA (%) Earnings per Share (SAR) 0 0 2 +29.8% 1.29 0 1.22 2 1.05 1.12 0 3.35% 3.45% 3.49% 0.99 3.26% 3.30% 1 0 0 1 0 0 0 FY 23 1Q 24 1H 24 9M 24 FY 24 4Q 23 1Q 24 2Q 24 3Q 24 4Q 24 Return on Equity (%) Return on Assets (%) 0
Slide 29: IR Contact Information
IR Contact Information
Slide 30: Additional Information
Additional Information | Contact investor relations for more information Sulaiman Alquraishi Mohammed M. Alqahtani +966 (11) 828 1987 +966 (11) 828 1921 Alquraishis@alrajhibank.com.sa AlqahtaniM-M@alrajhibank.com.sa Aishah Alshammari +966-11-828-1973 Investors Relations Al-shammariAK@alrajhibank.com
Slide 31: Disclaimer
Disclaimer • AL RAJHI BANK HEREIN REFERRED TO AS ARB MAKES NO REPRESENTATION OR WARRANTY OF ANY KIND, EXPRESS, IMPLIED OR STATUTORY REGARDING THIS DOCUMENT OR THE MATERIALS AND INFORMATION CONTAINED OR REFERRED TO ON EACH PAGE ASSOCIATED WITH THIS DOCUMENT. THE MATERIAL AND INFOR- MATION CONTAINED O